Focus on Harnessing Africa’s Digital Potential in the last Foresight Africa Report from Brookings

Focus on Harnessing Africa’s Digital Potential in the last Foresight Africa Report from Brookings

19 February 2018

The chapter five of the last Foresight Africa report from Brookings Institution focuses on Harnessing Africa’s Digital Potential: New Tools for new age with a look at the Kenyan digital revolution.

According to the author of this chapter, Njuguna Ndung’u, former Governor of the Central Bank of Kenya, digitization will provide the opportunity to leapfrog not only financial developments but also development across other sectors of the economy in Africa. Nevertheless, the changes will benefit the economies investing in infrastructure and implementing appropriate regulation. For Njuguna Ndung’u digitization is transforming African economies in four major ways:

  • Retail payments systems with the use and the centralization of electronic payments
  • Financial inclusion: Digitization has brought financial services to the doorsteps of many African households. Njuguna Ndung’u perceives financial inclusion has an enabler of development and a powerful tool to achieve the Sustainable Development Goals. In addition, digital financial services create opportunities beyond financial inclusion. For example, the formulation of effective monetary policy frameworks.
  • Sustainable business models with the development of new products to support the development of specific sectors, such as agriculture and energy
  • Revenue administration and service delivery: digitization has helped for instance to improve revenue administration.

For more information to check the report click here