Investment

Africa Development Bank and African Union Sign $9.73M Grant Agreement to Develop Digital Markets.

Africa Development Bank and African Union Sign $9.73M Grant Agreement to Develop Digital Markets.

Africa Development Bank and African Union Sign $9.73M Grant Agreement to Develop Digital Markets

The African Development Bank (AfDB) and the African Union Commission (AUC) have signed a grant agreement to kick off the first phase of the Upstream Project for Digital Market Development in Africa.

The agreement was signed on November 17 at the offices of the African Union Commission (AUC) in Addis Ababa, Ethiopia. On behalf of their respective institutions, Ambassador Albert M. Muchanga, AUC Commissioner for Economic Development, Trade, Tourism, Industry, and Minerals, and Abul B. Kamara, Deputy Director General, African Development Bank, East Africa Region, signed the agreement.

The AUC welcomes the African Development Bank’s help, as conveyed by Ambassador Muchanga. “The COVID-19 epidemic highlighted the importance of digital technology and the digital economy as a whole, and in that sense, Africa should think large when it comes to digital development, the digital economy, and the enormous potential for integration and economic progress,” he said.

The African Development Bank’s board of directors authorized a grant of 7 million units of account valued at $9.73 million in September of this year. The project money will assist the AUC in achieving its objective of establishing a single digital market across Africa. This benefits both the African Continental Free Trade Area and the Digital Transformation Strategy for Africa.

This study has been performed in the aftermath of the recession triggered by COVID-19, which showed various flaws in Africa’s digital economy ecosystem. So to speak, it fills in the blanks. The initial phase will last from 2023 to 2026. The key areas of attention are digital enablers, digital trade and e-commerce adoption, and supporting measures. The project will specifically contribute to the strengthening of the frameworks (strategic, policy, regulatory, and conceptual) and intersecting (gender, climate change, and resilience) components required for the growth of Africa’s digital economy.

These frameworks are critical underpinnings for facilitating the formation of a single digital market across Africa by 2030. As a result, by supporting universal access to broadband infrastructure, a sovereign African cloud, an African digital market, and so on, the project will assist in promoting e-commerce and digital trade promotion programs for SMEs and startups. It will also contribute to the creation of a welcoming environment for the spread of digital skills across Africa, as well as the establishment of networks of specialized experts.

Dr. Kamara highlighted that the initiative will help to fulfill the African Development Bank’s High 5 objectives as accelerators in the pursuit of Agenda 2063 goals and the continent’s economic transformation to realize “The Africa We Want.”

“It is critical to offer work possibilities for millions of young Africans, which is necessary for the continent’s peace and development,” he concluded. With the advent of the digital transformation of countries, more chances to promote intra-African trade and stimulate economic growth have emerged.

About author

I'm an unrepentant bread-and-beans socialist.
Related posts
HealthInvestmentStartups

Grinta raises $8 million in a seed round.

FintechInvestmentStartupsTech

Dubai fintech baraka raises $20 million from Valar and Knollwood.

InvestmentTech

Modus extends into Sub-Saharan Africa with the creation of a $75 million AI and blockchain fund.

InvestmentStartupsTech

Yassir raises $150 million for its super app.

Sign up for our Newsletter and
stay informed

Leave a Reply

Your email address will not be published.

Close Bitnami banner
Bitnami