BUSINESS IN AFRICA I BUSINESS EN AFRIQUE I NEGOCIOS EN ÁFRICA
East Africa Data Infrastructure Ripe and Ready to Move to the Next Level Rose NJERU
John SYEKEI
Alors que l’expansion de l’infrastructure de données en Afrique de l’Est est vitale pour la croissance économique et le développement de la région, de nombreux défis restent à relever. Heureusement, les décideurs et les régulateurs voient bien les avantages économiques de la création d’un environnement plus propice aux investissements étrangers et de la mise à jour de la réglementation avec les avancées technologiques. Aunque la expansión de la infraestructura de datos en
África Oriental es vital para el crecimiento económico y el desarrollo de la región, quedan aún numerosos desafíos que superar. Afortunadamente, los responsables políticos y los reguladores están viendo los beneficios económicos de crear un ambiente más propicio para la inversión extranjera y de actualizar la regulación al ritmo de los avances tecnológicos.
Technology is said to be changing so fast that regulators cannot keep up. However, in East Africa at least, the gap is narrowing as policymakers and regulators see the economic benefits of keeping regulation up to speed with technology advancements. Kenya, Tanzania, and Uganda have each reached some key milestones in their efforts to put always on, highspeed data communications within reach of citizens and businesses. Kenya was the first in East Africa to test and activate 5G services, which went live in four counties, including Nairobi, at the end of March 2021. Tanzania, the second-largest telecommunications market in the region behind Kenya, broke through the 80%-mark for mobile penetration in January 2021. Almost 83%
of Tanzania’s 60.61 million people now have access to mobile services. As for Uganda, total internet subscriptions exceeded 20 million for the first time in September 2020, equating to one internet connection for every two people. This is attributed mainly to the shifting work culture caused by the Covid-19 pandemic, which prompted many businesses to adopt remote working methods. These are important successes, especially for countries that have only started ramping up their data infrastructure rollouts in the past decade. Credit for this must be shared among three main players: governments for taking the lead in developing their countries’ data infrastructure; regulators for creating a largely enabling environment; and network operators and service providers for introducing new technologies and services such as 5G, 4G LTE, and e-commerce. This is merely the beginning, though. Much remains to be done before Kenya, Tanzania, or Uganda can be said to have achieved their data infrastructure goals, and there are challenges to be navigated if they are to attract the investment needed to fill the connectivity gaps.
Clarity on Ownership Needed in Kenya A sore point for many communications sector players in Kenya is the local equity participation requirement. According to the National ICT Policy Guidelines gazetted in August 2020, 30% of the ownership of any ICT services licensee must be held by Kenyan persons, either corporate or individual, within three years. Provision has been made for extensions or exemptions, but it is not yet clear whether multiple extensions may be sought
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