Scaling Impact in Ethiopia’s Education Sector

In early 2024, Kuraz Technologies, an Ethiopian EdTech startup founded in 2020, was named among the first 12 EdTech enterprises in the Mastercard Foundation’s inaugural EdTech Fellowship in partnership with Reach for Change, a three-year initiative designed to scale innovative education solutions across Ethiopia.

Founded by a trio of developers, Kuraz Tech develops grade 12 prep courses in response to the rampant failure rate in the University Entrance Exams.

Ethiopia’s classrooms are overcrowded, its teachers overstretched, and its students underprepared. While 85% of children enroll in primary school, UNESCO data shows retention rates plummet in later grades, particularly in rural areas. Digital learning tools, which could alleviate some of these pressures, remain inaccessible to 78% of secondary students.

The consequences of such bottlenecks are stark; in 2022, only 3.3% of the 896,520 grade 12 students who took Ethiopia’s national university entrance exam scored above 50%, leaving the majority without pathways to higher education or skilled employment.

Kuraz, which emerged as a response to this crisis, initially focused on creating preparatory courses for grade 12 exams. The startup has since expanded its offerings to include an integrated Learning Management System (LMS), an Online Exam System, and an E-book Platform.

These tools cater to a diverse audience, from high school students preparing for university exams to university students and career shifters acquiring new skills. Currently, Kuraz serves over 8,500 users, a number that continues to grow as the startup expands its reach.

For Kuraz, the fellowship marks a critical juncture in its mission to tackle one of Ethiopia’s most persistent challenges, a failing education system.

“It was an incredible honor to be one of the first 12 startups chosen for the EdTech Fellowship.” Said Bisrategebriel Fisseha, Co-founder and CEO of the Startup.

He believes the program strengthened their commitment to quality education throughout Ethiopia and motivated them to strive for more. “The fellowship provided crucial support for our growth and success, including valuable resources, mentorship from inspiring leaders, and connections with other innovators.” Bisrategebriel added.

The Fellowship participants state that the program has accelerated growth that might otherwise have taken years. Mentorship helped refine the startup’s strategy, while equity-free funding of up to $60,000 per enterprise enabled operational expansion. 

The MasterCard Foundation EdTech Fellowship program was unveiled last year in partnership with Reach for Change, a social enterprise incubator. Running from February 2024 to January 2027, it targets impact enterprises and prioritizes gender-balanced leadership.

The program will incubate a total of 36 EdTech enterprises, contributing to improved access to inclusive education and learning outcomes for children and youth in Ethiopia (serving 576,000+ learners, educators, and caregivers, especially in underserved communities).

Since joining the program, Kuraz has increased its user base by 30%, launched an Online Exam System integrated with its LMS, and expanded services to underserved regions. It was also listed among the top 50 EdTech companies in Sub-Saharan Africa by HolonIQ, a global education market intelligence firm.

“The program has been instrumental in scaling our impact in Ethiopia’s education sector. It enabled us to reach more users by enhancing our platform’s features and expanding our reach.” Bisrategebriel told Shega.

Challenges persist, however. The fellowship commitment of $60,000 came before the floating of the Birr and the policy change complicated financial planning and day-to-day operations. Still, the startup is moving forward, with a new software-as-a-service (SaaS) product tailored for schools underway while partnerships are being forged to reach remote areas.

The broader ambition for both Kuraz and the Fellowship is systemic change. By 2027, the Fellowship expects its cohort of startups to demonstrate measurable improvements in learning outcomes, particularly for marginalized groups.

For Kuraz, this means not only scaling its platforms but also advocating for policies that prioritize digital accessibility. “Quality education shouldn’t depend on geography or income,” underscored Bisrategebriel “Technology can level the field if it reaches those who need it most.”

Ethiopia’s education gaps are deep-rooted, but the rise of EdTech ventures like Kuraz underscores a potential shift towards solutions that blend local contexts with innovation.

Whether these efforts can translate into lasting change will depend on sustained investment, adaptability to economic realities, and collaboration between startups, policymakers, and communities.

The Fellowship’s early results, however, hint at its potential. In 2024, the startups in its program reached 94,000 users, of which 38,000 were female and 56,000 were male. These included 85,000 youth, 248 with disabilities, and 3,000 displaced individuals.

As Ethiopia’s education gaps are deep-rooted, sustained success will require collaboration between startups, policymakers, and communities, as well as adaptability to economic realities.