Transforming Tanzanian universities into economic enterprises

Abstract

Universities are increasingly viewed as economic actors, contributing to innovation, talent development, and regional economic growth. In many developed contexts, universities serve as entrepreneurial ecosystems. Yet, in developing countries, the economic potential of universities remains largely untapped. This study examines how universities can be transformed into economic enterprises without compromising their academic integrity. Using qualitative data from focus group discussions and secondary sources, the study identifies governance, funding, and weak industry linkages as key constraints. Findings indicate that mass enrolment pressures threaten quality and that structural barriers inhibit economic contributions. Mass enrolment has been forced on universities, so the quality of academics is at risk. The study suggests improved governance systems, collaboration with the industry, and reforming the tax and procurement policies to incentivize research and consultancy. Through these strategies, universities in Tanzania can contribute to economic development. This study contributes to policy dialogues to reposition universities as strategic actors in national development.