Geographies in Depth

4 ways Africa’s digital growth can benefit everyone

People surf the internet at a free Wi-Fi spot at Kigali international airport as results begin to trickle in from general elections, in the capital Kigali, August 9, 2010.

Image: REUTERS/Finbarr O'Reilly

Claver Gatete
Minister of Finance and Economic Planning, Rwanda
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The Digital Economy

This article is part of: World Economic Forum on Africa

When Rwanda’s socio-economic progress is discussed, what’s usually highlighted is the country’s disciplined approach to economic growth and commitment to avoiding the pitfalls of corruption.

However, while these components certainly played a significant role, another key factor in Rwanda’s transformation is often overlooked. Following the 1994 genocide, the country’s leadership recognized that any process that focused too heavily on a handful of leaders would be bound to fail. Instead, they pioneered a brand of inclusive development that sees every citizen of Rwanda as a partner of the government in driving and achieving national goals.

As technological innovation and start-up success spurs economic growth around the world, there is a growing concern that this new wealth generation is benefiting only a limited few, instead of sparking a global revolution that removes boundaries, promotes equality and reduces the wage gap. Yet, this does not need to be the reality, and Africa is uniquely positioned to apply the following lessons to ensure that technological progress doesn’t just create a new class of wealthy individuals, but drives socio-economic progress for the wider population.

This graph shows how digital friendly Rwanda is, breaking it down into separate fields, such as how many businesses are connected to the web and how well digital technologies are governed.

1. Equality for all

One of the biggest concerns in the technology industry is the limited role women have played in core development, which in turn has an impact on the number of women in leadership roles at major tech companies. But for any society that wishes to reap the benefits of digital innovation, promoting gender equality is an absolute necessity. Beyond the critical value of having diverse opinions emanating from leadership positions, it allows a society to tap into the full potential of its citizens and benefit everyone.

In many African countries that are only now cultivating flourishing technology industries, there is a unique opportunity to right this critical wrong before it even becomes an issue. In Rwanda, for example, there is a near 50% rate of women enrolled in computer engineering courses in higher education and programmes are being run throughout the country to introduce young girls to engineering at a younger age, thereby fostering a tech ecosystem that will promote equality.

The more diverse the pool of potential technological leaders, the more likely it is that we’ll be able to identify the solutions that can change the world. It isn’t just an ethical necessity, but an economic one as well.

2. Cross-sector pollination

For every successful start-up, there are a handful that never achieve their potential due to a lack of opportunity. While it is important that entrepreneurs work hard to find ways to succeed, it is equally important that governments identify and fill certain gaps where they can be of assistance.

Even now, when there are many external investors intrigued by the growth of the African economy and looking to get involved, there are still gaps that can best be filled by the unique resources and reach of government institutions. Whether it be funding, opportunities to pilot new technologies or other public-private partnerships, governments perform an important function in the flourishing of an innovative ecosystem, especially while external investors gain confidence in it. Cross-pollination between the private and public sectors can have huge benefits, and the more governments can actively facilitate these relationships, the better.

3. The importance of education

The battle to create more efficient bureaucracies in Africa is ongoing, and while there have been tremendous steps taken across the continent to follow the lead of countries which have made it a priority, this is just the first step. Ensuring that the wider population benefits from the progress achieved through digital innovation is directly connected to how much of this we, in turn, invest back directly into the people.

Rwanda’s “disadvantage” of being a landlocked country focused its attention on a different resource: its people. Whether a country benefits from revenues from oil, mining or any other natural resource, the key to long-term growth is enhancing the capabilities of its human capital. Education must be the focus – and not just in the classic sense of primary, secondary and higher education facilities – but also in vocational training and hands-on skill-building.

The more people are empowered to take control of their own financial destiny, the more they will be able to lead changes in their community and take ownership over the wider development of their countries.

4. Sustainable infrastructure

While it isn’t exactly an earth-shattering proclamation that infrastructure is key to development, there is a specific application in Africa that must remain at the centre. Rwanda has an opportunity to learn from the challenges and mistakes of other regions and avoid the long-term negative implications of certain decisions. Sustainability in our infrastructure development and a focus on the next generation of technologies will dictate the ability to drive success.

The growth of the global technology industry could benefit everyone in Africa, but only if governments can offer support and enable citizens to take advantage of it. Africa’s qualities as a young, developing and motivated region will help ensure that the age of digital innovation brings success to the wider population.

This article is part of our Africa series. You can read more here.

The World Economic Forum on Africa took place in Kigali, Rwanda from 11 to 13 May.

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