HARARE: THE Permanent Secretary in the Ministry of Finance, Dr Natu El-Maamry Mwamba, has led the delegation of the United Republic of Tanzania at the Southern African Development Community (SADC) Treasury Secretaries and Senior Central Bank Officials Meeting, which is being held in Harare, Zimbabwe, discussing various issues of financial cooperation, investment and economic development in the region.
The meeting brought together Secretaries-General from SADC member countries, where in addition to the main agenda of the implementation of the SADC Regional Development Fund, the delegates reviewed the development of Macroeconomic Convergence Indicators, Strengthening Capital Markets, as well as the development of the SADC Regional Payment System (SADC-RTGS).
In addition, the meeting discussed proposals for alternative methods of financing the budget, programs and various regional projects, namely by using the Import Levy and the Tourism Levy, where many expressed their concerns about the implementation of these methods as they conflict with the laws of the member countries of the Revenue Authorities and reduce revenues and will also increase the costs of tourism activities and lead to a decline in the tourism sector.
The meeting also discussed measures to strengthen investment and development of the SADC Development Fund, review of the implementation of decisions of previous meetings, strengthening financial sector management, as well as strategies to combat money laundering and terrorist financing in the SADC region.
In the discussion on the Regional Development Fund, Tanzania has continued to maintain its position of supporting the Fund’s implementation efforts, while emphasizing the importance of member states ensuring the implementation of all decisions and resolutions reached at SADC meetings in order to expedite the process of signing, ratifying and commencing its implementation.
Contributing to the discussion, Dr Mwamba said that effective implementation of regional decisions is an important basis for ensuring that SADC programs and projects are implemented effectively and on time.
He said that although the SADC Regional Development Fund aims to increase the availability of financial resources to finance development projects, there are still challenges related to the ability of member states to contribute, especially due to economic disparities and budgetary constraints faced by some countries.
“The implementation of the budget, programs and regional development projects is important for member states to continue to implement decisions and directives arising from the resolutions of various SADC meetings and conferences in order to expedite the process of signing, ratifying and commencing the implementation of this Fund.” Dr Mwamba said
Furthermore, he stressed the importance of considering the actual financial capacity of member countries, explaining that the process of establishing the fund should be accompanied by a thorough assessment of the country’s ability to contribute to its capital, especially in an environment of increasing debt and budgetary constraints.
“The process of implementing the SADC Regional Development Fund should consider realistic estimates of financial capacity as well as an assessment of the ability of member countries to contribute to the fund’s capital, especially in an environment of increasing debt and budgetary constraints,” he explained.
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Dr Mwamba also stressed the importance of a balance between contributions from member countries and resources from development partners, noting that this step is important in protecting the status of the Fund, strengthening its sustainability and ensuring that it meets regional development goals.
“It is important to consider an appropriate balance between contributions from member countries and resources from development partners. This will help preserve the status of the fund, protect its independence and achieve development priorities as intended,” he added.