How Connectivity Could Create More Jobs and Revenues

Without inclusive access to fixed internet infrastructure, people will be building businesses on shaky ground

High unemployment, especially among the youth, remains one of Kenya’s pressing socioeconomic challenges. Figures from June 2020 show that the pandemic exacerbated this, with unemployment rate rising to 21%. While East Africa is proving to make the most resilient post-pandemic recovery among African regions, with Kenya’s GDP projected to grow by 5% in 2021 compared to Africa’s 3.4%, more still needs to be done to foster job creation in Kenya’s growing digital economy.

Digital technologies are transforming global economies across various sectors, leading to the creation of new digitally centred business models, markets, and job opportunities. Kenya’s ICT sector has expanded remarkably in the past decade, growing by an average of 10.8% every year since 2016, but there is still a lack of nationwide broadband infrastructure and more digital skills needed to realise true economic potential.

Connectivity has a major role to play in addressing this. Today, businesses around the world are relying increasingly on connectivity for conducting business transactions and payments, running apps and services in cloud environments, marketing, or simply sharing information with each other. Connectivity has allowed for greater innovation, improved efficiencies, and has also helped businesses to either expand into broader markets or create entirely new revenue models.

The Fourth Industrial Revolution is powered by technologies such as AI (artificial intelligence) and automation, IoT (internet of things), quantum computing, big data, and smart factories – all of which are powered by connectivity. Without the basic infrastructure needed to support these revolutionary technologies, businesses in Africa will be left behind while the world accelerates into a digital future.

Consumers are also moving towards digital interactions – a shift that has been expedited by the pandemic. If businesses want to connect with more customers, and especially in the future, they need to be connected to the internet. Unfortunately, not all Africans have access yet.

The state of African ICT

A report by the United Nations Conference on Trade and Development (UNCTAD) highlighted that the economic distribution of the global digital economy shows a striking divide between countries. The United States and China alone account for 90% of the market capitalisation value of the world’s 70 largest digital platforms, whereas Africa only accounts for 1.3%.

What is clear is that Africa is yet to achieve the adequate infrastructure, digital literacy, and comprehensive policy frameworks to fully support digital businesses. And while total mobile Internet subscriptions in Kenya rose by 4.8% from the second quarter of 2020 to the third quarter, Kenya only had 551,715 wired Internet subscriptions as of September 2020.

Read Also >> Electric Mobility Could Just Be Kenya’s Future

Wired connections such as fibre are much faster, more reliable, and cost-effective in the long term than mobile Internet – provided the infrastructure exists. There is also a significant divide in connection quality between rural and urban areas, which prevents many people from taking part in the digital economy.

If we want to transform the African economy by leveraging new digital opportunities, we need to lay the foundations first. Without inclusive access to fixed internet infrastructure, people will be building their businesses on shaky ground.

The knowledge economy

One of Africa’s biggest barriers to technological adoption is the shortage of digital skills. For this reason, the government of Kenya established the Ajira Digital Programme in 2017 to bridge the skills gap in the digital job market. The programme aims to introduce young people to digital work and provide straining and certifications for IT and networking, software development, sales and marketing, accounting, writing, creative design, and more.

We need to empower more African people and businesses with access to fast and reliable connectivity.

Platforms like Ajira and Upwork are becoming powerful drivers of inclusiveness, linking job seekers to global communities and allowing them to access more opportunities, share knowledge, and move up the employee value chain. According to Kenya’s 2020 Digital Economy Strategy, 638,000 Kenyans have found work through digital opportunities as of January 2020.

Many of these jobs are also listed globally and are available to anyone with an Internet connection, provided they have the right skills. If we can realise a knowledge-based economy by improving digital literacy, we can provide Kenyans with millions more jobs created beyond our national borders.

The jobs of tomorrow

With the world on a clear course towards digitisation, providing Kenyans with reliable internet infrastructure and the right digital skills will be the only way for them to seize current and future job opportunities.

The growth of the ICT sector undoubtedly has the potential for radical socioeconomic change, and advances in technology will only continue to create more digital opportunities. If we want to unlock the true potential of Africa’s workforces, we need to empower more African people and businesses with access to fast and reliable connectivity.

Next >> Flaws In The Certified Managers Bill That Must Be Fixed

Latest

Captain William Ruto: President’s Namesake With a Decorated Career

Captain William Kipkemboi Ruto is officially known by the name William Ruto, which also happens to be President William Samoei Ruto’s official name.

Amazing Origin of ‘Pesa’ and How Shilling Overtook Foreign Currencies

With the establishment of individual Central Banks for the three East African countries, Kenya began printing and minting its own shilling currency notes under the mandate given to the Central Bank of Kenya in 19676.

Engineer Turned Away by 6 Banks Now Owns Multi-Billion Premium Hotel

In just 12 years, PrideInn Hotels & Resorts has grown from one hotel with 28 rooms to eight hotels in five counties.

Resignation of 3 Standard Group Directors Signals Big Trouble

Standard Group Directors: Media house announced through its Nairobi Securities Exchange filing that Dr Githinji Gitahi - who was an Independent, Non-Executive Director - had quit effective 10th November, 2023.

Follow Us

Newsletter

Don't miss

Tusker Oktobafest Rolls East African Cultures into One

From regional events across Kenya to inaugural gatherings in Uganda and Tanzania, and the Tusker Oktobafest grand finale in Nairobi, the festival harmonized traditions, celebrated diversity, and highlighted the rich cultural tapestry of the East African culture

Lupita’s Little Brother Junior Nyong’o Charting His Own Path in Acting

Junior Nyongó, who is also a musician and a DJ and now a graduate of UC San Diego with an MFA in Acting, is crafting his own solid path in the world of acting with roles in major theatre productions.

Safaricom To Power Tusker OktobaFest Beer Festival

Safaricom’s involvement in OktobaFest as a technology and payments partner will focus on fostering seamless in-festival connectivity, empowering the youth and Gen Z community through Safaricom Hook, and powering digital payments through M-PESA.

Music Producers Launch Organization To Streamline Recording Industry

Recording Industry of Kenya (RIKE) was launched on 9th October 2023. Registered in 2022 as a not-for-profit organization, RIKE aims to promote the collective interests of producers of sound recordings in the country.

Nairobi’s Hero Bar Listed Among World’s 50 Best Bars

World Best Bars: Hero Bar in Nairobi continues to climb the list, moving up six places to No.62 and Johannesburg’s Sin + Tax comes in at No.94. Dubai new entry Ergo is at No.69 and Melbourne’s Byrdi has re-entered the list at No.61.

Kenyan DJs Face Off In Smirnoff Battle Of The Beats Season 3

The Smirnoff Battle of the Beats Season 3, a DJ competition, is poised to unleash an unprecedented musical frenzy countrywide.

The Highs And Lows Of Betty Kyallo, Sisters Show As Season 2 Ends

Kyallo Kulture has always been, above all, about sisterhood, and in Season 2 we have witnessed the charm of it - the ups that gave us wholesome moments as the sisters led by Betty Kyallo spent time together.

DStv Beats CNN, BBC To Become Most Admired Media Outlet In Africa

DStv, MultiChoice Group’s leading broadcast service, has been named...

MultiChoice Revises Subscription Fees For DStv, GOtv

MultiChoice has announced price adjustments on some of their...

Octopizzo: How I Make My Money

"I've been doing this for 12, 13 years. It reaches a point where you no longer need to prove that you can make a hit record," he stated.
TONNY TUGEE
TONNY TUGEEhttp://www.businesstoday.co.ke
Tonny Tugee, Managing Director at SEACOM East and North East Africa

Captain William Ruto: President’s Namesake With a Decorated Career

Captain William Kipkemboi Ruto is officially known by the name William Ruto, which also happens to be President William Samoei Ruto’s official name.

Amazing Origin of ‘Pesa’ and How Shilling Overtook Foreign Currencies

With the establishment of individual Central Banks for the three East African countries, Kenya began printing and minting its own shilling currency notes under the mandate given to the Central Bank of Kenya in 19676.

Engineer Turned Away by 6 Banks Now Owns Multi-Billion Premium Hotel

In just 12 years, PrideInn Hotels & Resorts has grown from one hotel with 28 rooms to eight hotels in five counties.

LEAVE A REPLY

Please enter your comment!
Please enter your name here