According to the World Bank, only 36% of Africa's 1.3 billion population has access to the internet, and in some connected areas, the service quality is subpar compared to other regions.
The institution estimates that an $86 billion investment is needed to connect the entire African continent to the internet to reap digital dividends.
However, the lack of services that can drive increased internet usage poses an additional hurdle to the development of Africa's digital economy.
A collaboration between the World Bank and the African Union (AU) on the Digital Economy for Africa (DE4A) initiative, aimed at digitally empowering all individuals, businesses, and governments in Africa by 2030, could change the region's digital landscape.
"80% of the funding will come from the private sector"
This partnership has already improved Africa's digital landscape, increasing broadband access from 26% to 36% and raising the average broadband download speed from 2.68 Mbps to 8.18 Mbps. Additionally, the cost of 1GB of data has been halved, dropping from 10.5% to 5% of the gross national income (GNI) per capita monthly.
Isabel Neto, Head of Digital Development Practice for Eastern and Southern Africa at the World Bank, who participated in Connect Africa 2024, cautioned against the slow pace of connectivity on the continent, despite numerous ongoing initiatives. While the DE4A initiative has made significant progress, she believes the pace of advancement needs to be accelerated. The World Bank has identified 22 indicators and prioritized six programs to track the progress of this initiative.
She spoke at the inaugural plenary session of the Africa Connect Summit 2024, themed: "Public-Private Sector Collaboration for Accelerating Digital Economic Growth.
"Aiming for an ambitious project, she stated that the ambitious project, which will require an $86 billion investment, aims to ensure that businesses, governments, and enterprises across Africa are connected and empowered.
She noted that the substantial investment required for this initiative cannot be borne solely by African governments, emphasizing the need for public-private partnerships for the success of this ambitious project.
"It will take $86 billion for the entire Africa to be connected. 80% of the funding will come from the private sector. This collaborative approach will mobilize resources and expertise from different sectors, thus accelerating the pace of digital connectivity on the continent," Neto said. Despite 55% infrastructure coverage across the continent, internet usage remains low.
"Innovative solutions and concerted approaches are needed"
Despite progress, Africa faces several major challenges in connectivity. Uneven network coverage, especially in rural and remote areas, limits internet access for many populations. Additionally, high costs of internet services are a major barrier for many users, especially in low-income regions. Underdeveloped infrastructure, geographical challenges, and language barriers also complicate the establishment of effective connectivity across the continent.
To address these challenges, innovative solutions and concerted approaches are needed. Investments in telecommunication infrastructure, including fiber optics and mobile networks, are essential to expand network coverage and improve service quality. Favorable government policies, such as liberalizing the telecommunications market and reducing taxes on internet equipment and services, can help reduce costs for end users. Additionally, initiatives to develop digital skills, such as training in internet use and information technology, are essential to encourage broader and more effective adoption of digital technologies across the African population. By fostering technological innovation and encouraging public-private partnerships, Africa can overcome these challenges and realize its potential as a global leader in the digital economy.
In line with the Digital Economy for Africa (DE4A) initiative, a collaboration between the World Bank and the African Union, which aims to transform the digital landscape of the region by 2030.