1. Tech Startups Receive Over $547K
FUNGUO, a European Union-funded innovation program, has selected new early-stage companies and social enterprises for its third funding cohort. It committed TZS 1.45 billion in catalytic grants alongside TZS 355 million in soft loans through CRDB Bank's iMBEJU initiative. The announcement, made on November 22 in Dar es Salaam, cements the first formal partnership between the two programs.
From 411 applications received across eight regions, including Dar, Zanzibar, and Arusha, only 28 companies advanced to final due diligence, with 18 ultimately securing funding. The selected ventures span multiple sectors, from fintech to clean energy:
Key Portfolio Highlights:
Amala Technologies: Core banking system for financial institutions
Chabri Energy: Agricultural waste-to-briquette conversion for clean cooking
Fresh Pack Technologies: Smart fabric technology reducing post-harvest losses
Rover Labs: 3D-printed prosthetics and orthotics manufacturing
Sanavita: Farmer-sourced nutritional food products
"Innovation is the backbone of our nation's progress," stated Hon. Jerry Silaa, Minister of Information, ICT & Communication, at the unveiling. "The Ministry is committed to supporting initiatives that empower startups to create solutions impacting our communities and contribute to a digital and inclusive economy."
Market Impact:
Previous FUNGUO cohorts have raised TZS 15.5B in additional funding
Portfolio companies created 4,000+ direct and indirect jobs
40% of current funding reserved for women-led businesses
Eight regions now represented in the portfolio
The program's expansion comes as Tanzania's startup ecosystem gains momentum. "Venture capital funds are continuing to pour into Tanzania," noted EU Ambassador Christine Grau, citing RenewCapital's recent office opening and ongoing regulatory reforms by the Capital Markets and Security Authority (CMSA) to simplify the investment process.
Beyond funding, selected startups will receive technical assistance, showcase opportunities, and investment profiling support. The program demonstrates a shift in Tanzania's innovation financing scene. It blends non-repayable EU-backed grants with reimbursable funding from the private sector through the CRDB Bank Foundation.
This investment cycle builds on FUNGUO's track record of backing scalable ventures, with previous portfolio companies like Settlo Technologies later receiving $3 million from local investors before being acquired. Applications for the next funding round are expected to open in early 2025.
2. Renowned Consulting Firm Launches its First Product
Dar es Salaam-based iPF Softwares introduced Notify Africa, a new enterprise SMS automation platform targeting East African businesses with integrated messaging capabilities. The platform, launched recently, aims to serve companies across nine sectors including finance, healthcare, and retail with automated messaging workflows.
Key Technical Features:
Multi-channel integration with existing business systems
Automated scheduling and trigger-based messaging
Real-time delivery tracking and performance analytics
API access supporting Python, PHP, Java, and Ruby
AI-enhanced message template customization
Cross-platform mobile money and banking integrations
The service enters Tanzania's growing business messaging market with a straightforward pricing model at TZS 13 per SMS. "Over 90% of sent text messages are read, and they don't require internet connectivity for delivery," noted iPF Softwares' development team, positioning SMS as a reliable channel for business communication.
Market Context:
Currently serving 150+ businesses across East Africa
Integration partnerships with major firms including Azam and Niajiri
Direct competition with international platforms like Mailchimp entering African markets
Focus on local enterprise needs with dedicated support infrastructure
Beyond basic bulk messaging, Notify provides developer tools for custom integration. The platform's API allows businesses to embed SMS capabilities within their existing applications, supporting features like real-time status updates and delivery receipts.
The launch builds on iPF Softwares' eight-year track record of developing enterprise solutions in Tanzania. The company, established in 2015, has deployed digital solutions across 11 countries, impacting over 200,000 users and 100 businesses.
iPF expects to expand the platform's capabilities in 2025, focusing on improved AI features and deeper integration with regional payment systems.
3. Fintech Startup Enters New Market
ClickPesa, a Bank of Tanzania (BoT)-licensed payment service provider (PSP), recently announced ClickPesa MFI, a specialized financial platform. Why? The company is expansion beyond its existing payment gateway services to address operational challenges facing Tanzania's over 1,900 microfinance institutions.
The platform introduces three core capabilities:
Digital loan disbursement and repayment processing
Online and offline payment collection systems
Real-time reconciliation with automated payment workflows
Integration with existing loan management and accounting software
Market Context and Development:
Platform developed after interviewing 500+ MFIs across Tanzania
Currently serves over 100 SMEs, marketplaces, and financial institutions
Focuses on medium-sized MFIs facing growth constraints
Targets women-led businesses, which comprise 54.3% of Tanzania's SMEs
"Over the course of 1.5 years, we interviewed more than 500 MFIs to understand their challenges and identify what drives their success in scaling operations," said Richard Lema, ClickPesa's COO. The research highlighted three critical needs: immediate cash flow management, payment digitalization tools, and seamless data automation.
The launch builds on ClickPesa's 2023 PSP from BoT. The company, founded in 2019, maintains offices in Dar es Salaam's Victoria Place and London, offering both API and dashboard access to its services.
Beyond technology, ClickPesa MFI provides funding access to help institutions expand their loan portfolios. The platform aligns with Tanzania's Development Vision 2025 goals for financial inclusion, particularly focusing on empowering women-owned enterprises through strengthened microfinance partnerships.
4. Fintech Startup Launches WhatsApp-Based Tax Receipt System
Simplitech Limited introduced WhatsApp integration for its Simplify VFD platform, enabling businesses to issue Tanzania Revenue Authority (TRA) compliant digital receipts through the messaging app. The November 20 launch expands the company's digital invoicing ecosystem, which already serves over 1,700 small and medium-sized enterprises (SMEs) across Tanzania.
Platform Capabilities:
WhatsApp-based electronic fiscal device (EFD) receipt generation
Direct integration with TRA's Revenue Gateway and financial data management systems
Sales report downloads via chatbot
Cross-device accessibility (mobile and web)
Real-time fiscal data submission
Pricing Structure:
Annual subscription: TZS 59,000
One-time installation fee: TZS 121,000
All fees subject to 18% VAT
Market Context:
Target market includes 1.3 million Tanzanian businesses
Platform available on Android 6.0 and above
Over 1,000 downloads recorded since October 2023 launch
Simplitech was part of PesaTech Accelerator's second cohort program
The solution aims to reduce hardware costs for businesses by eliminating the need for traditional EFD machines. "Our solution is fully approved and verified by the Tanzania Revenue Authority, ensuring compliance with tax regulations and requirements," Simplitech's product team told Atoms & Bits.
Technical Requirements:
Internet connectivity for real-time TRA submissions
Smartphone or computer access
No additional hardware needed
Compatible with existing accounting software
The service represents a shift toward mobile-first tax compliance solutions in Tanzania, building on Simplitech's previous web-only platform. Support is available via phone (+255 658 507 103) or email (sales@simplify.co.tz).
5. EdTech Startup Competes in London
Silabu, a Dar-based tutoring marketplace, secured a spot among three African finalists at the Global EdTech Startup Awards (GESAwards) semifinals in London last week. The company, which recorded 14.6 million learning minutes across Africa in 2022, will represent the continent at the global finals.
Growth Metrics (as of April 14, 2023):
28,349 tutoring bookings processed in 2022
68,633 one-on-one sessions conducted
140,684 group learning sessions completed
Average user engagement of 16 hours monthly
Operations in Tanzania, Kenya, Ghana, and Nigeria
The selection comes after significant expansion of Silabu's peer-to-peer learning platform. "We couldn't have made this far without our users—parents, teachers, students, and schools—for making Silabu a truly impactful EdTech startup in Tanzania and Kenya," noted the company's COO Adam Duma at the semifinals.
Recent Progress:
Secured TZS 274 million from Germany's develoPPP Ventures program in April 2024
Featured at Africa Tech Festival's YALI Alumni Expo in Cape Town
Expanded digital learning resources across multiple African markets
Enhanced platform for cross-border educational content sharing
The platform's growth addresses critical educational challenges in Africa, including the 1:50 teacher-to-student ratio. Silabu's mobile app enables students to book personalized classes based on subject, location, and other preferences, while providing comprehensive exam preparation resources spanning multiple countries' curricula.
GESAwards, celebrating its 10th anniversary, is recognized as the world's largest EdTech startup competition. The final round on January 25 will spotlight solutions transforming education delivery across emerging markets.
6. DevFest Dar Spotlights AI Development Tools and Ethics
The Google Developers Group (GDG) Dar es Salaam hosted over 200 developers and tech professionals at its annual DevFest conference on November 23. Held at the University of Dar es Salaam's Confucius Institute, the free event focused on responsible AI development, featuring presentations from regional tech leaders across three specialized tracks.
GDG, a global network spanning 1,000 chapters across 140 countries, operates as an independent, volunteer-led community that connects developers interested in Google technologies. While supported by Google, these groups function autonomously and their views don't represent the corporation.
Key Sessions:
Project IDX introduction by Denise Allela, Google's Developer Relations Manager
Responsible AI practices workshop led by Cynthia Kamau
Sarufi AI platform showcase by SK_Junior Mrimi
TensorFlow Lite mobile applications by Adam Mashaka
Vertex AI vector search implementation by James Mwai, Sky.Garden CTO
The conference structured content across three venues:
Titan Hall: Social media AI and gaming technology
Nebula Hall: Business strategy and scalable AI systems
Infinity Chamber: Developer tools and UI implementations
"This year's focus on Responsible AI couldn't be more timely," noted event organizers. The conference introduced participants to Google's AI Responsible Toolkit, providing practical guidelines for ethical AI development. Tanzania's Sarufi AI platform was highlighted as an example of local innovation in conversational AI.
Community Impact:
Free access to technical training and workshops
Networking opportunities with industry professionals
Hands-on experience with emerging technologies
Career development guidance
Access to global developer resources
The Dar es Salaam chapter, one of GDG's most active East African communities, welcomes developers of all skill levels and backgrounds. Monthly meetups cover various technical topics, with DevFest serving as the annual flagship event. Interested developers can join through GDG's community platform (gdg.community.dev), with no membership fees required.
The event concluded with a hackathon, demonstrating practical applications of the technologies discussed. Local tech leaders, including Janice Maige, Yesaya Athuman, and Georgia Rwechungura, coordinated the program, showcasing the growing sophistication of Tanzania's developer ecosystem.
Other News
CutOff Recycle emerged victorious at Westerwelle Startup Haus Arusha's 2-Year Anniversary pitch competition. It secured a €20,000 prize for its patent-pending conversion of human hair into fertilizer. Led by Christina Manang, the startup competed against KiasiApp's Emans Kiula and Ojanna Foods' David Ojok in the finals judged by former WSH Country Director Collins Kimaro, GIZ Kenya's Linda Omwenga, and Engie Energy Success's Head of Africa Operations Greyson Onesmo Metili. The German Federal Foreign Office-supported event showcased social entrepreneurship initiatives strengthening civil society across East Africa.
Nana Naturals, a handmade organic skincare brand led by Nancy James, secured third place in the AfroGreen ClimAccelerator sustainability competition. The programme is backed by multiple international partners including the Swiss Agency for Development and Cooperation (SDC), European Union (EU), and Irish Aid. It focuses on sustainable business development and legal compliance for growing brands.
The Dar es Salaam Stock Exchange evaluated 28 companies in its inaugural Sustainability Awards, focusing on Environmental, Social, and Governance (ESG) principles. The technical evaluation team, including Dr. Naike Moshi and led by Chairwoman Aisha D. K. Sykes, assessed DSE subsidiaries' integration of sustainability practices into their operations, marking a significant step in advancing Tanzania's sustainable capital markets.
Muhimbili National Hospital (MNH) announced plans to launch liver transplant services in 2024, responding to growing demand evidenced by 5,000 liver-related cases in the past year. Prof. Mohamed Janabi, MNH's executive director, revealed that 2,333 patients were diagnosed with liver tumors, while 607 required transplants. The initiative, developed in partnership with India's Fortis Hospital system, will reduce dependency on overseas treatment. Recent screenings identified over 100 new patients with liver complications, highlighting the urgent need for local transplant capabilities.
That's last week's tech roundup. For tips, feedback, or story suggestions, simply reply to this email. See you next week with more updates from the ground.