East Africa is rapidly becoming a fertile ground for digital technologies, as the community is witnessing tangible growth in digital infrastructure than before. In today’s world, economic growth is closely tied to digital transformation, as a result, governments across the East African Region, non-governmental Organisations(NGOs), startups, and large scale companies are now digitizing their operations every day.
Kenya and Rwanda, for example, have made significant strides, achieving an impressive internet coverage of about 90% and 95% respectively. This progress is attracting the operations of multinational companies like Amazon into their countries. Digitalisation is driving the region’s fintech boom, with mobile money enhancing financial inclusion in the region.
Many East African countries have liberalised the digital sector, allowing digital companies and infrastructure into the countries. Tight regulatory frameworks which existed in the past and did not permit the entry of digital companies have been relaxed and made easier, allowing public-private partnerships for the construction of data centers and other digital infrastructure. Currently in Tanzania, the Universal Communications Service Access Fund (UCSAF) is liaising with telecommunication companies to extend coverage into undeserving areas.
Digital growth in East Africa can be said to be a success story, however, challenges still exist. Harsh climate conditions like wildfires, earthquakes, and strong winds can cause the crash of mobile towers, satellites and even optical fibers across nations, disrupting connectivity. Another challenge worth mentioning is that digital growth in East Africa comes along with a wide spread of cyberattacks on businesses. Digital illiteracy is very high in many of the countries especially in rural areas, leading to low adoption of digital services, resulting in poor returns or loss for private companies.
Digital growth within the region can be sustained if concerted efforts are made by governments and all other stakeholders to address existing barriers
