ABSTRACT

Chapter 3 is all about the public sector code of ethics in Tanzania, whose prominence during the Nyerere years was indisputable, especially since the importance of governance was enshrined in the constitution. It begins with the discussion of the evolution of the code of ethics and its applicability, followed by the detours via critical incidents and their implications in relation to business ethics and the governance of SOEs. Both the Ujamaa era and its aftermath are looked into, as is the perceived erosion of ethics and accountability. The erosion is among the factors mentioned as inhibiting the functioning of optimal resource allocation via adopted market-oriented policies. The chapter goes on to discuss the code of ethics and the reforms that took place and emphasizes the importance of governance in improving efficiency in production and service delivery and how enforcement shortfalls worsened the situation. A discussion of the code of ethics where it stands and Tanzania’s future closes the chapter.