ABSTRACT
Tanzania is an important country for the donor community. The country was held up as a model of African socialism, which publicly resisted taking the ‘IMF medicine’ of devaluation in the early 1980s. Tanzania's willingness to implement reform from the mid-1980s was thus an important test case. Important steps were made during the second part of the decade with respectable growth as a result though inflation remained high. But by the early 1990s the government's relationship with donors was deteriorating, only getting back on good terms with the new government in 1995.
