Abstract: This paper exploits on effectiveness of educational policy is in curbing school dropout in secondary schools in Tanzania, a case of Dodoma City. The specific objectives of the study were to explore the effectiveness of educational policy on alleviating school dropout of secondary schools students, to determine challenges facing educational practitioners in implementing educational policy, to find out the magnitude and growth of drop out in Dodoma Urban, to examine setbacks facing education investment in relation to dropout and to examine the financial and social impacts of drop out in secondary schools .