1. China Welcomes VDA's Third Cohort
The Vodacom Digital Accelerator (VDA), in partnership with Huawei, organized a learning trip to China for 10 Tanzanian startups.
Participants included founders of Altitude X (Drone-as-a-Service) and Afya Lead (health micro-insurance and medical devices).
The trip is a notable step in promoting international exposure and knowledge transfer for Silicon Bongo. It even included a visit to a robotics company.
China is a global leader in robotics and artificial intelligence. According to the International Federation of Robotics (IFR), China has been the world's largest industrial robot market since 2013, with a record 290,258 units installed in 2022 alone.
Startups saw robots used in healthcare, hotels, elder care, schools, and factories. This matters because the global robotics market could reach $75.3 billion by 2026.
VDA’s third cohort also practiced pitching to Chinese experts. This is important since foreign direct investment (FDI) from China to African countries reached $1.8 billion in 2022. (However, most of that money went to "projects" rather than startups).
In my opinion, Tanzanian founders working on hardware and deep tech solutions could benefit the most from Chinese funding and partnerships.
2. TSA, DSE Unite
The Tanzania Startup Association (TSA) hosted a webinar focused on opportunities at the Dar es Salaam Stock Exchange (DSE). It had a particular emphasis on DSE’s Enterprises Acceleration Program (DEAP).
The DSE, established in 1996, has shown steady growth over the years. With a current market capitalization of approximately $6.2 billion (as of July 2023) and 28 listed companies, it represents a major, yet still developing, financial market in East Africa. The DEAP initiative, set to launch in August 2024, aims to bridge the gap between our capital markets and our emerging startup scene.
DEAP is structured as a six-month program with monthly sessions, designed to improve the capacity of startups and SMEs. It provides a comprehensive approach, including training, mentorship, coaching, and support for capital raising. The program aims to connect participants with various funding sources. From traditional bank borrowing to more modern options like crowdfunding and venture capital.
DSE’s new initiative comes at an important time for Silicon Bongo. In 2023, Tanzanian startups raised approximately $25 million, a figure that fades in comparison to the $800 million raised by neighboring Kenya's startups in the same period. DEAP represents an effort to address this funding gap by providing an alternative pathway to capital and preparing startups for potential future listing on the DSE.
3. Health Checkup Kiosk Opens, MUHAS Conference Underway
Daktari Kiosk, a new startup focused on affordable and accessible health screenings, has recently opened its doors at Mlimani City.
It has introduced a modern screening device that measures important health parameters such as BMI, blood pressure, fat rate, and muscle rate. This technology provides comprehensive health checks, addressing the rising concern of NCDs (non-communicable diseases) in Tanzania.
By engaging with influential community figures, the startup is effectively raising awareness about the importance of regular health screenings, particularly among the youth. The company emphasizes providing reliable and affordable screening methods, potentially disrupting the traditional healthcare model in Tanzania.
Meanwhile, the academic community is preparing up for the 12th MUHAS Scientific Conference, taking place this week (June 24-28) at the Mloganzila Campus.
The conference is expected to drive innovation and advancements in healthcare research and practice.
4. NALA-CRDB Alliance Targets $500M Market
Tanzanian fintech NALA has integrated with CRDB Bank, Tanzania's largest bank with over 4 million customers and $3.8 billion in assets, to streamline diaspora remittances.
The partnership enables remittances to reach Tanzanian bank accounts in under 5 minutes. It targets Tanzania's $500 million annual diaspora remittance market.
According to John Haule, NALA now connects with 249 banks and 26 mobile money services across 11 African markets.
This collaboration aims to reduce fees and accelerate transfers. As a result, it addresses key pain points in bank-based remittances.
The launch event was attended by high-profile figures, including Tanzania's Ambassador to the UK, Hon. Mbelwa Kairuki. That indicates the partnership's significance to Tanzania's financial sector.
5. Olduvai Space Center (Olspace) Gains Support for Community Maker Lab
Tanzania's first commercial aerospace and space exploration company, Olspace, has secured international support for its vision of creating a community maker lab. This is a major step in advancing STEM education and innovation in Tanzania.
The company's vision for a community-focused maker lab, conceived in early 2022, has overcome initial financial hurdles through strategic global outreach. Olspace's persistence in sharing its vision led to a decisive connection with The Restart Project, which facilitated a partnership with STMicroelectronics, a global semiconductor leader based in Agrate, Italy.
This collaboration has produced tangible results. STMicroelectronics donated two industrial-grade pieces of equipment to jumpstart the maker lab's operations.
It even includes knowledge transfer opportunities, as evidenced by Olspace's recent visit to STMicroelectronics' facility in Italy. This exchange promises to accelerate Olspace's activities and drive its mission forward.
The partnership establishes a model for how local initiatives in emerging markets can attract and benefit from international support. Olspace’s approach is particularly important for founders in high-tech sectors like aerospace and electronics.