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Africa: A growing population of 1.28
billion people (42% of which are
in cities), a snowballing middle
class expected to reach 1.1 billion
out of the 2.5 billion Africans
by 2050 - leading to a higher
Upcoming purchasing power - are among the
considerations for Africa’s mobile
explosion.
Mobile Market Other factors that have driven
much of Africa’s growth in
mobile subscriptions include more
affordable smartphones, declining
mobile data plans, the efficiency
brought about by smartphones
including online shopping/
purchases, mobile payments as
Credit: Josephine Wawira well as searching for information.
Nevertheless, the growth of
Africa is judiciously positioned to be mobile will remain uneven, as
the next big mobile market, enviously the 54 African countries record
eyed by global investors for its varying performances, both in their
enormous growth opportunities. 2019 respective mobile markets and the
is undeniably the year to prioritize entire economies.
investments in Africa’s mobile
market, to leverage this monetary In 2018, Africa had 255 million
opportunity. smartphone connections, which
is equivalent to 36% of the total
According to a Mobile Report for population. This is against a
Africa released by Jumia, Africa’s 444 million mobile subscriber
leading e-commerce platform, the base in the continent by 2017.
continent’s real output growth is By 2025, they are expected to
expected to reach 4.1% by the end of be approximately 690 million
2019; from an estimated 3.5% in 2018. smartphones in Sub-Saharan
The growth is expected as a result getting Image Africa, equating to a connection of
of improvement in macroeconomic about 66%.
conditions in the continent.
Although affordability of the
The Mobile Economy contributed smartphone has been quoted as
USD 110 billion to Africa’s GDP a major challenge for a part of
(7% of the total GDP) in 2017 and is the population, Jumia - Africa’s
expected to generate more than $150 leading e-commerce platform -
billion (approximately 7.9% of GDP) has reported a decreasing average
by 2022. The mobile technologies and price of smartphones over the last
services industry further supported 3 three years.The average amount
million jobs in 2017. spent to purchase a smartphone on
38 Abyssinia Business Nework ህዳር 2012 / November 2019
