A Female CEO’s Guide to Operating a Business in Tanzania

As countries across Africa begin to  open up their borders, it’s evident that the continent’s best future lies within itself and its untapped potential. The landmark signing of The African Continental Free Trade Area (AfCFTA) agreement opens up numerous opportunities for neighboring countries to collaborate and trade with each other.  With a network of 600 African women entrepreneurs, representing 52 countries, AWEC’s e-learning programs and wide-reaching network are catalysts for building resilient businesses that can venture and expand into new territories. 

Recognizing the need to establish a platform that can harness insights on doing business in Africa,  AWEC recently launched ‘Awake with AWEC’, a 30-minute Instagram Live show that aims to build a resource hub to empower African Women in Business. 

The first guest on the show’s debut was Miranda Naiman, the Managing Director of Empower, Tanzania. She is an accomplished business woman from Tanzania who also sits on the AWEC board of stewards. Shedding light into her journey, Miranda shared some advice on navigating a business through the pandemic as well as some information to keep in mind before venturing into Tanzania. 

How has Tanzania's economy changed in the last few years?

Tanzania sits in the top-ten largest economies in Africa. In July, according to CNBC Africa, the East African country attained ‘lower-middle’ income status. Tanzania has sustained relatively high economic growth over the last decade, averaging 6-7% a year. Despite the COVID pandemic,  the country’s growth is projected at 6.6% in 2020/21. 

How can African business leaders tap into Tanzania’s growing economy? 

• Connect

Miranda Naiman emphasized the importance of due diligence. Before committing to setting up in Tanzania, get acquainted with the culture and connect with the prominent players in your sector. Do your research on the relevant bodies or organisations that you can join. 

As it is in most countries, having a strong business relationship within the local community will ensure you have success when you decide to launch. Be strategic in creating relationships before you commit to establishing your company in Tanzania. 

• Collaborate

According to Miranda, “Collaboration is the new competition!” Test the waters to get real life experience and learn the nuances of business and consumers in Tanzania. Research the players in your industry and seek out collaborations with young and hungry companies that are on the rise. 

A cost-effective and pandemic-friendly plan of action would be to leverage your research, invite those prominent local players to a zoom call, and explore partnerships or test projects. 

• Consult

Mind the laws and regulations. Get familiar with Tanzania’s rules on tax and business to make sure you prevent disappointment or running into trouble. Miranda further urged founders to solicit help from experts early on. It prevents avoidable mistakes and lays down a strong foundation for your business.

How can you add value to the largest economic mover in Tanzania? 

With an economy that is largely agricultural, people interested in doing business in Tanzania should consider services and products that serve the agricultural value chain. 

As Tanzania continues to strengthen its energy capacity, the increased availability of power will open the door for diversification. Industries like manufacturing and communications will start to thrive. These are ripe opportunities for interested investors. 

Furthermore, the Tanzanian workforce is skilled and ready to take up the challenge of growing the economy. Miranda Naiman’s company, Empower, runs a marketplace where businesses from across Africa can list themselves. They also have a database of qualified consultants you can reach out to for advice and consultancy services. 

As with every venture, careful planning and forethought will help you set up a successful business in Tanzania. At AWEC, we equip African women entrepreneurs with practical knowledge on how to build and grow a business sustainably. Fellows in the program also gain access to a priceless network of ambitious women from across Africa and the diaspora. 

With allies like Miranda, who also serves on AWEC’s Board of Stewards, we’re creating a movement of women poised to take advantage of business opportunities in Tanzania and throughout the continent.