Bridging the financial literacy gap in Tanzania’s music industry

Music and financial experts agree that Tanzania is brimming with potential, but the inability of many artistes to manage their earnings wisely has become a stumbling block to success. For upcoming musicians, the consequences can be devastating.

“I recorded my first song in 2022, and within a year, I earned almost Sh15 million from just one hit. But by the end of it, I had nothing to show for it,” shared a young artiste who attended the Tanzania Music Industry Stakeholders Event in Dar es Salaam on November 21, 2024.

“I didn’t know how to invest the money, and I couldn’t even afford to record another song immediately,” he said.

This artiste’s plight mirrors the experiences of many. While some musicians enjoy fleeting success, their lack of financial knowledge leaves them vulnerable, often forcing them to abandon their careers.

Experts at the event, organised by Mdundo.com under the theme; Digital music business ecosystem: Reaching mass market through the power of music, underscored the urgent need for financial education.

The Head of Communications and Public Relations at CRDB Bank, Mr Emmanuel Kiondo, pointed out the risks of financial illiteracy.

“We have seen countless examples of musicians earning significant amounts but later falling into poverty. This is because they lack the knowledge to invest their earnings wisely,” he said.

Mr Kiondo added, “Musicians often spend their hard-earned money on unnecessary things. When challenges arise, they are left with nothing. To change this, we need to educate them on managing and investing their income wisely. It’s time to abandon outdated practices.”

He also highlighted a lack of unity among the industry stakeholders as a major obstacle to addressing this issue. “The absence of collaboration means artistes miss opportunities to learn from one another,” he noted.

The digital advantage

Alongside financial literacy, the experts emphasised the importance of digital platforms in transforming the music industry.

While mainstream radio and television channels remain selective, platforms like Mdundo.com offer artistes a broader audience reach.

“Many musicians still don’t know how to use digital platforms to distribute their works. This knowledge gap means they miss out on opportunities to benefit from their talent,” said a music industry expert, Mr Aman Martin.

Mr Martin urged the artistes to embrace technology to avoid pitfalls such as signing unfavourable contracts or failing to maximise their reach. “Those who understand and use digital systems effectively stand a better chance of success,” he explained.

The Managing Director of Mdundo.com, Ms Maureen Njeri, showcased how their platform supported artistes.

“We connect musicians to share and distribute their content widely, ensuring they benefit from their work. We prioritise local music, especially Swahili songs, to give artistes a platform that celebrates their identity,” she said.

Media’s role in supporting artists

The Creative Editor at The Citizen, Ms Lucy Tomeka, underscored the media’s potential to shape narratives and support artists.

“As the media, we can amplify artistes' voices and create a sense of support through storytelling. But we must also educate them on promoting Tanzania’s culture,” she said.

Ms Tomeka drew parallels with Nigeria’s music success, where artistes have dominated the African scene and gained global recognition.

“Nigerians have shown how cultural promotion through music can put a country on the map. We need to ensure our local creatives achieve similar heights,” she added.

She highlighted The Citizen’s efforts to celebrate Tanzanian artists and promote local culture.

“Our platform connects Tanzania to the world. We aim to elevate our creative scene through our stories and ensure future generations understand and celebrate Bongo Flava and other Tanzanian-born art forms,” she said.

Unity among the industry stakeholders is seen as a critical factor in overcoming these challenges. Experienced musicians can mentor younger ones, sharing lessons on financial management and leveraging digital platforms.

Artistes also need to be proactive. By seeking financial advice and engaging with digital tools, they can avoid the pitfalls that have cost many their careers.

Platforms like Mdundo.com offer a starting point, but a collective effort is needed to create a sustainable ecosystem.

With proper financial education and a stronger embrace of digital platforms, Tanzanian artistes have the potential to thrive.

But this requires collaboration between artistes, industry players, financial institutions, and the media.

“Our artistes have the talent and drive to succeed,” said Martin. “What they need now is financial and digital knowledge to sustain their careers and make a lasting impact on the economy,” he added.