Small and medium-sized enterprises (SMEs) account for roughly 95% of businesses in Tanzania and contribute about 35% of the country’s GDP, employing over half of the workforce. Over 90% of SMEs, according to reports from the World Bank, operate within the informal sector.
Yet for many of these enterprises, transport and logistics remain among their most significant operating expenses. The kariokoo market region for instance, whose TRA returns in 2024/2025 were close to Tsh400M per day, has majority of its businesses depending on cargo shipments into the
country and then subsequently product deliveries to locals in Dar es Salaam and other regions.
There are over 5000 other informal businesses and these do depend on the movement of customers towards them or orders to the customers using ride-hailing services.
Employees in service based SMEs such as consultants, brokerage firms and other agencies also cannot do without the transport function. Client visitations, event attendance, presentation meetings, and other needs generally place a hefty price tag on mobility expenses.
In urban centres like Dar es Salaam where congestion and fuel price volatility increase day-to-day expenses, a growing trend of SME adaptation of cost saving solutions for mobility can be witnessed in ride-hailing.
Over 70% of businesses registered with Bolt Tanzania are SMEs, reflecting their higher reliance on flexible mobility solutions compared to large corporations that typically operate internal fleets and maintain dedicated transport budgets. For SMEs, fixed fleet ownership often
means maintenance costs, idle vehicle time, insurance, and fuel exposure. Ride-hailing offers a variable-cost alternative — paying only for actual trips made.
Bolt for Business provides digital tools that allow companies to centralize transport payments, monitor employee ride usage in real time, and generate expense reports — reducing leakages and improving accountability. Affordable ride options further help SMEs manage budgets without
compromising operational efficiency.
“SMEs are the backbone of East Africa’s private sector. For many of them, efficient, affordable transport is the difference between breaking even and scaling up. Ride-hailing, when integrated with smart business tools, directly supports this journey,” says Milu Kipimo, Regional Manager
& Head of Bolt for Business Africa.
As urbanization accelerates and fuel costs fluctuate, structured digital mobility solutions may prove central to keeping Tanzania’s SMEs competitive and cost-efficient.
