Introduction
This decade is witnessing a steady expansion of Tanzania's innovation ecosystem. From 2021 to 2023, the number of startups increased by 43.4%, from 587 to 842. This growth has created over 112,000 jobs, up 53.7% from 78,071 in 2021. However, funding remains a challenge.
Investments dropped from $80.575 million in 2022 to $48.4 million in 2023. Dar es Salaam remains the primary tech hub. But its dominance is slowly decreasing. In 2022, 66.56% of startups were based in Dar. By 2023, that figure had dropped to 56.47%. This shift suggests a gradual decentralization of Tanzania's tech scene, with other regions gaining traction.
For example, Zanzibar (population: over 1.9 million) is making its own progress in the technology sector. On August 17, 2024, the island will host its first Tech Summit at the Pavilion in Fumba Town. This event supports the "Silicon Zanzibar" public-private initiative launched in 2022. It isn't officially part of Silicon Zanzibar. But it shares similar goals. The event organizers and CPS Africa (developers of Fumba Town) are working to keep the vision of a tech-first Zanzibar alive. This comes at a time when the future of Silicon Zanzibar seems uncertain, especially after some key supporters (such as Daniel Yu’s Wasoko) left the island.
Silicon Zanzibar aims to transform the island into a tech hub for Africa. It provides extensive incentives to attract digital-first companies and talent. Benefits include 10-year corporate tax exemptions and shortened work visa acquisition processes for technical professionals. These efforts have already produced results:
In November 2023, the Indian Institute of Technology (IIT) Madras established its first international campus in Zanzibar.
Princeton University has partnered with the African School of Economics to deliver STEM and social science courses.
The government has implemented a Digital Health Strategy (2021–2026), a Digital Economy and Statistics Map, and a Digital Government Strategy launched in 2023.
But laws and schools aren't enough to build a strong tech community. That’s why this summit matters.
What's Happening at the Summit?
The day will be full of talks, workshops, and chances to meet people. It features:
Speeches from entrepreneurs
Group discussions about emerging technologies and business ideas
Hands-on learning sessions
Time to meet other tech workers and make plans
We don't know all the speakers yet, but Daniel Meller, who creates digital products, and Richmond Ohalewe, a product designer from Nigeria, will be there.
Why Does It Matter?
The event aligns closely with Zanzibar's recent policies. The Digital Health Strategy aims to improve citizen wellbeing through affordable modern technologies.
The Digital Economy and Statistics Map focuses on using internet-powered tools for efficiency and capacity building. The Digital Government Strategy, on the other hand, seeks to accelerate Zanzibar's overall digital transformation through initiatives like Mastercard's partnership with the Zanzibar e-Government Agency (eGAZ) to digitize payments in sectors like tourism.
In addition, the summit is about spreading tech growth across Tanzania. Right now, Zanzibar lags in some areas. There are only 84 mobile phones per 100 islanders, compared to around 374 SIM cards per 100 inhabitants in Dar es Salaam alone.
Zanzibar also falls behind the mainland in digital merchant payments adoption, with just 2% of adults using "Lipa Namba" monthly versus 13% in Tanzania. On a positive note, 78% of people in the archipelago use mobile money, compared to 72% on the mainland.
Those basic tech infrastructure gaps show both problems and opportunities for new ventures. The gathering could help Zanzibar become a place to test new financial tech, start ocean-focused businesses, or attract remote talents (freelancers).
Challenges to Overcome
Building a tech hub isn't easy. Unguja and Pemba face some big issues:
Power and internet aren't always reliable.
There aren't enough skilled tech workers.
It's hard for new companies to get money to start and grow.
This Zanzibari summit, among other focus areas, needs to talk about the above obstacles and look for solutions.
How to Attend
Below is what you need to know if you want to go.
When: August 17, 2024
Time: 10:00 a.m.–3:00 p.m.
Where: The Pavilion, Fumba Town
Ticket Price: TZS 20,000 ($7.4)
How will you get there?
From mainland Tanzania: Boats leave from Dar es Salaam every day. Azam Marine's tickets start at TZS 35,000 ($13). You can also fly. It only takes about 20 minutes in a nonstop flight from Julius Nyerere International Airport (JNIA) to Abeid Amani Karume International Airport (AAKIA).
Where to sleep: The organizers have partnered with Aura Space Zanzibar. Use coupon code ZTS24 when booking at aura-space.com or call +255 654 828 976 for accommodation at Fumba Town and get a 10% discount. Alternatively, you could explore available options on airbnb.com or booking.com. We recommend staying in Stone Town, Mbweni, Chukwani, or Fuoni.
What It Means
If the Zanzibar Tech Summit's (ZTS) first edition succeeds, it could create new jobs, bring in more capital for tech projects, and help solve local problems with new ideas.
ZTS 2024 is just the start. Building a strong tech community takes time. But it's an important first step in making Zanzibar more than just a place for tourists.
If you work in tech, invest in new companies, or just want to learn about new ideas, this summit could be worth your time. It's a chance to be part of something new in Tanzania’s innovation ecosystem.
To attend, please register at zanzibartechsummit.com or buy tickets on the Senjaro web app.