31 October 2024

In the full year of 2023, African exports of information and communication technology (ICT) services reached $9.2 billion, registering a growth of 5.4% compared to the previous year, according to the latest report out from Tralac (Trade Law Centre).

North Africa dominates the market with $4.49 billion in ICT services exports in 2023, followed by East Africa ($2.05 billion) and Southern Africa ($1.4 billion). West Africa and Central Africa exported $1.06 billion and $240 million respectively.

African digital services exports cover a wide range of areas in both region and activity. In Ghana, business, specialised and technical services, including business process outsourcing (BPO), accounted for 77% of total services exports, according to a 2023 World Trade Organization (WTO) report. Meanwhile, in Morocco, outsourcing of engineering services, such as software development, electronic design, mechanical engineering and civil engineering, is booming, with an annual growth of 35% between 2019 and 2022.

Despite this momentum, African exports of ICT services represent only 0.85% of the global total. The continent therefore has significant room for improvement to assert itself as a major player in the global digital economy.

The lack of harmonization of regulations and standards among African countries is hampering cross-border trade in ICT services. In addition, challenges such as poor infrastructure, lack of digital skills and limited access to finance are hampering the widespread adoption of digital solutions.