Unpacking Tanzania’s digital economy strategic framework 2024-2034

Tanzania recently launched its Digital Economy Strategic Framework 2024-2034, which provides a conceptual model and principles of a modern Tanzanian economy. The framework acknowledges the transformative power of digitisation across various sectors of the Tanzanian economy. It lays out a roadmap that will serve as a catalyst for economic diversification in Tanzania, steering the country away from long-standing industries such as agriculture and manufacturing into more varied economic outputs. This is encompassed under the vision “To transform Tanzanians through cutting-edge, supportive, and affordable digital technologies, solutions, and skills in all areas of socio-economic activities.”

The framework is built on six key pillars:

1.   Enabling Digital Infrastructure: Tanzania’s digital economy strategic framework highlights the importance of developing a strong digital infrastructure as the foundation for economic growth. It outlines three key components: basic facilitative, hard, and soft digital infrastructure. The strategy prioritises the implementation of a pay-once, dig-once fibre optic rollout to lower costs and improve ICT infrastructure, including fixed and mobile telecommunications networks, Fibre to the X (FTTx) fibre setups, submarine cable systems, and wireless broadband technologies such as 4G, 5G, and future 6G networks. Additionally, the framework focuses on expanding digital platforms like Jamii Namba (Unique Digital Identifier) and Jamii Data Lake, which will establish a national digital identity system to streamline service delivery across various digital platforms.
2.   Governance and Enabling Environment: To ensure a structured approach to digital transformation, the strategy emphasises institutional arrangements and a robust legal and regulatory framework. A Digital Transformation Working Group (DTWG) will be established and co-chaired by the Permanent Secretary of the Ministry responsible for ICT and a representative from the private sector. The Tanzania National Business Council (TNBC) will serve as the Secretariat to the DTWG. For public sector coordination, a Steering Committee, chaired by the Permanent Secretary of the Prime Minister’s Office, will oversee the implementation of the digital economy strategy, with the ICT Ministry’s Permanent Secretary acting as secretary. The framework also underscores the importance of public-private partnerships (PPPs) in fostering innovation while ensuring consumer protection. Additionally, it advocates for a fair and proportionate taxation system that supports the growth of the digital economy.
3.   Digital Literacy and Skills Development: Recognizing the need for a digitally skilled workforce, the strategy highlights essential competencies such as coding, data analysis, artificial intelligence, machine learning, predictive analytics, cybersecurity, digital marketing, and user experience (UX) and user interface (UI) design. To expand the number of youth equipped with these skills, the government intends to establish digital institutions and training centres to provide specialised education. Furthermore, the framework promotes investments in inclusive digital infrastructure and solutions that create platforms for skill development.
4.   Digital Innovation Culture and Enabling Technologies: The strategy identifies key emerging technologies to drive economic growth, including cloud computing, big data analytics, cybersecurity innovation, artificial intelligence, blockchain, the Internet of Things (IoT), and next-generation 5G mobile technology. The framework recommends creating a conducive environment for local and foreign investments in technology and innovation development to foster an innovative ecosystem.
5.   Nurturing Digital Inclusion and Accessibility: Ensuring that all individuals and communities can effectively access and use digital technologies is a crucial element of the strategy. Expanding broadband infrastructure is central to this goal, requiring significant investment in the National ICT Broadband Backbone (NICTBB) to make internet services widely available and affordable. The government is considering funding NICTBB’s public broadband network extension or providing subsidies to telecommunications companies, including TTCL and major mobile network operators (MNOs). Additionally, the strategy emphasises digital inclusion for persons with disabilities by mobilising resources to equip them with digital skills and ensuring accessible technological solutions.

6.   Digital Financial Services: The final pillar of the strategy focuses on enhancing digital financial services by fostering collaboration between the government and digital finance service providers. The goal is to establish platforms facilitating digital transactions for domestic and cross-border payments. The framework strongly emphasises interoperability among digital financial services and enhances Tanzania’s Revenue Authority’s capacity to monitor online transactions and efficiently collect taxes.