Today Africa is the world’s second fastest-growing economy with GDP worth $2.19 trillion and a growth increase of about 4.3% a year. Africa’s economy has grown through trade, agriculture, manufacturing, and recent technology. Increased smartphone adoption and lower internet costs have informed Africa’s acceptance of technology. It was recorded that Africa had a huge 40% increase in the number of tech hubs within two years. In 2017, Africa’s venture capital funding was put at $560 million. Also, Africa of late has received major tech leaders, Sundar Pichai, Jack Ma, Mark Zuckerberg who visited tech hubs across the continent to explore possibilities and opportunities.
Businesses on the continent are beginning to build around these growing possibilities. For instance, in Kenya, several mobile money technologies have been launched and have shaped the business climate of the country. Kenya’s breakthrough adoption of mobile money has placed her as the world leader in mobile money adoption ahead of New York. This technology has contributed significantly to financial inclusion in Kenya. Statistics showed that M-PESA, the country’s leading mobile money merchant has 25 million customers out of the 45 million national population.
According to economists, many factors are responsible for this success which does not exclude Kenyan families’ need for a seamless payment gateway to reach their families spread across the country (Eijkman et al., 2010). Also, many small and medium scale businesses have found the medium comfortable for their trustworthiness, reputation, and cheap rates when compared to bank transfers.
The success of Kenya’s mobile money is a sign of Africa’s eagerness to build her economy through the adoption of technology, innovation, and technological innovation vis-à-vis economic growth and prosperity. But still yet there’s more land to be conquered; international business observers have named Africa as the future economic growth engine of the world although her combined GDP currently is barely a third of the United States’.