Tanzania Start-up Association unveils ambitious vision to transform the innovation ecosystem

By Joanne Mwita

Dar es Salaam. The Tanzania Start-up Association (TSA) has revealed a bold roadmap to accelerate the country’s innovation ecosystem, positioning Tanzania as a hub for high-potential ventures and investment.

TSA CEO Zahoro Muhaji described the organisation as a unifying platform for key players across the start-up ecosystem, with the goal of creating an environment where innovation thrives and contributes meaningfully to national socio-economic development.

Over the next five years, TSA plans to deepen its focus on policy advocacy, talent development, and access to finance, while fostering stronger collaboration across institutions.

Muhaji highlighted TSA’s productive partnership with the government, pointing to recent measures including tax incentives from the Tanzania Revenue Authority, digital government initiatives, and the fintech regulatory sandbox launched by the Bank of Tanzania. “These steps reflect a growing recognition of the vital role start-ups play in driving innovation and economic diversification,” he said.

Investment attraction remains a key focus. Muhaji emphasised Tanzania’s potential as a destination for both local and international investors, noting that events such as Tanzania Start-up Week have become crucial platforms for networking, deal-making, and showcasing promising ventures.

“We want investors to see Tanzania not just as a consumer market but as a source of scalable, innovative businesses,” he explained.

Sectors such as fintech, agritech, and software-as-a-service are emerging as growth hotspots, reflecting broader African trends. Muhaji also stressed the importance of academia, with universities and research institutions playing a key role in producing a skilled, start-up-ready workforce and bridging the gap between education and industry.

TSA continues to champion inclusion. While 21 percent of Tanzanian start-ups are led by women—a figure above the United States’ 17 percent—Muhaji acknowledged more progress is needed. Initiatives include gender-focused programmes, as well as support for youth and entrepreneurs with disabilities, aiming to create a more equitable and accessible ecosystem.

Highlighting the sector’s growth, Muhaji pointed to rising start-up registrations, a surge in foreign direct investment from $1.8 million in 2020 to $56 million last year, and over $300 million attracted over the past five years.

The emergence of angel networks and local venture funds, including Walioma Ventures and Serengeti Angels Network, alongside growing corporate sponsorship, marks a shift towards sustainable, homegrown support.

Yet, speed remains critical. Muhaji warned that slow decision-making, whether by start-ups, regulators, or investors, could slow Tanzania’s rise as a competitive innovation hub.

Concluding on an optimistic note, he compared Tanzania’s current ecosystem to the early stages of tech powerhouses such as India and Israel. “Growth is a long-term journey, but with sustained commitment, Tanzania is poised to become a globally competitive start-up nation,” he said.