Tanzania’s digital ecosystem underwent considerable change during former President Magufuli’s 2015-2021 rule. Internet infrastructure expansion was prioritized, but last-mile connectivity gaps persist. Citizens enjoy more widespread 2G and 3G coverage, but Tanzania lags behind its regional counterparts. Low levels of digital literacy and a lack of locally relevant content undermine inclusive adoption of digital technologies. An important legacy of the Magufuli era was the constriction of civic and online spaces. While there has been greater openness over the past two years, nearly all of the restrictive laws remain in place and prospects for amending or repealing them are uncertain. How the draft November 2022 Personal Data Protection Bill is implemented could serve as a marker for regulation of the digital space under the Hassan administration. The digital economy is in early stages of development. Mobile financial services drive digital financial services (DFS) uptake. The payments infrastructure is well established, but growth is undermined by high and inconsistent taxes. The startup ecosystem requires additional funding sources, mentorship opportunities, and increased coordination among different actors.
Tanzania Digital Ecosystem Country Assessment (DECA): Country Snapshot
Date published: May 4, 2023