Exploring the Challenges Facing the ICT Industry Innovation Processes in Tanzania

Exploring the Challenges Facing the ICT Industry Innovation Processes in Tanzania

Edigar Myula Msangawale, Ellen Kalinga, Honest Kimaro, Faraja Igira
DOI: 10.4018/IJICTRAME.330645
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Abstract

One strategic area in research and development is to promote innovation for economic development and technology transfer. In a knowledge-based economy, innovation is omnipresent, and its significance is never disputed. Tanzania is aware that information and communication technology (ICT) is the major enabler of socio-economic growth; hence, it needs more ICT innovations, which has shown a slow growth due to many challenges. ICT innovation has significantly impacted private sectors compared to public sectors. The main challenge is mainly in public sectors and individuals. The study explores ICT innovation challenges towards effective participation in innovation actors. The methodology includes a systematic literature review and the primary data collected from the case study area on Tanzania's public and private sectors. The study revealed that though funding and capital to Innovation factors are the major challenges, more challenges have been explored. The study comes up with best practices to persuade ICT innovation participation from the grassroots to the university.
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Introduction

Information and Communication Technologies ICT is a major factor influencing economic change (Okeleke, 2019). Governments operate to influence the growth of the socio-economy. Among other countries, Tanzania aspires to become a middle-income country by 2025 (NICT Implementation Strategic Plan, 2016). The National ICT aims to promote local manufacturing of ICTs and enhance Research and Development (R&D), innovation, and entrepreneurship for the ICT innovation Policy (NICTP,2016). The Government has involved several public organizations promoting ICT innovations: the Tanzania Commission for Science and Technology (COSTECH) through Dar Teknohama Business Incubator (DTBi) and learning institutions to generate ICT professionals. The Tanzania Government has also formulated the Ministry of Information and Communications Technology in order. Tanzania established the ICT Commission in 2015 to coordinate and facilitate policy implementation (ICT Commission, 2021). Tanzania also formulated The Ministry of Information, Communication, and Technology in September 2021 to monitor the implementation of ICT and Postal services policies. It is envisaged to drive the digital transformation agenda in Tanzania amongst the global fourth phase of the industrial revolution (MICT, 2022).ICT innovations have also been increasing in the private sector, specifically in mobile money, facilitating the financial inclusion of most Tanzanians and creating job avenues. It is believed that inclusive ICT innovation can be a driving force for development through innovative ICT solutions. However, its start-up and implementation have been facing many challenges. Other coordinating agencies are hosted by higher learning institutions such as the University of Dar es Salaam through the University of Dar es Salaam ICT Centre (UDICTI), The University of Dar es Salaam Innovation and Entrepreneurship Centre (UDIEC), and the University of Dodoma through newly established Innovation Spaces and Incubation Centres (UDOISIC).

According to a study done by Danish International Development Agency DANIDA (2012), ICT policies from different countries and institutions have the following expectations on ICT issues:

  • Canada - recognizes the value of using ICTs to support its five thematics; (Continue government spending on innovation, improving technology adoption and use, creating healthy business ecosystems, preparing Canadians for automation, and providing access to digital services.

  • Priorities - Canada encourages and supports greater access to innovation and emerging technologies, such as social media, to build the conditions for secure, equitable development and to promote good governance.

  • Finland – has given particular focus to information- and knowledge-society as well as innovation systems as part of the transformation of the green and inclusive economy

  • Germany – indicates that the important and sustainable development impacts of ICT rely to a large extent on private sector-driven innovation, implementation, and distribution of ICT services

  • The United States for International Development (USAID) - has numerous ICT-focused initiatives, including the Global Broadband and Innovations program and the Mobile Solutions team

  • The World Bank Group – the strategy is to use ICT to transform, innovate and connect: Using ICT to transform service delivery across sectors; supporting ICT innovation for jobs and competitiveness across industries; and scale-up connectivity – affordable access to broadband internet.

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