TANZANIA’S DIGITAL RISE: What the latest TCRA report tells us

DAR ES SALAAM: TANZANIA is becoming more digital every day. From mobile phones and mobile money to internet banking, social media, online government services and digital businesses, communications technology is increasingly becoming part of our daily lives.

The latest Communications Sector Performance Report for the quarter ending June 2026, published by the Tanzania Communications Regulatory Authority (TCRA), gives us a useful picture of how quickly this transformation is taking place.

The figures are encouraging. However, behind the impressive numbers are challenges that Tanzania must address if the benefits of digital transformation are to reach everyone.

117 million telecom subscriptions

According to TCRA, Tanzania had approximately 117 million telecommunications subscriptions by June 2026, up from 111.9 million in March. This represents growth of 4.51 per cent in only three months.

This does not mean Tanzania has 117 million individual mobile users. Many people have more than one SIM card. Nevertheless, the figure shows how important mobile communications have become.

The market is also competitive. Vodacom accounted for 33 per cent of subscriptions, followed by Yas at 28.6 per cent, Airtel at 20.5 per cent, Halotel at 16.4 per cent and TTCL at 1.5 per cent.

Such competition can help encourage innovation, better services and affordable prices.

Tanzanians are consuming more internet

Perhaps an even bigger story is the growth of the internet.

Internet subscriptions increased by 6.48 per cent to 62.79 million, while internet penetration reached 89.7 per cent.

More importantly, Tanzanians are using considerably more data. During the quarter, data consumption increased by 11.65 per cent to 1,041 Petabytes. Mobile broadband remains the main way Tanzanians access the internet, accounting for 59.84 per cent of internet subscriptions.

These figures show that the mobile phone is no longer mainly for making calls and sending SMS. It is increasingly becoming a gateway to banking, education, government services, entertainment, business and information.

Interestingly, local voice traffic increased by 7.44 per cent while SMS traffic fell slightly by 0.05 per cent. This may indicate a gradual shift towards internet-based communication.

The smartphone gap

There is, however, an important challenge behind these internet numbers.

The number of smartphones connected to operators’ networks increased by 5.16 per cent to 31.34 million. Smartphone penetration therefore increased from 42.50 per cent in March to 44.74 per cent in June 2026.

Meanwhile, featurephone penetration remained much higher at 83.38 per cent.

TCRA itself observes that smartphone penetration remains relatively low compared with the country’s broad network coverage and identifies affordable devices as an important opportunity for bridging the digital divide.

This deserves attention

We can build 4G and 5G networks across Tanzania, but if millions of people cannot afford smartphones, they cannot fully benefit from advanced digital services.

Government, operators, financial institutions and other stakeholders should therefore explore practical ways of making smartphones more affordable, including devicefinancing arrangements and encouraging local assembly.

5G is becoming a reality

Tanzania’s network infrastructure is also improving.

TCRA reports broadband population coverage of 93.95 per cent for 3G, 94.39 per cent for 4G and 34.18 per cent for 5G.

The expansion of 5G is particularly significant. 5G is not simply about downloading videos faster. Over time, it can support smart industries, telemedicine, artificial intelligence, connected transport and the Internet of Things.

But Tanzania should increasingly ask a bigger question: How do we turn this infrastructure into economic and social value?

The real success of 5G should eventually be measured not only by coverage but also by how businesses, schools, hospitals, farmers, innovators and government institutions use it.

Rural Tanzania must not be left behind

Another challenge is geographical inequality.

Dar es Salaam recorded approximately 21.53 million telecommunications subscriptions, followed by Mwanza with 7.75 million, Arusha with 7.04 million, Mbeya with 6.73 million and Dodoma with 6.24 million.

This demonstrates why investment in rural connectivity remains important.

The 758-tower UCSAF project, bringing connectivity to around 1,400 villages and approximately eight million previously underserved citizens, is an important step towards closing this gap.

But putting up a tower is only the beginning.

People must also afford devices and data, know how to use digital services and have access to useful local content. Tanzania therefore needs to move beyond simply providing connectivity towards providing meaningful connectivity.

Mobile money is changing the economy

Mobile money remains one of Tanzania’s biggest digital success stories.

TCRA reports that mobile money subscriptions increased by 7.5 per cent to approximately 87.05 million during the quarter.

Mobile money is no longer simply about sending money to relatives. Tanzanians use it to pay electricity bills, school fees, government charges, merchants and many other everyday expenses.

This provides enormous opportunities for financial inclusion and small businesses. However, increased dependence on digital financial services also increases the importance of cybersecurity.

Cybersecurity must grow with digitalisation

As Tanzania becomes more digital, cybercrime and online fraud become increasingly important concerns.

The sector recorded 7,334 fraudulent attempts, representing a decline of 25.29 per cent from the previous quarter.

The decline is encouraging, but thousands of attempts remain a warning.

Cybersecurity should therefore not be viewed as something for ICT experts alone. Every person using mobile money, online banking, email or social media is part of the cybersecurity environment.

Public awareness must continue to promote simple precautions such as protecting passwords and PINs, avoiding suspicious links, verifying unexpected requests for money and never sharing one-time passwords.

From connectivity to transformation

The overall message from TCRA’s June 2026 report is positive. Tanzania is making impressive progress in telecommunications, internet usage, mobile money, smartphones and advanced mobile networks.

The next phase should be about turning these numbers into improvements in people’s lives.

A farmer should use connectivity to obtain market information. A student in a rural village should access quality learning materials. A small business should reach customers beyond its neighbourhood. A patient should benefit from digital health services.

As Tanzania pursues its Digital Economy Strategic Framework 2024–2034 and Tanzania Development Vision 2050, communications infrastructure will remain an important foundation for national development.

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Ultimately, Tanzania’s digital success should not be measured only by SIM cards, towers, smartphones or Petabytes.

It should be measured by how technology improves the lives, productivity and economic opportunities of Tanzanians.