Startup ecosystem sees rapid growth

DAR ES SALAAM: THE startup ecosystem has recorded a rapid growth with the number of active ventures rising by 24 per cent to exceed 1,000, last year.

The growth has been underpinned by support from more than 95 local organisations offering structured training, mentorship and networking opportunities to early-stage businesses.

This coordinated backing has helped to strengthen operational capacity and accelerate growth, particularly in strategic sectors such as agriculture, fintech, healthcare and e-commerce.

Finland Ambassador to Tanzania, Theresa Zitting lauded the country’s rapid digital transformation and the strength of its entrepreneurial community.

“Around the world, we are living through a time of profound change and here in Tanzania, that change is gaining momentum,” she said during the Nordic Week 2025 innovation event in Dar es Salaam yesterday

The Ambassador stressed the critical importance of communication and collaboration in scaling startups.

“There’s no single formula for building a thriving startup ecosystem,” she said.

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Additionally, she said but wherever it succeeds, two things are always present: founders supporting each other and public-private actors working together to remove barriers.

“Innovation doesn’t thrive in silence. Today [yesterday] is about refining your message and connecting with partners who can help you grow,” Amb Zitting said.

Highlighting digital innovation as a catalyst for inclusive economic growth and improved public services, Amb Zitting drew inspiration from Finland’s own journey.

She referenced Slush, the globally renowned startup event that began as a grassroots student initiative, as a model for Tanzanian entrepreneurs to emulate.

Finland’s longstanding partnership with Tanzania continues to evolve through impactful initiatives such as the Tanzania ICT Programme, the EU’s Digital for Tanzania (D4T) project and the Funguo Innovation Programme.

These efforts exemplify the transformative potential of sustained collaboration.

“We explore opportunities together, often supported by Finnpartnership, which facilitates business cooperation and provides financial support for joint ventures,” she said.

Tanzania Startup Association Chief Executive Officer, Zahoro Muhaji said such partnerships are crucial for job creation, knowledge exchange and scalable innovation.

“The real strength of Tanzania lies in its people especially our educated, ambitious youths. The digital and startup sectors offer them tangible pathways to employment and global relevance,” Mr Muhaji said.

Meanwhile, Joseph Manirakiza, Programme Manager of the Funguo Innovation Programme under the United Nations Development Programme (UNDP), urged participants, students, entrepreneurs, policymakers and advisors alike to embrace the moment.

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“Let this mark the start of new ideas, fresh connections and innovative projects. Every global innovation begins with one person sharing a local idea,” Mr Manirakiza said.

The Nordic Week event, supported by COSTECH and innovation hubs across the country, served as a vital platform for increasing visibility, building networks and fostering strategic partnerships.