The World Bank’s recent brief, titled “Digital transformation drives development in Africa,” reveals that enhanced internet access in Nigeria and Tanzania over three years resulted in a 7% decrease in extreme poverty.
Additionally, it highlights an 8% rise in both labor force participation and wage employment due to this increased connectivity.
The World Bank said, “In 2023, a World Bank flagship report found that in Nigeria and Tanzania, extreme poverty declined by about seven per cent after three or more years of exposure to internet coverage, while labour force participation and wage employment increased by up to eight per cent.”
According to the brief, Andrew Dabalen, the Chief Economist for Africa at the World Bank, stated:
“The minimal usage of mobile internet is a lost opportunity for inclusive growth in Africa. Closing the uptake gap would increase the continent’s potential to create jobs for its growing population and boost economic recovery in a highly digitalised world.”
The brief further highlights that over the past five years (2016-2021), sub-Saharan Africa experienced an extraordinary 115 per cent increase in internet users, a change that has been instrumental in spurring economic growth, fostering innovation, and creating job opportunities.
The brief adds, “The region’s digital infrastructure coverage, access, and quality still lag other regions. At the end of 2021, while 84 per cent of people in SSA lived in areas where 3G service was available, and 63 per cent had access to 4G mobile coverage, only 22 per cent were using mobile internet services.
“The gap between coverage and usage is similarly large for broadband, with 61 per cent of people in sub-Saharan Africa living within the broadband range but not using it.”
Dr. Bosun Tijani, the Minister of Communications, Innovation, and Digital Economy, highlighted that while the cost of data in Nigeria remains among the most affordable globally, he expressed concern over the reluctance of many operators to install fiber infrastructure in areas beyond major cities, citing the perceived lack of profitability.
| Punch