BizCLIR

The ability to freely own all types of property and to easily transfer and register property is a fundamental facet of business and economic growth in an emerging free-market economy such as Tanzania. For example, in most economies land and improvements to land account for most of the wealth of the country. Moreover, registration and protection of intellectual property rights is important with respect to encouraging foreign direct investment and marketing of needed consumer goods, as well as to supporting the innovative research and development of new domestic products. Thus, a strong legal and institutional framework is imperative in order for businesses to own, use, and sell all types of property; to manufacture and sell products and services; to raise capital; and to obtain credit.

This chapter is grounded in the World Bank’s Doing Business indicators for Registering Property. Those indicators examine the legal, institutional, and social underpinnings of registering real property – land and fixtures on land – in a country. They first center on the right of various constituencies to buy, sell, inherit, and otherwise own real property and to use it with only limited constraints. They then examine the ability of individuals and companies to register property with the government, thus signaling legal ownership, which is a critical component of using the property to access credit.

While the World Bank’s inquiry focuses exclusively on real property, this diagnostic builds on the importance of being able to register all types of property, including intellectual property. (The registration of so-called “movable” property – automobiles, equipment, inventory, livestock, and other chattel that can be moved – is discussed in this report’s chapter on Getting Credit). In light of the many reports and programs pertaining to real property the donor community has already carried out, this chapter addresses real property only generally. The discussion emphasizes in greater detail the legal underpinnings of intellectual property, including copyright, trademark, and patent rights. This inquiry then goes beyond the mechanics of registering intellectual property and examines Tanzania’s commitment to allowing citizens to use that property to build greater wealth and economic opportunity. As with most other topics covered by this diagnostic, the role of supporting institutions, including professional associations, trade and industry groups, universities, and the media, is also assessed.