The internet is an important driver of start-ups and innovation across the continent and, as a result, its contribution to GDP has grown significantly.
A McKinsey Global Institute report shows that Senegal tops Africa’s list, where an increase in private spending on infrastructure and higher consumption has resulted in the internet contributing 3.3% to GDP. Kenya is in second place at 2.9%, followed by Morocco at 2.3%.
According to an International Trade Centre report, growth in internet use is typically accompanied by a rise in e-commerce activity, and while around just 26.5% of Africa’s 1 billion-plus population has internet access, the continent’s e-commerce market is projected to grow to US$50 billion by 2018 (from just US$8 billion in 2013). By 2020, consumer spending is expected to exceed US$1 trillion per annum.
