Unlocking Persistent Poverty Through Agriculture- Based Growth

In the last 10 years Tanzania has recorder an impressive economic growth. The country's real Gross Domestic Product (DGP) growth has increased from a low level of 4.2 percent in 1995 to 7.1 percent in 2007, and growth averaged 7.1 per cent during 2001-2007( Economic Survey2007). Given this impressive economic record, one would expect poverty to decline. However, this has not been the case. Poverty is still a major problem facing the majority of Tanzanians, particulary those living in rural areas. The Household Budget Survey(HBS) reveals that 34 percent of people are living in poverty with income less than a dollar per day and 17 percent are living below the food poverty line.On both measures, this represents a marginal decline of about 2 percentage points in the propotion of poor since 2000/01.


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