Treasury clarifies minister's remarks on USAID funds

Dar es Salaam. The government was compelled to issue a clarification yesterday after a statement by the Finance and Planning, Dr Mwigulu Nchemba attracted the ire of Civil Society Organisations (CSOs).

The bone of contention between Dr Nchemba and CSOs started from a twitter post by the former which read as: “Today we had a virtual meeting with Usaid. I requested Usaid to direct to the strategic projects, the Sh3 trillion in grant which they have committed to give Tanzania through CSOs.” He added: “We will make sure the money is used for the intended purpose.”

But this did not go down well with CSOs, who questioned the rationale behind Dr Nchemba’s statement.

“We have been saddened by the minister’s statement. His statement has confused us…. the money set aside by development partners for CSOs should be used for the intended purpose and not otherwise,” said National Coordinator for Tanzania Human Rights Defenders Coalition (THRDC) Onesmo Olengurumwa.

But clarifying on the matter Finance and Planning permanent Secretary Emmanuel Tutuba said Dr Nchemba reached to that call after Usaid wanted the government to prepare and identify areas of priorities in the sectors of health, water, agriculture, environment and climate change among others.

He said Dr Nchemba’s statement was meant to enhance the government to have full control over the money meant for strategic projects.

“As per law, money that passes through Non-Governmental Organisations (NGOs) is coordinated by the NGOs’ registrar. The Finance ministry only comes in when the money is channeled through the ministry or government institutions,” he said.

“So, the minister was just reminding them that if they want the money to be included in the government budget, they had to channel the same through government institutions instead of NGOs.” In his remarks, Mr Olengurumwa said CSOs/NGOs have always been working in line with the government’s plans in bringing services closer to the people.

What the minister was supposed to do, he suggested, was to insist the CSOs to operate in line with those strategic projects and not otherwise.

“The CSOs have the role to play and they need money to achieve their targeted objective of bringing services closer to the citizens,” he said.

Wildaf Tanzania director Anna Kulaya said minister Mwigulu’s call to the Usaid does not add up, noting that he has no power to change the purpose of the grant.

“The decision over where and how the aid should be used is made by high bodies in respective countries. As a matter of fact there is no way the money meant for CSOs can be channeled to other uses,” she said.