The Rise of Africa's Tech Industry

Written by Caleb Ogbaji

Africa which in the past was considered a technological dinosaur is now at the precipice of a digital revolution. New day is rising in the continent, that is there is an unprecedented rise in new technologies, startups, and innovation hubs. This digital sunrise helps to pave the way to grow the economy, to develop society and to become one global village.

Thus, the genesis of this technological revolution can be said to have started many decades ago. Early adopters in South African and Kenya embarked on activities aimed at putting in place an environment that would support a digital future with creation of research institutes etc. Mobile phones could be said to have started this revolution but it was the apparent availability of cheap internet that propelled the boom.

Today Africa has Become one of the most active markets for having more startups in tech companies. With a focus on financial technology, which is fast changing the entire financial sector, African entrepreneurs are coming up with very essential solutions to some of the most critical issues back home. These are startups that are formative industries, generating employment to individuals and boosting economic growth besides enriching the lives of millions of people.

They argue that, perhaps one of the most significant sources of the rapid development of Africa's tech industry is growth in venture capital. People are slowly waking up to the fact that the African market is a gold mine and they are investing billions of dollars in technologies. It is through this that the African entrepreneurs are now capable of growing their business by recruiting talented individuals for their firms.

Nevertheless, the African government has remained very active in the funding of the tech industry. As will be illustrated later, there is a growing trend where governments are adopting policies that favour innovation, deregulation of business and provision of information communication technologies. These measures are helping in developing a conducive environment in which technologies can be started up.

The advancement in digital technology in Africa has its own set back. The continent of Africa still lacks adequate infrastructure, has low electricity coverage and a dire lack of skilled tech talent. However, these challenges are being addressed through partnerships between governments, private sector companies, and international organisations.

Nigeria's tech industry is particularly strong in the fintech sector. The country has produced several successful fintech startups that have revolutionised financial services, providing access to credit, payments, and insurance to millions of previously underserved individuals. Companies like Flutterwave and Paystack have gained global recognition for their innovative solutions.

As Africa continues to embrace technology, the continent's future looks increasingly bright. The digital sunrise is illuminating a path towards a more prosperous, inclusive, and sustainable future. By harnessing the power of technology, Africa can leapfrog traditional development models and become a global leader in innovation and economic growth.