This book is designed to contribute tothe government's thinking on how best to translatebroad MKUKUTA (the government of Tanzania's NationalStrategy for Growth and Reduction of Poverty) policyobjectives into practical tactics and programs well suitedto Tanzania's economic priorities and to the removal ofkey institutional and infrastructure bottlenecks. The bookaims to respond to three fundamental questions: (a) whatfactors explain Tanzania's recent acceleration ineconomic growth, (b) how well has the accelerated growthtranslated into reduced poverty, and (c) what needs to bedone to sustain growth that is also pro-poor. This bookfocuses on three issues that are central to the success ofTanzania's poverty reduction efforts:What factorsexplain Tanzania's recent acceleration in economicgrowth?Has the accelerated economic growth translated intoreduced poverty?What must be done to sustain economicgrowth that is pro-poor? The book presents evidence from themacroeconomic, sectoral, firm, and household levels thatshed light on these questions. In addition, the bookexamines the effectiveness of measures that support the poorin efforts to accumulate human and physical capital, whichwould enhance their prospects of contributing to economicgrowth. Finally, it is important to mention that this bookis a compilation of chapters written by authors from theAfrican Development Bank (Peter Mwanakatwe), COWIConsultants (Kerstin Pfliegner), independent consultancies(Marianne Simonsen and Annabella Skof), and the World Bank(Jean-Eric Aubert, Vandana Chandra, Louise Fox, HenryGordon, Johannes Hoogeveen, Pooja Kacker, Ying Li, AllisterMoon, Philip Mpango, Ravi Ruparel, Anuja Utz, Robert J. Utz,and Michael Wong).