Our Work

Enabling Growth Through Investment and Enterprise (ENGINE)

Activities And Approaches

ENGINE’s objective was to increase private sector investment that led to inclusive, broad based economic growth in the Southern Agriculture Growth Corridor of Tanzania (SAGCOT) regions of Mbeya, Morogoro, and Iringa, and in Zanzibar. Applying a market systems development methodology, ENGINE was well placed to help accelerate change and stimulate growth by reforming Local Government Authorities (LGA), energizing business development services (BDS) to help enterprises reach their full potential, and encouraging the uptake of new investment and financial products by small and medium enterprises (SMEs) in agriculture, agribusiness, and ancillary sectors, leading to sustainable economic growth in critical agricultural zones across the mainland of Tanzania and Zanzibar.

Implementing policies for growth by building the capacity of the public and private sectors to review, reform, and implement policies that support business viability, growth, and investment.

Equipping for growth by building the capacity of business development service providers (BDSPs) and stimulating sustainable market demand for their services among growing micro, small, and medium enterprises (MSMEs).

Financing for growth by helping financial institutions (FI) better respond to the needs of small enterprise clients and providing MSMEs access to services designed to improve their ability to qualify and receive credit.

Summary

Tanzania has one of the fastest growing economies in the world. The Enabling Growth Through Investment and Enterprise (ENGINE) program stimulated inclusive, broad-based economic growth through support to the agriculture sector, which makes up a quarter of GDP.  The program streamlined the regulatory, informational, and financial channels that encourage domestic and foreign investment in the southern agricultural regions of Mbeya, Morogoro, and Iringa, as well as in Zanzibar.

Results

USAID ENGINE market systems support and integration activities led to significant impact including:

  • $13,633,814 in new private sector investment facilitated
  • 964 business enabling environment policies and regulations reviewed, revised, or implemented across 11 local municipalities in SAGCOT and Zanzibar
  • 2,095 LGA staff trained on the job in policy analysis, design, and women/youth integration
  • 10,238 MSMEs purchased services from BDS providers, leading to $1,529,636 in new sales for BDSP partners
  • Assisted MSMEs increase revenue by 30 percent and created 1,676 new jobs
  • $7,143,533 in new agriculture-related financing accessed as a result of ENGINE assistance
  • $1,469,150 in total cost share contributions from private sector partners and the value of volunteer services

Funder: USAID (A Feed the Future initiative)
Project Duration: 2016-2020
Award: $19 million

See ENGINE’s Final Report here.

Impact

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