Tanzania: Can HIPC Reduce Poverty

While growth has increased in Tanzania during the past five or six years, it is still too
low to have a visible impact on poverty. Indeed, recent evidence suggests that the
amount of both income and non-income poverty are roughly the same as they were a
decade ago. Since debt relief provided under HIPC will free government resources, the initiative will potentially help reduce poverty through larger government expenditures on social sectors (pdf file).