The Heterogeneity of Socioeconomic Factors Affecting Poverty Reduction in Tanzania: A Multidimensional Statistical Inquiry

Persistent poverty poses a formidable challenge for the developing world, and Tanzania is no exception. Despite earnest efforts spanning decades to implement poverty reduction strategies, Tanzania grapples with the complexity of poverty within its households. Leveraging data from the Tanzania Household Budget Survey spanning 2011/2012 to 2019/2020, this study employs Probit, first difference generalized method of moment, and diverse poverty measurement techniques to unravel the dimensions, determinants, and socioeconomic intricacies influencing poverty prevalence among Tanzanian households. Key findings underscore the pivotal influence of age, household size, geographical zones, and income-generating activities on poverty. The study notably illuminates the substantial impact of the COVID-19 pandemic on poverty levels across households nationwide. The study acknowledges the heightened vulnerability of women and advocates for the implementation of gender-sensitive programs, and women’s social inclusion for equitable poverty reduction. The study further stresses the importance of prioritizing accessible education and financial inclusion, supported by regional strategies that significantly contribute to poverty alleviation. The establishment of social safety nets is highly imperative to ensure a sustained poverty reduction.