The Ghanaian government has made digital technology a cornerstone of its socioeconomic development strategy. The administration plans to launch a $5 million fund to support technological innovation across the country.

Ursula Owusu-Ekuful (photo, center), Ghana’s Minister of Communications and Digitalisation, officially unveiled the country’s new Digital Economy Policy and Strategy last week. This roadmap aims to harness digital technologies to spur economic growth, improve public services, and ensure equitable access to digital resources.

The strategy focuses on five key pillars: entrepreneurship, digital skills, digital government, universal access, and emerging technologies.

According to the minister, the policy is designed to enhance and accelerate Ghana’s ongoing digital transformation efforts. Ghana currently ranks 108th globally on the 2024 E-Government Development Index (EGDI) by the United Nations Department of Economic and Social Affairs (UNDESA), with a score of 0.6316 out of 1. While this places the country above the averages for West Africa (0.3957) and the African continent (0.4247), it remains slightly below the global average of 0.6382.

In the ICT Development Index, Ghana scores 66.2 out of 100, according to the International Telecommunication Union (ITU), which also recognizes Ghana as a global leader in cybersecurity practices.

“By aligning digital efforts with job creation and GDP growth, the policy aims to ensure that technology becomes a powerful engine for inclusive development, reducing poverty and enhancing prosperity for all Ghanaians,” the Ministry of Communications and Digitalisation stated in a news release.

A joint study by the International Finance Corporation (IFC) and Google forecasts that Africa’s digital economy will be worth at least $712 billion by 2050, representing approximately 8.5% of the continent’s GDP.   In Ghana, data from the Ghana Statistical Service (GSS) reveals that the ICT sector contributed GHS 21 billion ($1.36 billion) to GDP in 2022, accounting for about 4% of the economy. This marks a significant increase compared to its contribution of GHS 4.4 billion in 2016.

By Isaac K. Kassouwi,

Editing by Sèna D. B. de Sodji

The integration of digital technologies is gradually transforming traffic management, providing innovative solutions to streamline traffic flow and enhance safety. In Africa, these initiatives are gaining momentum, reflecting a commitment by countries to modernize their transportation infrastructure.

On Friday, November 29, Senegal’s Minister of Infrastructure, Land, and Air Transport, Malick Ndiaye (photo, right), met with Terry HE (photo, left), President of Huawei Northern Africa (North, West, and Central Africa). Their discussions focused on the implementation of a road traffic digitization project aimed at improving traffic flow and enhancing road safety across the country.

During the meeting, several adjustments were agreed upon to maximize the project’s impact. A comprehensive coverage plan for the Dakar region was finalized, including the strategic deployment of digital systems for optimal coverage. The number of traffic radars will be doubled, with a particular focus on high-risk interurban areas prone to accidents. Additionally, the project will include the training and immersion of 10 Senegalese engineers tasked with independently managing the digital platforms and infrastructure introduced through the initiative.

This visit follows Huawei’s recent presentation of its intelligent and connected transport system to Senegalese government officials, specifically designed for Dakar. The project aligns seamlessly with Senegal’s ongoing digital transformation strategy, which aims to modernize infrastructure while integrating innovative technological solutions to address urban and national mobility challenges.

Scheduled for rollout next year, the project aspires to significantly improve traffic fluidity, reduce accidents, and enhance the enforcement of traffic regulations. Moreover, the training of Senegalese engineers will bolster the nation’s technological capabilities, ensuring the project’s sustainability while fostering local expertise in strategic digital sectors.

By Samira Njoya,

Editing by Sèna D. B. de Sodji

Smart Africa Alliance started in 2013 with a goal to turn Africa into one big digital market by 2030. Digital technology is now a major force for development, making this mission even more important to solve many of Africa’s challenges. At the 2024 Digital Transformation Forum (ATDA) in Abidjan, Smart Africa’s CEO, Lacina Koné, talked to Ecofin Agency (EA) about the alliance’s projects and his hopes for Africa’s digital future.

WAT: What are Smart Africa’s main projects?

Lacina Koné (LK): We are currently managing 34 initiatives grouped into four key areas: connectivity, innovation, transformation, and acceleration. Each member country of the alliance selects a flagship project based on its priorities in emerging technologies. We then develop a concept note, a master plan, and a pilot project. If the pilot succeeds, it’s handed over to private partners for national or continental deployment.

One example is the One Africa Network project, with the motto “Roam like at home”. It aims to eliminate roaming charges for Africans traveling between countries, similar to what exists in Europe. Pilots began in East Africa (Rwanda, Kenya, Uganda, Tanzania, etc.) and have expanded to West Africa with recent agreements involving Côte d’Ivoire, Ghana, Togo, and Benin.

Another critical project focuses on digital identity. Digital transformation isn’t possible without reliable citizen identification, as data always belongs to someone.

WAT: What are the main challenges hindering digital growth in Africa and bridging the digital divide?

LK: The biggest challenge is the regulatory framework. It’s not just about creating rules but harmonizing them across the continent. With 1.4 billion people, Africa cannot be viewed through the lens of a single country. Policy harmonization is essential to attract investments.

Contrary to popular belief, the issue isn’t a lack of funds but the regulatory environment needed to secure them. Additionally, African states often focus on regulation without promoting innovation. Globally, the private sector drives innovation, with governments adapting to follow, except in rare cases like Estonia.

WAT: Does Smart Africa invest in skill development for young Africans?

LK: Absolutely. Transformation starts with education. We’ve observed that even decision-makers often lack understanding of digital issues. We launched the Smart Africa Digital Academy (SADA) four years ago to address this. Today, it operates independently with $20 million in funding over five years.

SADA targets several groups: policymakers, tech-savvy public officials, tech entrepreneurs, and the general public. It focuses on STEM (science, technology, engineering, and mathematics) education with a hands-on learning approach rather than rote memorization.

However, national education reforms must complement these efforts. Major global tech companies now prioritize talent over degrees. We need to prepare our youth for this shift.

WAT: Does Smart Africa advise governments on digital policies?

LK: Yes, that’s one of our core missions. We collaborate with partners like the GSMA and the United Nations Economic Commission for Africa (UNECA) on topics such as taxing emerging technologies.

Each African country faces unique financial and sovereignty challenges. It’s vital to understand that the digital economy is a key driver for development, far more than agriculture, which is often seen as central.

For instance, digital technology enables banking without banks, telemedicine without hospitals, and online education without universities. This sector is crucial for speeding up socio-economic development. We work to help policymakers realize this and shift their perspectives. While revenue pressures sometimes lead governments to tax the digital sector, we advocate for them to explore its broader potential, such as formalizing the informal economy, which accounts for up to 70% of Africa's economic activity.

WAT: What role can digital technology play in the African Continental Free Trade Area (AfCFTA), especially in cross-border payment interoperability?

LK: Africa has over 30 central banks. Countries with independent central banks often collaborate more easily on cross-border payments than those in monetary unions like WAEMU or CEMAC.

In 2023, we ran pilots between Ghana (cedi) and Togo (CFA) and between Rwanda and the Democratic Republic of Congo. These initiatives aim to lower transfer costs using mechanisms like mobile money. However, when currencies have to pass through the euro or dollar, costs rise. Interoperability requires coordinated political decisions, and innovation will be key to solving this challenge.

WAT: Can you explain the Smart Africa Trust Alliance (SATA) project?

LK: SATA aims to interconnect African countries’ digital identification systems while respecting their sovereignty. For example, someone from Benin could access services in Côte d’Ivoire, like obtaining a SIM card, without their ID’s authenticity being questioned. This project, already adopted by 15 countries, enhances transparency and trust between states, facilitating the free movement of people and services.

WAT: Does the digital sector have a bright future in Africa?

LK: Without a doubt. I would even say Africa’s future depends on digital technology. Unlike physical resources, information grows when shared. Digital technology allows an entrepreneur in Côte d’Ivoire to target 1.4 billion African consumers with similar habits, whereas sectors like agriculture remain limited to local markets. Africa’s immense potential lies in its digital transformation.

Interview by Moutiou Adjibi Nourou

He is an inspiring leader driven by a determination to promote technological innovation and foster entrepreneurial growth. As an entrepreneur and builder of startup ecosystems, he is deeply committed to leveraging technology as a catalyst for sustainable development in Africa.

Ayuk Etta (photo) is a Cameroonian serial entrepreneur recognized for his expertise in technology and sustainable development. He is the co-founder and CEO of Mountain Hub, an innovation and technology center.

Mountain Hub supports underfunded entrepreneurs in Francophone Sub-Saharan Africa by offering business creation, incubation, and acceleration services. Its mission is to help startups succeed through a wide range of programs and events designed to support their launch, growth, and expansion.

By partnering with entrepreneurs, Mountain Hub acts as a co-founder, transforming innovative ideas, technologies, and business models into high-growth companies. The center also provides assistance in key areas such as fundraising, accounting, legal affairs, and human resources.

Ayuk Etta also serves as the president of Mountain Angel Network, an investment company focused on supporting technology projects. He leads Iknite, a startup studio, and is the founder of the Cameroon International Tech Summit (CITSCM). This annual summit aims to transform Cameroon’s tech and innovation ecosystem by bringing together innovators, entrepreneurs, companies, universities, governments, development organizations, and embassies.

In 2015, Ayuk Etta founded Skylabase, a software development startup specializing in the microfinance and healthcare sectors, where he served as CEO until 2019.

The Cameroonian entrepreneur holds a bachelor’s degree in computer software engineering from the University of Buea, earned in 2014. His career began in 2010 at Diligent Bilingual Foundation, where he spearheaded the establishment of computer labs. In 2013, he became a software engineer at ActivSpaces, a Cameroonian tech innovation hub. Later, in 2017, he joined Kuelap, a fintech company, first as a partner and then as Managing Director for Africa in 2019.

By Melchior Koba,

Editing by Sèna D. B. de Sodji