Local government finance is an important and integral part of the public finances of Mainland Tanzania today. In fact, about one out of every five shillings spent in the public sector is spent at the local government level. As a result, a sound system of local government finance and intergovernmental relations is a key factor in assuring that the public sector provides an enabling environment for economic growth and reducing poverty

in line with MKUKUTA and with Tanzania Vision 2025. Accurate and up-to-date information on local government finances is critical in order for local government officials to improve the quality of local services, as well as for communities to hold central and local government officials accountable for the funding of local government service delivery.

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