TICGL’s Economic Research Centre has published a discussion paper authored by Dr. Bravious Felix Kahyoza (PhD, FMVA, CP3) and Amran Bhuzohera, which explores how digital entrepreneurship and policy reforms can transform Tanzania’s Generation Z (Gen Z) into a driving force for inclusive economic growth.

The paper highlights the emerging role of youth innovation, technology adoption, and digital skills development in shaping Tanzania’s economic future. Drawing on Dr. Kahyoza’s expertise in financial modeling, investment strategy, and development policy, the study emphasizes the need for adaptive policy frameworks that empower young entrepreneurs and foster sustainable, technology-driven growth.

With over 30% of Tanzania’s population falling within the Gen Z cohort (ages 13–28), this generation represents the country’s most digitally fluent and innovation-oriented demographic. The paper argues that Tanzania’s young people are uniquely positioned to drive digital transformation, job creation, and economic diversification—if supported by inclusive policies and strategic investments.

Key Findings and Insights

• Gen Z as a digital powerhouse: More than 70% of Tanzanians under 30 actively use digital tools to earn, learn, or trade. However, only 45% of youth have internet access, limiting the scalability of their economic potential.
• High informality but high innovation: Despite 82% informal employment in non-agricultural sectors, Gen Z is leveraging mobile money, fintech apps, and e-commerce to create digital livelihoods, signaling a shift toward the “digital hustle economy.”
• Case studies of success:
  • Nala, a Gen Z–founded fintech startup, processes over $100 million in remittances annually, employing 50 young developers.
  • Ramani, an agritech platform, uses AI to digitize supply chains for 10,000 young farmers, creating 200 youth jobs.
• Continental momentum: Across Africa, Gen Z-led ventures—especially in fintech and AI—are driving innovation, with Africa’s e-commerce sector projected to hit $75 billion by 2025.
• Private sector commitment: Initiatives like the Tony Elumelu Foundation and DAI Global have already supported 42,000 Tanzanian youth apprenticeships, showing how PPPs can expand digital inclusion.

Policy Gaps and Opportunities

While Tanzania’s Digital Economy Strategic Framework (2024–2034) and National Youth Development Policy (2024) provide a strong foundation, implementation gaps persist—particularly in access to funding, digital infrastructure, and gender inclusion.

Key structural constraints include:

• Limited financing for youth-led start-ups.
• Low broadband penetration in rural areas (only 31% of households).
• A disconnect between education curricula and digital economy needs.

Policy Recommendations

To unlock Gen Z’s digital potential, the paper proposes a comprehensive set of reforms:

1. Digital Literacy Subsidy Program: Public-private partnerships (PPPs) should provide subsidized digital training for 2 million youth by 2028, reducing NEET rates by 15%.
2. Fintech and Agritech Start-up Fund: Local grant mechanisms and gender-inclusive finance to support 500,000 Gen Z entrepreneurs.
3. PPP-Led Broadband Expansion: Extend rural connectivity to 80% of households under UNESCO’s Digital Agenda Initiative.
4. AI and Innovation Hubs: Establish at least five national digital innovation hubs linked to universities to incubate youth-led ventures.
5. Tax Reforms for Digital Enterprises: Incentivize tech startups with 0–5% tax brackets for early-stage growth phases.

Conclusion

Tanzania’s Gen Z holds the key to the nation’s digital and economic future. With policy coherence, infrastructure development, and public-private collaboration, Gen Z can evolve from digital consumers into creators of sustainable wealth and innovation.

The authors emphasize that digital entrepreneurship is not merely an economic strategy—it is a pathway to equity, inclusion, and intergenerational transformation. By 2030, with well-implemented reforms, Tanzania could emerge as one of Africa’s leading hubs for youth-led digital innovation.

📘 Read the Full Discussion Paper:
“Empowering Tanzania’s Gen Z: Economic Inclusion Through Digital Entrepreneurship and Policy Reforms”
Authored by Dr. Bravious Felix Kahyoza (PhD, FMVA) and Amran Bhuzohera
Published by TICGL | Economic Research Centre
🌐 www.ticgl.com