Second SG13 Regional Workshop for Africa on Saving, Security, and Virtualization"

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Second SG13 Regional Workshop for Africa on

"Future Networks: Cloud Computing, Energy

Saving, Security, and Virtualization"

Tunis, Tunisia, 28 April 2014

Strategic Application of ICT for

Economic Development in Africa

ALI YAHIAOUI ,

Chief ICT Officer, African Development Bank a.yahiaoui@afdb.org

ali.yahiaoui1505@gmail.com

Presentation Outline

AfDB Group Overview

Connect Africa Summit –Kigali 2007

Transform Africa Summit – Kigali 2013

Strategic Application of ICT in Africa -E-

Transform Africa Study

2

African Development Bank

Group - Our Assistance to Africa

Financing

Products

Grants &

Concessional

Lending

Type of

Intervention

Projects & program-based operations

Procuremen t

Goods

Loans & Equity

Investments

Technical

Assistance &

Policy-based

Lending

Non-project activities

Works

Services

3

AfDB Focus and Strategy

Infrastructure

Governance

Regional

Integration

Private sector

Development

Higher Education and

Science &

Technology

4

Strategic Thrust for the Bank’s ICT

Medium Term Strategy & Action Plan

Medium -term

Focus

ICT Priority

Areas

Country

Focus

Gender, climate change

Table 1 - Bank Group’s non sovereign lending operations in ICT Infrastructure over the past four years

Projects

Submarine

Cables

EASSy

Bank investment

(million $)

15

Total mobilized funds

(million USD)

235

Satellites

Telecom

Towers

Main One

Helios Towers

Nigeria

60

RASCOM

New Dawn

Other 3 billion

50

30

50

30

268

380

240

1200

345

6

Table 2 - The Bank’s financing for regional and national ICT pre-investment studies on infrastructure

Grants for preinvestment studies in USD million

I – Regional Backbone Studies

East African Community Broadband Infrastructure

Network

SADC Backhaul Link

ECOWAS Wide Area Network

0.45

1.40

0.50

Central African Backbone

North African Backbone

Maritime Communication for safety on Lake

Victoria

1.09

0.45

0.50

II - National Infrastructure Studies

Seychelles submarine cable system

Egypt Navigation Satellite

0.45

0.90

7

Table 3 – Bank grants to governments for capacity building purpose Grants in USD million

Grants for

Feasibility studies in USD million

0.750 Algeria: Feasibility study for the modernization of the information system

Algeria : feasibility Study and action plan for the ICT strategy and the Egov Strategy

1.2

Cape Verde: Feasibility study for the Technology Center in Praia 0.440

.3

Cote D’Ivoire: Feasibility Study for the eGov strategy and action plan

Senegal: Feasibility study for the Digital City

Mali: Feasibility study for the Bamako Digital Complex

.5

0.225

0.730 Morocco: Strengthening the supervision and control of the financial markets

Morocco: Strengthening the national system of guarantee

Rwanda: Feasibility study for Center of Excellence

Tunisia – Feasibility study for Regional Center of Excellence

Tunisia – Feasibility Study and action Plan for the eGov Strategy and Open Platforms

South Sudan : Feasibility Study for the eGov strategy and national backbone

0.700

0.100

0.475

.7

.4

8

Table 4 - The Bank’s financing for ICT Projects

Amounts in $ US

I – Centers of Excellence

RWANDA – Kigali ICT Regional Center of Excellence 25

MALI – Bamako Technology Center

CAPO VERDE – PRAIA Technology Center

II : National Backbones and EGov Platforms

Lesotho – National backbone and data center

31

35

12.8

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2. Connect Africa Summit 2007

In 2007 Connect Africa Summit in Kigali, five goals were set :

Goal 1: Interconnect all African capitals and major cities with ICT broadband infrastructure and strengthen connectivity to the rest of the world by 2012

Goal 2: Connect African villages to broadband ICT services by

2012 and implement initiatives such as community telecentres and villages phones

Goal 3: Adopt key regulatory measures that promote affordable, widespread access to a full range of broadband ICT services

Goal 4: Support the development of a critical mass of ICT skills required by the knowledge economy through the establishment of ICT centers of excellence and ICT-capacity building and training centers

Goal 5: Adopt a national e-strategy, including a cyber security framework, and deploy at least one flagship e-government service as well as e-education and e-health services using accessible technologies in each country in Africa by 2012, with the aim of making multiple egovernment and other e-services widely available by 2015.

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3

. Transform Africa Summit – Kigali 2013

From 2007 – 2013 Africa concentrated on building ICT national broadband backbone/regional infrastructures

Objectives of the Transform –Africa Summit:

To pool together International participants to set a new agenda for Africa to leapfrog development challenges through the use and uptake of Broadband and related services.

To leverage on the progress registered in connectivity since the Connect Africa Summit and use technology to reduce poverty, enhance participation, improve service delivery and create prosperity for our people

To accelerate sustainable socioeconomic development on the continent and usher Africa into the knowledge

economy through affordable access to Broadband and usage of Information and Communications Technologies (ICT).

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Transform Summit 2013 (suite)

Outcome of the Summit

The Transform Africa Summit agreed on a manifesto comprising five principles.

Principle 1: To put ICT at the center of our national socio-economic development agenda

Principle 2: To improve access to ICT especially

Broadband to build on the continent’s progress in connectivity especially in underserved areas

Principle 3: To improve accountability, efficiency and openness through ICT, Develop and implement national e-Government policies and open Data initiatives.

Principle 4: To put the Private Sector First: foster an enabling environment for private investments to drive job creation, productivity and competitiveness supported.

Principle 5: To leverage ICT to promote sustainable development

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4. eTransform Africa Study: Objectives

• Take stock of emerging uses and applications of ICTs that are having transformative effects on social and economic development

• Identify key ICT applications (Africa and worldwide) that have the potential for replications and scaling up

• Identify constraints that negatively impact ICT adoption and scaling up, including in policy and regulatory environment

• Develop a common framework among stakeholders, development partners and the donor community for future ICT interventions

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Sectors and Case Studies

Sector

Agriculture

Climate Change

Adaptation

Education

Focus Areas

Traceability technologies (RFID) in cattle

Water management for irrigation

Climate change adaptation, exploration of applications, tools and systems for adaptive action

Open schools through mobile technologies, education networking, monitoring student and teacher attendance

Financial Services

Health

Local ICT Sector

Modernizing

Government

Trade and Regional

Integration

Mobile banking, cloud computing,

Mobile health, tracking patients, monitoring health clinics

Business Process Outsourcing, mobile and online payment platforms, e-commerce

Citizen/community interface, eFiling for tax collection, link online payment system to IFMIS

Linking regional trade entities (eg COMESA, ECOWAS, SADC), logistics, transparent flow of goods, customs standardization

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Lessons from the eTransform sectoral studies i). Agriculture

Case studies :

• Analysis of the use of RFID tags for tracking livestock in

Botswana

• ICT sensor networks used in water management for irrigation

The cases show how ICT can help address some of the challenges facing agriculture and food security in Africa.

• Esoko ( in Ghana) is another good example of ICT in improving agricultural market information services ii). Climate Change

Case studies: Malawi, Senegal and Uganda.

ICTs role to the impacts of climate change on the potential consequences of climate change, vulnerability to projected impacts, identifying priorities for adaptation

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Lessons from the sectoral studies iii). Education

Case studies in South Africa and Uganda.

A critical element concerns :

- access learning materials and collaboration platforms.

- Connectivity for accessing learning resources.

iv). Health

Case studies of Ethiopia and Mali.

 Example: as exemplified by the IKON teleradiology program in Mali.

v). Modernizing Government through ICT

Case studies:

• Integrated financial management systems in Malawi;

• electronic tax filing in South Africa.

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Lessons from the sectoral studies vi). Financial Services

Case studies :

Senegal, Kenya.

State

Focus of Maturity

Consumer Public Sector

• Mobile banking has reached a tipping point in Africa and now is the time for policy makers to act boldly.

• Financial inclusion has improved in

Kenya - where active bank accounts have grown fourfold since

2007 aided by some

17 million M-PESA mobile money accounts.

Formative State

Scaling State

Desired State

 Product diversification

 Wider consumer identification options

 Raise overall awareness

 Incent and require obtaining

ID

 Ensure competitive environments and consumer protection

Engage in policy experimentation in:

 data standardization and alternatives

 transparent property ownership

 Remove artificial levies on technologies

 Mandate IPv6 transition and compliance

 Policy conducive to integrated financial services in place

Private Sector

 Diversify products and capital raising channels

 Minimize monopoly and ramp up interoperability

 Full-fledged Interoperability

 Platforms for basic payments as semi-public products

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Lessons from the sectoral studies vii). Regional trade and Integration

• The cross-cutting study included case studies of

Botswana, Kenya and Senegal

• The studies focused on ICT use in governance, logistics and cross-border information exchange mechanisms.

ICTs and trade – the supporting environment

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Lessons from the sectoral studies viii). ICT Competitiveness

Case studies of Kenya, Morocco and Nigeria.

Provided the African ICT market continues its impressive double-digit growth, the market could be worth more than US$150 billion by

2016.

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5. CONCLUSION

Africa’s challenge for this decade is to build on the mobile success story and broadband progress to complete the transformation.

Now is the time for rigorous evaluation,

replication, innovation and scaling up of best practice.

To be able to do this it will require: i) reducing the cost of access for mobile broadband ii) supporting government private-sector collaboration iii) improving the eCommerce environment iv) enhancing ICT labor market skills v) encouraging innovative business models that drive employment, such as microwork and BPO vi) creating spaces that support ICT entrepreneurship, such as ICT incubators, and local ICT development clusters.

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