The government of the United Republic of Tanzania can be classified into two main administrative levels i.e Central Government and Local Government Authorities (LGAs). The GoT embarked on local government reform and subsequent Decentralization by Devolution (D by D) policy with two main folds; first to bring services closer to the citizens and second was to improve administrative and managerial efficiency. In spite of these efforts, Local Government Authorities in the country are still beseeched with numerous accountability and governance problems which need to be addressed. These problems range from legal, financial and administratively. Currently, more than 95 percent of Local Government projects are financed through the Central Government. For the past ten years, the Controller and Auditor General (CAG) have been pointing out in his reports that LGAs faces serious management and governance challenges.
Some of the notable challenges include inadequate planning and poor management of own source revenue; inadequate technical capacity in utilizing development funds; weak internal control systems, rampant mismanagement of council funds.
Accountability Index is one of Financial Management and Accountability Model which uses Accountability Indicators and Scoring criteria in determining the performance of an organization in managing finance and other resources entrusted to them. Accountability Index is among unbiased rating systems which aid organizations across the government to monitor progress in improving their Financial Management from time to time. To introduce this ideal, for the year 2017 WAJIBU is planning to develop methodology for the Accountability Index in LGAs.