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Saturday, 11 October 2025

FUNGUO EXPANDS ITS INVESTMENT IN TANZANIAN STARTUPS TO TZS 6.5 BILLION

Deputy Executive Secretary – Trade and Innovation at the National Planning Commission, Dr. Blandina Kilama, speaks during the unveiling ceremony of new investees under the FUNGUO Innovation Programme, through which a total of TZS 6.5 billion has been invested to support startups and MSMEs across Tanzania. The event took place on October 10, 2025, in Dar es Salaam.

Dar es Salaam, October 10, 2025 — The FUNGUO Innovation Programme has expanded its catalytic funding portfolio to a total of TZS 6.5 billion, marking a major milestone in advancing Tanzania’s innovation and entrepreneurship ecosystem.

The new round of investment targets 13 high-potential startups and MSMEs from across the country, empowering them to scale impactful solutions, create decent jobs, and accelerate progress toward the Sustainable Development Goals (SDGs).

Investing in Innovation for a Prosperous Tanzania

Initiated and implemented by UNDP Tanzania, with funding from the European Union (EU), the Republic of Finland, and the British Government (FCDO), the FUNGUO Innovation Programme is dedicated to Investing in Innovation for a Prosperous Tanzania.

By tackling systemic barriers to innovation, finance, and business growth, FUNGUO nurtures a vibrant ecosystem for impact-driven entrepreneurs—particularly women and youth—helping them attract follow-on investment and scale inclusive solutions nationwide.

Government Applauds Private Sector Collaboration

Dr. Blandina Kilama, Deputy Executive Secretary for Trade and Innovation at the National Planning Commission, commended FUNGUO’s contribution to national development priorities.

We recognize that government cannot create every job or solve every problem, but it can create an enabling environment where innovators and entrepreneurs can thrive. Our commitment is to align policies with Vision 2050 to ensure innovation and entrepreneurship are prioritized,” she said.

Dr. Kilama also highlighted ongoing reforms to improve the ease of doing business, including the introduction of Crowdfunding Guidelines, as examples of enabling policies to support startup growth.

International Partners Reinforce Support

Mr. Marc Stalmans, Head of Cooperation at the EU Delegation to Tanzania, emphasized the role of the private sector in driving the nation’s growth.

The EU firmly believes that sustainable development comes from the ingenuity and initiative of entrepreneurs. Through FUNGUO, we are proud to support startups that turn innovation into inclusive growth, job creation, and real opportunities for communities across the country,” he said.

Ms. Anna Wilson, Development Director at the British High Commission, reaffirmed the UK’s commitment to inclusive economic growth:

Supporting innovation and entrepreneurship is key to building a stronger, more resilient Tanzanian economy. The UK is proud to be part of the FUNGUO partnership nurturing startups that transform communities and drive lasting impact.”

Meanwhile, Ms. Sanna-Liisa Taivalmaa, Head of Cooperation at the Embassy of Finland, underlined Finland’s long-standing support for innovation and sustainable development in Tanzania.

Through FUNGUO, we are supporting the #GreenCatalyst Initiative, a strong platform empowering women and youth entrepreneurs shaping Tanzania’s innovation within the forestry value chain,” she noted.

Catalyzing the Future

In his welcoming remarks, Mr. John Rutere, Deputy Resident Representative at UNDP Tanzania, emphasized that catalytic investments are vital for unlocking the country’s innovation potential.

Investing in innovation is investing in Tanzania’s future. Through FUNGUO, UNDP is creating opportunities for entrepreneurs to design sustainable solutions that respond to local challenges, create jobs, and contribute to a more inclusive and prosperous Tanzania,” he said.

The event also unveiled FUNGUO’s new cohort of investees, bringing the total number of startups supported to 74. It featured the launch of “Catalysts for Growth: A Landscape Study of Entrepreneur Support Organizations in Tanzania”—a collaborative study with Deloitte East Africa—and a special FUNGUO Edition of Atoms & Bits Magazine celebrating innovation stories from across the ecosystem.

Building an Innovation-Driven Economy

Through initiatives such as #YouthIgnite (a student founders fellowship) and #GreenCatalyst, FUNGUO continues to catalyze innovative businesses across multiple sectors, helping Tanzanian entrepreneurs thrive, scale, and lead the nation’s journey toward sustainable prosperity.


About FUNGUO
The FUNGUO Innovation Programme is a national initiative implemented by UNDP Tanzania in collaboration with the European Union, the Embassy of Finland, and the British High Commission. It supports impact-driven startups and MSMEs through catalytic fundingbusiness development support, and ecosystem strengthening, advancing Tanzania’s journey toward achieving the Sustainable Development Goals (SDGs).

📧 Contact: Agnes.kabissa@undp.org
🌐 Website: funguo.org




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