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Tanzania gets $170 million AI training institute as South Korea expands digital partnership


South Korea has approved a $170 million Economic Development Cooperation Fund (EDCF) loan to support the establishment of an artificial intelligence and digital technology training institute in Tanzania.

The institute will train professionals in artificial intelligence, robotics, data analytics and the Internet of Things (IoT), with programmes designed to provide both technical knowledge and practical experience for Tanzania’s growing digital economy.

The project will fund the construction of a campus and training facilities, along with AI laboratories and equipment including robotics systems, IoT devices, drones and 3D printers. It will also cover ICT and network infrastructure, curriculum development, and support for the institute’s operation and maintenance.

South Korean AI technologies and education models will be incorporated into the institute’s training facilities and programmes. Korean expertise will also be used to help build the capacity of local education personnel and establish the systems needed to run the institute effectively.

The loan will be provided as a tied EDCF loan, meaning procurement for the project will be limited to South Korean companies. This is expected to create business opportunities for Korean firms in AI, education technology, construction and related sectors seeking to expand into African markets.

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The project could also lead to further opportunities for Korean companies. Tanzania is considering additional training institutes based on the same model, as well as a large-scale data centre, according to South Korea’s Ministry of Finance and Economy.

The institute is being developed as Tanzania seeks to expand its digital and AI industries under its long-term development plans. The country’s Vision 2050 strategy aims to raise GDP per capita to $7,000 by 2050, with technology and industrial development expected to play a role in achieving that goal.

South Korea plans to support the institute beyond construction and equipment by linking the project with initiatives such as the Knowledge Sharing Program, the Global AI Hub and multilateral development bank trust funds.

The loan was approved at the 159th EDCF Management Committee meeting, which also approved changes to rules governing the fund. The revised framework is intended to increase transparency in EDCF projects and give relevant government ministries and private-sector experts a greater role in major projects.

For Tanzania, the institute could help address one of the biggest challenges facing its digital ambitions: developing enough skilled workers to support the growth of AI and other emerging technologies. For South Korea, the project provides an opportunity to introduce its technology and education expertise to a fast-growing African market while creating potential openings for Korean businesses.

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By Tawheda Ali

I cover innovation, startups, sustainability and digital trends shaping Africa's tech landscape. Got a scoop? Reach out at tawheda@techtrendsmedia.co.ke
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