Abstract
The Governance Agenda rests on the idea that economic and political liberalisation in Africa can be mutually reinforcing; that liberal democracy, in other words, can help legitimise capitalist development. Tanzania, which began liberalising its economy in the 1980s and its polity in the 1990s, is currently regarded by donors as a promising case of economic and political reform. The aim of the present article is to provide a different point of view. It argues that economic liberalisation is associated with a series of political struggles which are imperfectly captured by the formal party and parliamentary system. Such struggles suggest that neither public institutions nor the policy of economic reform enjoy a high level of legitimacy. In consequence, the aim of Governance to promote capitalist development with democratic support under the rule of law is far from being realised.
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