President John Dramani Mahama has urged global investors, particularly from Japan, to scale up investment in Africa’s youth-driven industries, startups, and creative sectors, describing them as critical engines for the continent’s long-term economic diversification and stability.
Speaking at a panel session at the 9th Tokyo International Conference on African Development (TICAD 9), Mahama said Africa’s economic future hinges on its youthful population, with 60% of citizens between the ages of 16 and 35. “The world is changing and it’s now a knowledge economy,” he said, stressing that young Africans are gravitating toward fintech, renewable energy, agritech, and creative industries rather than traditional employment paths.
For investors, the numbers are compelling. Africa’s startups raised $4.2 billion in 2024, with fintechs capturing 45% of the total. Mahama cited Ghanaian agri-fintech firms that are solving structural inefficiencies in agriculture by digitizing input distribution, extending mobile-based credit to farmers, and building credit scoring systems.
These innovations, he said, are improving productivity and opening new channels for private capital to flow into Africa’s largest sector.
Mahama also underscored the scale of opportunity in the creative economy and digital sectors, which he said generate jobs at a faster pace than agriculture or manufacturing. “In the creatives, renewable energy and digital space, you can create four jobs before you create one in agriculture or manufacturing,” he told the audience.
For global businesses, the president framed Africa’s youth bulge as both an opportunity and a risk. The continent will need to create 12 to 15 million jobs annually to absorb new entrants into the labor market. Failing to channel investment into sectors with high job multipliers could, he warned, destabilize economies.
Japan, already a key partner in infrastructure and trade, is being encouraged to pivot toward Africa’s fast-growing innovation economy. With deep expertise in technology, renewable energy, and creative industries, Mahama suggested Japanese firms are well-positioned to collaborate with African startups, co-finance innovation hubs, and tap into a consumer market projected to reach $2.5 trillion by 2035.
For investors, the takeaway is clear: Africa’s youth-driven sectors are no longer peripheral. They represent some of the fastest-growing markets globally, combining digital adoption, rising consumer demand, and government support for diversification.
Mahama closed with a warning that Africa’s demographic dividend will only pay off if capital flows meet the scale of demand. “If we do not create enough jobs fast enough, the youth bulge will cease to be an advantage and could become a destabilizing force,” he said.
