The Poverty and Human Development Report (PHDR) is a key output of the Government of Tanzania’s poverty monitoring system. It provides consolidated analysis of progress towards national development goals as well as discussion on important socio-economic issues affecting the country. PHDR 2009 is the fifth report in the series since 2002 and marks the end of the first phase of the National Strategy for Growth and Reduction of Poverty 2005-2010 (commonly known by its Swahili acronym, MKUKUTA). The report highlights the achievements and challenges of the first phase of MKUKUTA and looks ahead to inform the next phase of Tanzania’s development strategy.