The FUNGUO Innovation Programme, a flagship initiative co-funded by the European Union, the Republic of Finland, and the British Government (FCDO), and implemented by UNDP Tanzania, has officially launched announced two exciting funding opportunities aimed at unlocking the potential of Tanzanian entrepreneurs and catalyzing sustainable growth across key sectors.
Speaking at the media briefing, Karina Dzialowska, Head of Economics and Governance for the European Union in Tanzania, reaffirmed the EU’s commitment to fostering inclusive growth and innovation.
“What began as a pilot 4 years ago has evolved into a cornerstone of Tanzania’s ecosystem. FUNGUO has become a pivotal accelerator, providing essential technical assistance and funding to help start-ups scale and unlock broader financial opportunities.”
She further stated that “I am here today, to emphasize the incredible opportunity this call presents and to urge you to take up this opportunity. And I would like to especially reach out to our inspiring young women.
We aim to award at least 40% of grants to female entrepreneurs, but whether we will achieve this goal, this will depend on you applying to this call.”
William Nambiza, Coordinator for Development Cooperation at the Embassy of Finland in Tanzania, said, “Through #GreenCatalyst and its partnership with the Finnish funded Forest, Land use and Value Chain Development Project (FORLAND), we’re committed to creating green jobs, protecting natural resources, and scaling local forestry innovation.”
He emphasized Finland’s support for MSMEs, adding, “We want to catalyze the growth of innovative businesses in the forestry value chain, and we encourage more entrepreneurs to apply and take advantage of this opportunity withing the #GreenCatalyst Initiative.”
Echoing this, John Rutere, UNDP Tanzania’s Deputy Resident Representative, highlighted the significance of these opportunities, saying, “This is about building a resilient pipeline of businesses that solve real problems and drive sustainable change.”
He added that through the FUNGUO Programme, supported by the EU, UK, and Finland, over 5,000 jobs have been created and more than TZS 15 billion in additional funding mobilized, following TZS 5.2 billion invested in 61 startups.
First is the #GreenCatalyst Initiative, a dedicated funding window under FUNGUO that supports early-stage and scaling micro, small, and medium enterprises (MSMEs) operating within Tanzania’s forestry value chain.
This call targets businesses that are innovating in areas such as woodcraft, bamboo products, eco-packaging, alternative charcoal, forest-friendly agribusiness, eco-tourism, and digital forestry services.
The initiative particularly prioritizes enterprises based in or linked to the regions of Iringa, Njombe, Ruvuma, and Lindi, with a strong focus on inclusion by supporting youth, women, and persons with disabilities. Selected ventures will receive catalytic funding ranging from TZS 10 million to TZS 100 million, alongside tailored technical support, business development assistance, access to markets, digital tools, and training in climate-smart innovation.
This initiative complements the Finland-supported FORLAND Project and contributes directly to job creation and sustainability within Tanzania’s green economy.
Furthermore, the programme has launched its 4th General Call for Funding, which targets Tanzanian startups that are post-revenue, impact-driven, and poised for growth.
The call invites applications from businesses that can demonstrate innovation and the potential to contribute meaningfully to areas such as climate action, youth employment, digital transformation, and sustainable livelihoods.
Startups selected through this round will receive non-equity catalytic grants, support to strengthen their investment readiness, access to mentorship opportunities, and greater visibility within Tanzania’s innovation ecosystem.
Both calls are now open, and applications must be submitted online through the official FUNGUO website at www.funguo.org
The FUNGUO Innovation Programme continues to provide catalytic funding, technical assistance, and ecosystem support to Tanzanian startups and innovative MSMEs.
Since its launch, the programme has supported 61 ventures, helping them grow, access investment, and contribute to Tanzania’s national development goals.
