Due to the lack of confidence in its currency, Zimbabwe has decided to introduce a digital currency backed by gold. The currency is expected to let citizens store value and protect themselves from exchange rate volatility. 

Zimbabwe will soon launch a gold-backed digital currency in an attempt to stabilize its fiat currency, whose continued depreciation against the U.S. dollar is strangling the economy, local media outlet The Sunday Mail reported last Sunday, citing Central Bank Governor John Mangudya (photo).

According to the media outlet, the central bank governor explained that the planned currency would enable people with tiny quantities of Zimbabwean dollars to trade their money for digital tokens to preserve value and hedge against currency fluctuation. 

He said the current high volatility in the exchange rate is linked to expectations of an increase in the supply of foreign currency in the market, with the start of the tobacco auction season. Indeed, the Tobacco Industry and Marketing Board (TIMB) announced on March 8 that national tobacco production is expected to increase by 8.5% in 2023 to 230 million kg, thanks to good weather conditions and an increase in planted area. 

Zimbabwe is facing a severe economic crisis since the early 2000s after former President Robert Mugabe's land reform broke up a key sector of the country's economy and forced it to stop repaying nearly $13 billion in debts to the World Bank, the African Development Bank (AfDB), the European Investment Bank (EIB) and Paris Club member countries.

The expropriation of white farmers discouraged foreign investment and led to a sharp drop in exports, prompting the Mugabe regime to start printing large amounts of money, leading to a long period of hyperinflation. Against this backdrop, the government was forced to abandon the Zimbabwean dollar in favor of the U.S. dollar in 2009. The Zimbabwean dollar was then reintroduced in 2019 in an attempt to revive the stagnant economy, but it has since continued to depreciate against the greenback.

Confidence in the Zimbabwean currency has been low since people saw their savings wiped out by hyperinflation that reached 5 billion percent in 2008, according to the IMF. Most Zimbabweans prefer buying U.S. dollars on the black market to keep them as savings.

In recent years, companies have been using technology to facilitate access to several services. Insurance companies are no exception to the rule. They leverage digital tools to create solutions tailored to the needs of their target populations. 

Naked is an insurtech solution developed by a South African start-up. It allows users to access tailor-made insurance for their cars, homes, or personal properties. The Johannesburg-based startup behind the solution was founded in 2016 by Sumarie Greybe, Alex Thomson, and Ernest North. Since its launch, it has raised about $27.6 million to improve its technology and expand into new markets.

The insuretech solution wants to make insurance more accessible and convenient, by using AI. To achieve its goal, it has set up a mobile app available for iOS and Android users.  Thanks to its conversational agent, it helps users opt for the policies most suited to their needs. 

Once they select the policies they want, they are shown the subscriptions to pay. "...We use AI (rather than brokers and call centers) to run and manage your policy, these cost savings are directly passed on − meaning lower premiums for you," the platform reads. 

Apart from Rose, the conversational agent that helps select the most suited policies,  the solution also has other conversational agents that intervene in specific situations. For example, for claims, the user will interact with Jade. "For normal claims, Jade, our Naked claims chatbot, guides you through the simple process and will ask you a few questions. It can approve some claims instantly. For others, someone will call you back for more details," the platform explains. 

With its promptness and efficiency, Naked has convinced many South Africans. The Android version of its mobile app has been downloaded over a hundred thousand times. In 2019, it won the App of the Year award at an event organized by the telecom operator MTN.

Adoni Conrad Quenum

Through its acceleration programs, collaborative workspace, and networking events, Smart Lab provides young entrepreneurs with the tools and resources they need to develop their ideas and build successful businesses.

Smart Lab is an innovation lab and accelerator launched in 2017 by the Tanzanian digital transformation company Smart Codes. It aims to “fuel learning institutions to change the future of their students by working hand in hand to meet corporate needs.”

In line with its stated mission, the accelerator connects educational institutions with corporate partners to implement innovative solutions that will impact communities, stakeholders, and the African population.  

Its corporate partners are typically companies that are already successful in tech and innovation. During its three-month Corporate Accelerators program, its partner in the program (Vodacom) mentors startups to help them build products and services that solve key challenges through rapid and lean experimentation techniques.

With its Smart Lab Talent, the accelerator assists partner companies in building top-notch engineering teams by offering its tech recruitment expertise.

It also organizes an annual series of quarterly events called Corporate Unwind, where the most influential companies in the Tanzanian ecosystem are invited to share their passion, tools, and tips to make and keep their company successful and influential in their field. The fifth edition took place in September 2022.

With the support of partners such as Seedspace, Ennovate Hub, Digital Opportunity Trust Tanzania, and X Prize Foundation, among others, Smart Lab has organized several hackathons, skills, and talent development programs. It has also created a coworking space for entrepreneurs to work, connect, and innovate collaboratively.

Melchior Koba

Partnerships between African countries are essential to stimulate economic growth, create jobs and let the continent successfully implement its digital plans. The agreement between Rwanda and Guinea falls in line with those goals. 

Last Tuesday, Rwanda and the Republic of Guinea signed a memorandum of understanding for digital cooperation. 

According to Mory Sanda Kouyaté (photo, right), Guinean Minister of Foreign Affairs, the memorandum covers cooperation in ICT, posts and telecommunications, digitization, and e-governance.  

For several years now, Rwanda has made digital technology a pillar of development. To achieve its goals, the country launched in 2017, a National Transformation Strategy aimed primarily at providing quality services and care in the public and private sectors by 2024.

Guinea, for its part, has also launched digital projects to make life easier for its citizens. The transitional government recently launched an institutional reform program to equip the country with new systems and reliable policies adapted to the needs of its population. 

With that bilateral agreement, the two countries will contribute their experience to further develop their respective ICT sectors and position themselves in East and West African digital markets.