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Funding pool worth TZS 1.45 billion in FUNGUO Catalytic Grants and iMBEJU Soft Loans. Funding pool demonstrates Tanzania's dedication to bolstering creative, impact-driven companies. 40% of the funds were set aside for women-founded or women-led firms.In an effort to boost Tanzanian entrepreneurship, FUNGUO, in collaboration with CRDB Bank’s iMBEJU project, proudly revealed the third batch of 18 innovative SMEs and prospective startups. Following the third Call for Funding Applications, which was issued in September 2024 and received over 400 applications nationwide, this cohort is the outcome of a fiercely competitive procedure. The funding pool, which is worth TZS 1.45 billion in FUNGUO Catalytic Grants and TZS 355 million in iMBEJU Soft Loans, demonstrates Tanzania’s dedication to bolstering creative, impact-driven companies that support the country’s SDGs, youth empowerment, and job creation.
Through this strategic partnership, companies will have more opportunities to grow and succeed by combining reimbursable funds from the CRDB Bank Foundation’s iMBEJU program with transformative, non-repayable grants from FUNGUO, which is supported by the European Union. The fact that 40% of the funds were set aside for women-founded or women-led firms is noteworthy and highlights how crucial gender inclusiveness is to Tanzania’s innovation ecosystem.
The chosen companies come from a variety of industries, such as agriculture, energy, the circular economy, healthcare, and financial services, and they frequently provide technology-driven solutions with the goal of transforming lives in a sustainable way. These companies seek to solve urgent social issues while generating jobs, especially for young people. In addition to creating more over 4,000 direct and indirect jobs, FUNGUO investees have raised TZS 15.5 billion in additional capital over the previous cohorts. This influence will be amplified by this year’s cohort. In addition to cash, these businesses will join the earlier startup cohorts and gain access to specialised technical support, opportunity presentation, and investor profiling to boost their expansion and draw in additional finance. Tanzanian entrepreneurs will be able to thrive in the future because to FUNGUO and iMBEJU’s creation of an innovative environment that will greatly advance the country’s social and economic advancement.
“Innovation is the backbone of our nation’s progress, and today, as we have witnessed the unveiling of the third cohort of investees under the FUNGUO Innovation Programme in partnership with iMBEJU, we celebrate the bold ideas and entrepreneurial spirit driving Tanzania’s future,” said Hon. Jerry Silaa, Minister of Information, ICT, and Communication, speaking at the unveiling event. In order to enable companies to develop solutions that have an impact on our communities and foster a digital and inclusive economy, the Ministry of Information, Communication, and ICT is dedicated to sponsoring programs like this one.
“The European Union is proud to support Tanzanian startups with catalytic funding, reinforcing the pivotal role of innovation in driving economic transformation,” said Ambassador Christine Grau, EU Head of Delegation, highlighting the wider impact. With more than TZS 1 trillion currently set aside for private sector development, we are cultivating an environment that allows entrepreneurs to flourish and generate long-term employment opportunities for young people. “Tanzania’s youth are a vital force for change,” said UNDP Resident Representative Shigeki Komatsubara, underscoring the significance of investing in young talent. We are releasing their potential and giving them the tools they need to develop, innovate, and propel our economy forward through programs like FUNGUO.
With an expanding legacy, FUNGUO has proven since its founding that judicious investments in entrepreneurs can have a long-lasting positive social and economic impact. The program keeps expanding its scope and strengthening Tanzania’s startup ecosystem by collaborating with similar-minded organisations including CRDB Bank’s iMBEJU program. This milestone demonstrates the transformative impact of cooperation between the government, private sector organisations, and development partners in empowering business owners, generating employment, and hastening the SDGs’ achievement.
