TANZANIA: British water company sues impoverished country

British water company Biwater has taken legal action against the Tanzanian government after the company was kicked out of Tanzania earlier this year, two years into a US$100 million water privatisation contract. Biwater had failed to meet the investment requirements and services improvements in Dar es Salaam that were part of the privatisation deal, and water delivery has deteriorated. On December 1, World Development Movement director Benedict Southworth said in a media statement: "This is an absolute disgrace, Tanzania is one of the poorest countries in the world, and now Tanzanian citizens are being punished for being the victims of a failed policy which they did not want." According to Southworth, the British government also bears a "heavy responsibility" because British aid money was used to fund pro-privatisation pop songs and videos in Tanzania. For more information visit <http://www.wdm.org.uk/campaigns/aid/tanzania/action.htm>.

From Green Left Weekly, December 7, 2005.

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From GLW issue 652