An Analysis of the Contribution of Zanzibar’s Free Port in Alleviating Poverty in Zanzibar

Abstract

This study is on “An Analysis of the Contribution of Zanzibar Free Port in Alleviating Poverty in Zanzibar”. The researcher had employed analytical research design due to the nature of the study that concern on the matter relating to the data and events in Zanzibar Free Port. Both probability and non-probability sampling techniques have been used. Data was collected through questionnaires and interviews. The study found out that, there are a number of activities that are carried out at the Zanzibar Free Port. However they are not enough to keep the Zanzibar Free Port busy compared to other Free Ports. No progress of the activities, no sufficient advertisement of Zanzibar Free Port and their activities, no fund sent to Zanzibar Free Port for its expansion and development from the government, no goal to be achieved of offering employment to the people. The household income was not enough for the workers; Zanzibar Free Port has low contribution in the employment of the people and there was a big challenge of taxes and not taxes barriers from TRA. The study recommends that the government should allocate fund for the development and expansion of Zanzibar Free Port, the management of ZIPA and other authorities should find the ways of increasing the number of activities in Zanzibar Free Port, to mobilize investors to invest in Zanzibar Free Port, negotiate with TRA to be one of the advertisers of Zanzibar Free Port, they should list it in the websites among the Free Ports in the world, make follow up of the means and ways of employment of the companies, all employees should be registered in the security fund and workers get their rights. Furthermore, the management of companies should increase the income of their workers, giving them chance to participate in the business in terms of partnership and consignments, and pay them the commission after sales. Also the researcher recommended conducting another research in the tourism sector on the employment of the people then to compare the contribution of these two fields in creating the employment opportunities.