This Country Procurement AssessmentReport (CPAR)intends to determine the compatibility ofnational procurement law, and practices, with the principlesof economy, and with international procurement practices.This CPAR, the second of its kind in Tanzania, looks at thelegislative framework, the performance of regulatoryfunctions, the enforcement regime, and the capacity ofpublic sector institutions to conduct procurement, includingthe effects of corruption on procurement. Recommendationssuggest to disseminate the new Local Government AuthorityProcurement regulations, and, establish the PublicProcurement Appeals Authority with its necessary amendmentsof decentralizing procurement operations, while introducingmandatory time limits on various steps in the procurementprocess. Current procedures, and practices should furtherenforce rules on advertising, pre-qualification, submissionand opening of bids, and the use of an evaluation criteriathrough regular audits, and effective sanctions. Inaddition, a credible complaints mechanisms should be inplace, by strengthening the capacity of the Central TenderBoard (CTB). In the short-term, operational, and regulatoryfunctions should be separated from the CTB, decentralizingprocurement to the ministerial level, establishing aRegulatory Authority (RA) to report directly to the Ministerof Finance. In the medium-term, an information managementsystem should link the RA with procuring entities, and, forthe long-term, Government stores should be closed,introducing instead a system based on framework agreements.