Macroeconomic policy issues

The end of the commodity super-cycle, weakening global demand, and the slow-down of private capital inflows have substantially worsened Tanzania’s external economic environment, returning stabilization challenges to the forefront of macroeconomic policymaking. But the institutional architecture for macroeconomic policymaking has changed: the private capital account is more open than in the past, creating an additional channel of macroeconomic volatility; new monetary policy institutions and operating procedures are being developed; the nature of donor assistance is changing; and greater regional integration and policy coordination is beginning to occur. The Tanzania Country Program welcomes research that contributes to the understanding of macroeconomic dynamics and the properties of stabilization instruments and policies in this contemporary context. Research that explores these issues at a regional level is encouraged.