Nearly 150 companies and individual submissions made the shortlist for Kenya’s Tandaa Digital Content Grant. The Tandaa Digital Content Grant, a competitive campaign to unearth and finance web and mobile-phone apps developers, was unveiled last year by the Ministry of Information and Communication, through the Kenya ICT Board.

At its inception 15 grantees benefited—companies, individuals and groups of varying sizes. But this year the Kenyan government will double direct funding through grants.

The renewal of this successful initiative will see 30 awards being doled out to shortlisted candidates in varied categories. The Ministry of Information and Communication says the highly attractive Tandaa Digital Content Grant is worth up to US$50, 000 for companies, US$10, 000 for individuals and teams, plus a matching grant of US$150, 000 for established companies.

The grant is further evidence of Kenya’s bold and thoughtful ICT policy framework, which is increasingly backed by solid initiatives. It will further stimulate ICT innovation and could spur greater economic growth. ICT already account for five cents in every dollar of Kenya’s annual income. The policy is solid to the extent that it tackles the key hindrance to the expansion of Kenya’s ICT sector: financing. Companies, particularly start-ups, that specialize in web and mobile solutions face major hurdles in their quest to access funding. The risky nature of their ventures, getting innovation to market successfully, also heightens the perception of risk in financial circles.

However, the challenge of financing mobile-innovation must be tackled in a more meaningful way: a sustainable solution, not simply grants. A mixture of subsidized loans, and targeted finance for micro and medium size technology firms is necessary for a potent long-term strategy to find a toehold. Grants have a place in the overall strategy, but they are not central to the long-term financing challenge.

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