Africa’s digital economy risks losing billions in potential growth unless urgent reforms are implemented to close the continent’s widening internet usage gap, the Secretary-General of the Africa Telecommunications Union has warned.
Mr John Omo said while mobile phone penetration across Africa continues to rise, the conversion of access into meaningful internet usage remains weak, limiting productivity, innovation, and digital trade opportunities.
Speaking at a high-level preparatory meeting ahead of the global telecom standards conference, he revealed that more than 800 million Africans are still not using mobile internet, highlighting a major constraint on the continent’s digital transformation agenda.
“Africa is seeing growth in device ownership, but that has not translated into active participation in the digital economy,” he noted.
Connectivity Gap Limiting Economic Growth
Industry analysts at the forum stressed that the disconnect between mobile ownership and internet usage is creating a structural bottleneck for Africa’s digital economy, particularly for small businesses, startups, and informal sector operators.
With only about half of the population actively using mobile broadband, large segments of the workforce remain excluded from e-commerce, digital financial services, and online marketplaces.
This gap, stakeholders say, is directly impacting productivity levels and limiting the scalability of digital enterprises across the continent.
High Data Costs Undermining Digital Inclusion
Affordability remains a major barrier. Mr Omo disclosed that the average cost of entry-level mobile broadband in Africa stands at 4.2 percent of Gross National Income per capita, more than double the global affordability benchmark of 2 percent.
This pricing structure, he said, continues to suppress demand, particularly among low-income households and small businesses.
“Until connectivity becomes more affordable, reliable, and usable, the digital economy will remain underdeveloped,” he added.
Policy Reforms Seen As Key to Unlocking Investment
Stakeholders at the meeting called for targeted policy and regulatory reforms to stimulate investment in digital infrastructure and improve market efficiency.
These include spectrum management reforms, incentives for network expansion, and frameworks to support competition among telecom operators.
The discussions were held as part of Africa’s preparations toward the World Telecommunications Standardisation Assembly, organised by the International Telecommunication Union, where global ICT standards are developed.
Industry leaders emphasised that decisions taken at the global level on technologies such as 5G, artificial intelligence, and cybersecurity will have direct implications for Africa’s digital competitiveness.
Unified African Position Critical for Global Influence
Mr Omo stressed that Africa’s ability to influence global telecom standards will depend on its capacity to present a unified position that reflects the continent’s economic and development priorities.
“Africa cannot afford to remain a passive adopter of global digital rules. Our participation must be aligned with our economic interests,” he said.
He added that issues such as Over-The-Top (OTT) services and regional emergency communication systems are not only technical matters but also have significant implications for network sustainability and public infrastructure.
Digital Economy Seen As Growth Engine
Mr Seizo Onoe, a senior official of the ITU, described Africa as a critical growth frontier for the global digital economy, noting that the continent’s expanding ICT ecosystem presents significant investment opportunities.
He urged African countries to actively shape global standards to ensure they support local innovation, industrial growth, and inclusive digital access.
Similarly, Ghana’s Minister for Communication, Digital Technology and Innovations, Samuel Nartey George, called for stronger continental coordination to position Africa as a rule-maker in the global digital space.
“We must develop unified proposals that reflect Africa’s economic realities and ambitions,” he said.
Closing the Gap
Industry stakeholders concluded that bridging Africa’s internet usage gap is not just a social objective but an economic necessity.
They noted that expanding affordable and reliable internet access could unlock new revenue streams, boost entrepreneurship, enhance cross-border trade under regional agreements, and accelerate job creation.
Without decisive action, however, Africa risks falling behind in the global digital economy, despite its growing population and rising mobile adoption.