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THE UNITED Republic of Tanzania is an east African country that is classified as a developing nation by the United Nations (UN) and other international agencies that track countries' production capacities and socioeconomic conditions. Characterizing a country as a developing or less developed country (LDC) is equivalent to calling it poor. Tanzania therefore represents a case whereby it is possible to study poverty at the national level, in addition to analyzing the poverty of individuals or families.

The nation's status as a poor country is apparent in its national income data. Tanzania's Gross Domestic Product (GDP) is low—only about $9.8 million in 2002, according to the World Bank's World Development Indicators. Moreover the 2004 edition of the Human Development Report indicates that income per capita was about $580 in that same year. If one were to order the nations of the world by per capita income, Tanzania would lie in the poorest 10 percent.

Over four-fifths of Tanzania's poor reside in rural areas.

The poverty of a nation is reflected in the status of its people. In poor countries it is standard for a large portion of the population to be poor, and this most often manifests itself in low consumption possibilities and low levels of well-being. Citizens of poor countries often lack many basic goods and services that most people living in rich or developed nations take for granted. For example, access to medical services is not widespread in Tanzania and life expectancy is only 43.5 years. About 43 percent of the population are undernourished, and about 29 percent of young children are underweight. Additionally, many people do not receive schooling in Tanzania because the government cannot afford to provide this public good to everyone.

As is the case in many developing countries, poverty is most severe in rural areas, where agriculture is the main source of livelihood. Over four-fifths of Tanzania's poor reside in rural areas, where agricultural production is hampered by low productivity tied to lack of sufficient irrigation systems, susceptibility to disease and pests, soil erosion, and poor access to roads. The production and transportation problems associated with such obstacles are obvious, and the incomes earned by individuals laboring under these conditions are not high. Regions such as Dodoma (the new capital), Kigoma, Rukwa, Lindi, and Mtwara are among the poorest in Tanzania. With the exception of the latter two, these regions do not produce any of the traditional export crops; they have poor roads and are not served by any of the railroad lines.

In its annual Poverty Reduction Strategy Progress Reports, the government identifies increasing economic growth as one of the chief avenues to reducing poverty. Others outside government, the World Bank for example, have focused attention on the need to reduce corruption in order to improve the country's economic performance. Corruption in Tanzania has grown from low-level corruption, most common among low-level public officers seeking to supplement their low incomes, to the level of the nation's decision-makers, where abuse of office can have a telling impact on an economy.

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