This thesis is an investigation of developmental policies geared towards the Third World. The ending of the Cold War, symbolized by the collapse of the Soviet Union ushered in the predominance of the democratic ideal; characterized by the political, economic and social systems of the developed countries in Western Europe and the United States of America. The ascendancy of the democratic ideal signalled the entrance of neoliberalism into the forefront as the primary blueprint for countries to conform to in order to develop into functioning democracies; translating into the preponderance of neoliberal doctrines. In examining Tanzania, with specific reference to Manzese, an informal settlement in the main urban centre of Dar-es-Salaam, the various shortcomings and tensions within the neoliberal theoretical foresight and the actuality of the paradigm are manifested; signalling the need for further academic and scholastic analyses into development policies geared towards the Third World.