Well done Tanzania

Last week, Tanzania eased restrictions on East African Community nationals working in that country. Tanzania has agreed that regional residents can stay in the country if they are employed or engaged in economically worthwhile activities. A high level task force from the partner states hammered out some of these concessions in an eight day meeting that ended last week in Bujumbura, Burundi. However, negotiations continue on issues of land acquisition, freedom of movement and establishment of business. Uganda and Rwanda lead the way in easing the movement of labour, goods and services through the region, which should be the case because both countries are only emerging out of conflict situations and recognise that they need help to reconstruct their economies. In Kenya and Tanzania, entrenched interests are keen to encourage protectionist policies to protect their turf. However, economic history shows that protectionist policies only work during the initial stages of building national industries but then become detrimental, dooming nationals of those protectionist states to expensive products produced by inefficient industries. Lowering of barriers is a useful weeding process and focuses nations on industries or enterprises in which they can build competitive advantage. Easing restrictions on movement and ownership of property between states encourages technology transfer and increases regional security. The opposition to this opening up — a knee jerk reaction born of worries that the richer nations will get a disproportionate benefit — are shortsighted and based on narrow self-interest. Freedom of movement across Europe has increased productivity, rationalised businesses and increased innovation. Fighting the natural course of things is like bashing ones head against a wall — it is injurious to the individual but leaves the wall largely undented. Tanzania has done the right thing and should be supported along with the other member countries in the region in overcoming the teething problems that will come with this transition.