Boosting Human Capital:

The Need for Digital Skills in Africa

By: Chané Fraser

Why African Youth Should Prioritize Digital Skills

As Africa's economy continues to grow, it’s increasingly important for young people to focus on developing digital skills. These skills are essential across many sectors, from entry-level roles to more advanced positions. However, there’s a significant shortage of digital skills in Africa, especially at the intermediate and advanced levels. This gap could hinder the continent's progress as economies evolve, as pointed out by the World Bank in 2021.

Despite these challenges, there’s a lot of potential for growth in Africa’s digital and technology sectors. Since 2010, internet access in Sub-Saharan Africa has increased dramatically, growing tenfold and surpassing global growth rates by three times. Experts predict that Africa's digital economy could reach $180 billion by 2025 and an impressive $712 billion by 2050.

The continent is leading innovations in areas such as mobile financial services, telemedicine, and e-commerce. The COVID-19 pandemic has further accelerated this shift, pushing governments and businesses to adopt more digital solutions. For instance, the telemedicine market in the Middle East and Africa was valued at over $3.8 billion in 2022 and is expected to grow to $6.4 billion by 2027. With all that being said, as Africa strives to embrace these opportunities, it’s crucial to equip young people with the digital skills needed to tap into this growing digital economy.

Strategies for Developing Digital Skills

To effectively enhance digital skills, policymakers are urged to consider these four strategies:

Create Supportive Conditions: It’s essential to build a solid digital infrastructure and implement relevant policies to promote digital skills development. This includes ensuring that devices are accessible, improving connectivity, and enhancing IT readiness in schools.
Adopt a Digital Skills Framework: Policymakers should utilize established frameworks like UNESCO’s Digital Literacy Global Framework or the European Union’s DigComp. Conducting labor market analyses can help identify which digital skills are in high demand.
Update Curriculum and Assessment: There’s a need to revise and enhance educational curricula to integrate digital skills across various subjects. Emphasizing hands-on and task-based learning will better prepare students for the digital world.
Enhance Technology Use in Education: Investing in classroom technology and training teachers to effectively deliver digital skills programs is vital. This empowers educators to identify challenges and foster innovation.

Key Data on Digital Skills in Africa for Policymakers

Current Status: A striking 87% of African business leaders recognize the importance of digital skills. In 2022, countries in Africa scored between 1.8 and 5 on the Digital Skills Gap Index, which falls below the global average of 6. Notably, 12 of the 20 countries with the weakest skills are in Africa, and only 11% of graduates from tertiary institutions have received formal training in digital skills (BCG, 2022).
Labor Market Demand: Almost 65% of new recruits require basic digital skills. By 2030, about 625 million people will need these skills, with more than half of jobs in Kenya and 35-45% of jobs in Rwanda, Nigeria, and Côte d'Ivoire requiring them (IFC & WB, 2019).
Earnings Potential: Digital skills can significantly boost earning potential. In India, individuals with digital skills earn about 10.9% more than their peers. Advanced skills can nearly double earnings compared to those without them, while even basic skills can increase earnings by 3-10% in developed countries.
Digital Gender Divide: Currently, only 40% of Africa has internet access, compared to 66% globally (BCG, 2022). The gender digital divide in Sub-Saharan Africa is about 43%, which is costing the continent nearly $1 trillion by keeping women and girls offline.

These statistics highlight the urgent need for investment and drastic positive chance in the digital skills development across Africa, in order to foster economic growth and reduce disparities across the continent.

⁎ Reference Article Link: https://thedocs.worldbank.org/en/doc/3eb99d2c0a89888a7d1292898cce4651-0010012023/original/004-Digital-Skills-to-Accelerate-Human-Capital-for-Youth-in-Africa.pdf