Internet – billion dollar opportunity knocks for Africa’s GDP

According to a recent study by international consultancy firm McKinsey & Co and the International Telecommunication Union (ITU), the Internet and broadband rollout could contribute in the region of $18 billion towards the Continent’s GDP (Gross Domestic Product).

Details of the study and its significance in terms of the economic development of the Continent are outlined in a report published by Nigeria’s Leadership publication.

In its article Leadership states that the Study covers the top 14 countries that “control 90 percent of Africa’s GDP” and the research reveals that approximately half of urban Africans are online “despite limited infrastructure and disposable incomes.”

Reference is also made to the Study’s assertion that the Internet and broadband could have what is described as a “transformative impact” in important economic sectors, as well as serve to reinforce public services and support health and education.

Armando Cabral, Director at McKinsey & Company and co-author of the Report, is quoted as saying, “The leapfrogging effects of the Internet make it the most interesting development on the African continent since the wide-scale adoption of mobile phones.”

Leadership states that the Study will be introduced next month at the ITU Telecom World 2013 in Bangkok, Thailand.

Staff Writer