The Governor of Lagos State, Babajide Sanwo-Olu, has said that funding, investments, and a youthful population have fostered the rapid growth of the continent’s tech sector.
He stated this at GITEX One Africa Digital Summit in Marrakech, Morocco on Wednesday. In a presentation on ‘What’s Accelerating Africa to Become the Next Silicon Valley?’ Sanwo-Olu said, “The fact that this event has been brought to Africa is a testament to the continent’s growing influence in the cyber tech global ecosystem.”
According to him, over 600 startups have received funding, with Nigeria emerging as a leading destination for tech start-ups, particularly in Lagos.
Speaking on the factors responsible for Africa’s tech growth, the Lagos State government stressed, “Africa has a population of over 1.2 billion people of which 60 per cent are under 25 years and 70-75 per cent are under 40. This demographic is a significant opportunity for growth and technology.”
“More so, most of the tech founders are under 35 years of age, he continued.
The Lagos State governor further acclaimed that access has actually grown in the region in the last three or four years.
Sanwo-Olu, explained, “Furthermore the rise in mobile payments has increased with new opportunities for Financial Inclusion and economic empowerment.
“Lastly, investment in Africa has seen higher growth frontiers reaching reaching over $80bn in 2021. Which have increased over the years. Startups in Africa raised over $4.4bn in 2022 according to intel from Africa: The Big Deal. The influx of these funding is helping to fuel the growth of startups and tech companies across the continent.”
Citing the exponential funding base, he alluded to 2020 where African tech startups raised $1.3bn which spotlighted the innovativeness of the sector. Highlighting the event of 2021, he explained that the sector had gone ahead to generate $1.6bn in investment.
Also, while inaugurating the debut edition of GITEX Africa, the Moroccan Head of Government, Aziz Akhannouch, disclosed that digital technology has become essential to the continent.
He said, “In light of the economic turmoil and profound transformations the world is witnessing today, digital technology has become an essential and unprecedented lever for economic development both internationally, and in the African continent in particular.
“Africa has increasingly worked to consolidate its position as a dynamic environment that supports innovation, and in this regard, GITEX Africa is an occasion to highlight the promising potential of the African continent and its accelerated efforts in developing talents and skills in the fields of technology and innovation.”
