UNCTAD-坦桑尼亚联合共和国快速电子贸易准备情况评估（英文）-2020.5-70页_1mb

Summary of the Rapid eTrade Readiness Assessment of Tanzania

Core Content

The Rapid eTrade Readiness Assessment of Tanzania, conducted as part of the eTrade for all Initiative by the United Nations Conference on Trade and Development (UNCTAD), evaluates the country's readiness to leverage e-commerce for sustainable development. The report identifies seven key policy areas for e-commerce development and provides a detailed analysis of current status, challenges, and recommendations.

Main Findings and Recommendations

1. E-Commerce Readiness Assessment and Strategy Formulation

• Main Findings:

  • Tanzania aims to become a regional e-commerce hub but lacks a focused, stand-alone e-commerce policy or strategy.
  • E-commerce is not mainstreamed into national or sectoral trade development strategies.
  • There is no interministerial committee on e-commerce, and the topic is not typically included in the agenda of existing interministerial committees.
  • Limited public-private coordination on e-commerce issues and no apparent government-private sector coordination body for the digital economy.
  • E-commerce development does not receive much attention from Tanzania's development partners.

• Recommendations:

  • Engage in an inclusive national e-commerce policy and strategy development process led by a champion from the Ministry of Industry and Trade (MIT).
  • Integrate e-commerce into the agenda of the National Committee on Trade Facilitation (NCTF) to enhance public-private dialogue.
  • Establish the NCTF as a steering committee for e-commerce policy and strategy development.
  • Include representatives from the start-up community and e-commerce vendors in consultations.
  • Strengthen the role of e-commerce in negotiations with development partners for support.

2. ICT Infrastructure and Services

• Main Findings:

  • Tanzania has well-developed hard ICT infrastructure, including submarine cables and the National ICT Broadband Backbone (NICTBB).
  • Mobile Internet costs have been reduced but remain unaffordable for many, especially in rural areas.
  • Internet penetration is low at 25-30%, primarily due to the high cost of smartphones.
  • 2G coverage is around 90%, while 3G and 4G coverage is 61% and 28%, respectively.

• Recommendations:

  • Expand the 4G network to cover the entire country, with support from ITU, World Bank, and AfDB.
  • Explore public-private partnership (PPP) avenues for ICT infrastructure development, including last-mile connectivity.
  • Develop strategies to reduce smartphone costs, such as increasing competition, manufacturing low-cost models, or removing excise duties.

3. Trade Logistics and Trade Facilitation

• Main Findings:

  • Tanzania has made significant improvements in transport infrastructure and the implementation of One-Stop Border Posts (OSBPs).
  • The lack of widespread home addressing is a major barrier for last-mile delivery services.
  • Tanzania outperforms most LDCs in the World Bank's Logistics Performance Index (LPI) and OECD trade facilitation indicators.
  • The Tanzania Customs Integrated System (TANCIS) has been established as the platform for the National Single Window (NSW).

• Recommendations:

  • Expedite the implementation of the National Addressing and Postcode System (NAPS).
  • Accelerate trade facilitation reforms to ensure compatibility of customs ICT systems with EAC and SADC countries.
  • Accede to the Revised Kyoto Convention (RKC).
  • Fully implement the National Single Window without delay.

4. Payment Solutions

• Main Findings:

  • Mobile money is the primary tool for accessing financial services in Tanzania.
  • The country has become one of the largest global markets for mobile finance.
  • Despite the growth of mobile money, cash-on-delivery remains the most common payment method, even for e-commerce transactions.
  • There is a significant gender and income gap in the usage of formal financial services.

• Recommendations:

  • Promote the use of mobile money as a key payment solution for e-commerce.
  • Encourage the development of more digital payment options.
  • Address the gender and income disparities in financial service usage through awareness campaigns and affordability measures.

5. Legal and Regulatory Frameworks

• Main Findings:

  • Tanzania has an Electronic Transactions Act (2015) and a Cyber Security Act (2015), but lacks specific e-commerce legislation.
  • A Personal Data Protection Bill is currently being drafted.
  • The Fair Competition Act (2003), which covers consumer protection, is under review.
  • The legal framework is seen as inadequate for fostering trust in the digital economy.

• Recommendations:

  • Develop specific e-commerce legislation to build trust and support digital transactions.
  • Strengthen the legal framework for consumer protection in e-commerce.
  • Ensure that the Personal Data Protection Bill is enacted to protect user data and privacy.

6. E-Commerce Skills Development

• Main Findings:

  • There is a limited understanding of e-commerce across all levels of society.
  • Skills in digital entrepreneurship and e-commerce are not well-developed.
  • The formal education and training systems offer only limited courses on social media and digital marketing for e-commerce.

• Recommendations:

  • Develop a comprehensive curriculum for e-commerce and digital entrepreneurship in tertiary education.
  • Encourage innovation hubs to support the development of new e-commerce businesses.
  • Promote awareness and understanding of e-commerce among the general population.
  • Address the lack of trust between e-commerce vendors and customers through education and policy support.

7. Access to Financing

• Main Findings:

  • Entrepreneurs and MSMEs, including those in e-commerce, face significant barriers in accessing financial services.
  • In 2018, Tanzania had the highest percentage of SMEs in the EAC facing difficulties in accessing bank credits.
  • High KYC requirements, collateral demands, and lack of MSME-tailored financial products hinder access to financing.

• Recommendations:

  • Simplify KYC requirements to make it easier for people to join formal financial institutions.
  • Develop financial products tailored to MSMEs.
  • Encourage the growth of angel investment and venture capital, complemented by government and partner-led schemes.
  • Expand the Enterprise Growth Market (EGM) to serve more SMEs.

Conclusion and Way Forward

Tanzania is well-positioned to integrate into the global digital economy, with a growing economy, strategic geographic location, and a developing innovation ecosystem. However, significant gaps remain in e-commerce readiness, including the lack of a focused policy, limited digital skills, and challenges in trade facilitation and financial access. The eTrade for all Initiative aims to address these challenges and support Tanzania in building a robust and inclusive e-commerce environment.

Action Matrix

The report provides an action matrix outlining the priority actions for e-commerce development in Tanzania, based on input from 42 public sector and 25 private sector stakeholders. These actions include policy development, infrastructure expansion, trade facilitation reforms, payment system improvements, legal framework enhancements, skills development, and financial inclusion initiatives.

Key Institutions and Partners

• Government Bodies:

  • Ministry of Industry and Trade (MIT)
  • Ministry of Finance and Planning (MoFP)
  • Tanzania Investment Centre (TIC)
  • TradeMark East Africa (TMEA)
  • National Committee on Trade Facilitation (NCTF)
  • Tanzania Revenue Authority (TRA)
  • Tanzania Bureau of Standards (TBS)

• International Partners:

  • UNCTAD
  • World Bank
  • ITU
  • AfDB
  • ITC
  • UPU
  • UNCITRAL

• Private Sector and Civil Society:

  • Start-up community
  • E-commerce vendors
  • Financial institutions
  • Innovation hubs
  • MSMEs
  • Development partners

Additional Information

• The report is part of a series of UNCTAD Rapid eTrade Readiness Assessments conducted for Least Developed Countries (LDCs).
• It draws on data from the National Bureau of Statistics (NBS), ITU, UPU, and World Bank, as well as UNCTAD's own data collection.
• The findings are intended to support Tanzania's engagement in e-commerce and digital trade discussions, including those led by the UNCTAD Intergovernmental Group of Experts (IGE) on E-commerce and the Digital Economy.

References

• Abbreviations: A comprehensive list of acronyms and their meanings is provided in the report.
• Annexes:
  • Annex I: Tanzania country profile on etradeforall.org
  • Annex II: Bibliography and websites used
  • Annex III: List of UNCTAD Rapid eTrade Readiness Assessments of LDCs

Summary

Tanzania has the potential to become a regional e-commerce hub, supported by its growing economy, strategic location, and increasing digital adoption. However, the country lacks a focused e-commerce policy, faces challenges in digital infrastructure affordability, and has limited skills and financial access for e-commerce. The report recommends a multi-faceted approach to address these issues, including policy development, infrastructure expansion, trade facilitation reforms, payment system improvements, legal framework enhancements, skills development, and financial inclusion initiatives.