In 1967, Tanzania nationalized many foreign companies as part of the Arusha Declaration’s effort to create socialism and self-reliance. Among the most important were the dominant British banks that shaped investment and exported capital. Building on transcripts, private diaries, correspondence from Barclays Bank, as well as other sources, this chapter analyses how politically independent Tanzania endeavored to remake finance. Economic self-determination depended, in part, on the negotiations between Barclays and Tanzania over how much compensation government would pay for the 1967 expropriation. At stake was not merely a final price; instead, the struggle for economic sovereignty depended on the ability to determine the accounting protocols through which price would be calculated and even to define the bundle of different assets that would be subject to valuation. It was on these technicalities that postcolonial statecraft depended, meaning formulas and figures were imbued with political importance and ethical significance. Yet, ultimately, Tanzania found its authority to govern value was stymied by the enduring inequalities of the global capitalist order.

This chapter explores the debates about the future of the Tanzanian state after independence, which culminated in the Arusha Declaration of 1967. It sets out the contours of elite-level conversations about development in the 1960s, as Tanzania groped for a path forwards that would translate independence into meaningful socio-economic progress. After showing how Julius Nyerere’s decision to embark on a radical programme of socialist reform was motivated by local unrest and the fate of postcolonial regimes elsewhere in Africa, it then revisits the little-understood politics of the Arusha Declaration and its fallout. Offering an alternative dimension to readings of Arusha as a stimulant for national unity, the chapter demonstrates how Tanzania’s socialist revolution created fissures among the political elite. In particular, it pushed Oscar Kambona, a prominent politician, into exile in Britain. The Arusha Declaration represented a critical turning point in Tanzania’s postcolonial history that narrowed space for dissent, while also sowing the seeds for future challenges to the TANU party-state.

This chapter explores the debates about the future of the Tanzanian state after independence, which culminated in the Arusha Declaration of 1967. It sets out the contours of elite-level conversations about development in the 1960s, as Tanzania groped for a path forwards that would translate independence into meaningful socio-economic progress. After showing how Julius Nyerere’s decision to embark on a radical programme of socialist reform was motivated by local unrest and the fate of postcolonial regimes elsewhere in Africa, it then revisits the little-understood politics of the Arusha Declaration and its fallout. Offering an alternative dimension to readings of Arusha as a stimulant for national unity, the chapter demonstrates how Tanzania’s socialist revolution created fissures among the political elite. In particular, it pushed Oscar Kambona, a prominent politician, into exile in Britain. The Arusha Declaration represented a critical turning point in Tanzania’s postcolonial history that narrowed space for dissent, while also sowing the seeds for future challenges to the TANU party-state.