AN ASSESSMENT OF FACTORS AFFECTING MANAGEMENT OF LOCAL GOVERNMENT CAPITAL DEVELOPMENT FUND IN TANZANIA:THE CASE OF IGUNGA DISTRICT COUNCIL

Abstract

This study investigates the factors influencing the management of the Capital Development Fund (CDF) within the Igunga District Council. The primary objectives include assessing the guidelines governing CDF management, identifying challenges impacting financial management, proposing measures for improvement, and evaluating the effectiveness of current financial practices. Stratified random sampling was employed to select a diverse sample of 57 respondents, representing various roles within the council. Data were collected using structured questionnaires and in-depth interviews. The findings reveal that while local and national policies provide a framework for CDF management, gaps in accessibility and clarity hinder effective implementation. Challenges such as bureaucratic delays, inadequate monitoring mechanisms, political interference, and insufficient training emerged as significant barriers. Some respondents acknowledged progress in financial management practices, but systemic weaknesses persist, affecting accountability and efficiency. The study concludes that addressing these issues requires enhanced dissemination of guidelines, strengthening of monitoring and auditing mechanisms, and increased community participation. Recommendations include the development of comprehensive CDF management manuals, regular training sessions to build capacity, the establishment of independent oversight bodies, and proactive engagement of local stakeholders in decision-making processes. These measures aim to foster transparency, improve efficiency, and ensure that CDF resources are utilized effectively to achieve their intended developmental goals.