4th Digital Impact Awards Africa Nominees Released | Digital Financial Services will drive 90% Business Success in Africa




Digital Impact Awards Africa Nominees Released
Based on Digital Impact Awards Africa (DIAA) research covering the digitalization of Africa and Financial
Inclusion during the last 4 years, we predict that by 2025, embracing Digital Financial Services will drive
90% business success in Africa. Additionally, successful Sub Saharan African companies will only be
those with good web presence bundled with vibrant properties on social media platforms such as
Facebook, Twitter, and YouTube.
In monetary terms, the mobile ecosystem is projected to contribute USD160 billion to the GDP of Sub-
Saharan Africa by 2020 (GSMA 2015). McKinsey & Company report that the internet will contribute
USD300 billion to Africa’s GDP by 2025.
Countries including Kenya, Uganda, Rwanda, Nigeria, Ghana, Ivory Coast and South Africa are not only
among the fast-growing economies on the continent but also the pillars of innovation and high-tech
entrepreneurship leading the development of the digital economy in Africa.
The digital driven financial evolution has brought about different tools to improve financial inclusion and
change business models and payment models for different industries. While releasing the 4
th Digital
Impact Awards Africa nominees’ list, HiPipo CEO, Innocent Kawooya noted that “In order to maximize the
digital dividend and minimize digitization risks, we recommend a bigger push for, regulatory adherence for
SIM registration, Know Your Customer (KYC), Anti Money Laundering, Credit Reference Bureaus among
others”.
Adding that “We are at early stages of crossroads of Fintech, Regtech, and Financial Inclusion. We
believe that the stakeholders have to embrace the opportunity and challenges presented by digital
technology and regulations in order to effectively and collectively drive the financial inclusion agenda.”
“While RegTech is thought of as a sub domain of FinTech, the much-publicised $5.2bn fine (later
reduced) levied against MTN Nigeria by the Nigerian Communications Commission for flouting SIM card
registration regulations reminded the continent that regulation technology is very vital and will continue to
be a very important player of effective and sustainable digital and financial inclusion” Kawooya noted.
The Central Bank of Uganda (BoU) has shown commitment of government to prioritize the financial
inclusion agenda. For instance, implementation of the National Financial Inclusion Strategy seeks to
address five major drivers of financial inclusion; accessibility of financial services, credit infrastructure,
digitisation of financial services, appropriate and innovative financial products and consumer financial
protection.
Elsewhere, like in the United Kingdom, which would seemingly be a financially connected world, where
people can send money to one another via smartphones, it’s pretty hard to believe that financial exclusion
is still a reality there and has promoted the UK government to appoint the first Minister For Financial
Inclusion.
Commenting about the Digital Impact Award Africa 2017, the project patron Hon. Karubanga David (State
Minister for Public Service and Member of Parliament for Kigorobya) noted that “Promoting financial
inclusion is a key part of the NRM Government’s agenda as this further stimulates wealthy creation. He
added that Government through its different arms and departments is promoting policies for tackling
poverty, improving digital access for services, protecting consumers and promoting employment and
economic growth to benefit all Ugandans”.