From Mobile Wallets To Data Hubs | Tech

How Tech Is Rewriting Africa's GDP

By Jessie Taylor

Technology is fast becoming one of the most dynamic drivers of Africa’s economic growth. Once viewed as a supporting tool, digital innovation is now reshaping Gross Domestic Product (GDP) directly through financial inclusion, infrastructure development, and new value chains. From mobile money platforms that have transformed everyday commerce to billion-rand data centre investments, Africa’s digital economy is rewriting the continent’s growth story.

Powering Financial Inclusion and GDP

Nowhere is Africa’s digital transformation clearer than in the rise of mobile money. Sub-Saharan Africa is the undisputed global leader, with more than 1.1 billion registered accounts and annual transaction values exceeding US$1.2-trillion. In 2023 alone, mobile money added approximately US$190-billion to GDP across the region - around 1.7% of total output. One such example is Kenya. Often cited as the birthplace of mobile money innovation, Kenya’s M-Pesa has become a cornerstone of its economy. The platform has not only facilitated consumer payments but also spurred a wave of fintech startups and digital services.

In Cameroon, mobile money now accounts for more than 5% of GDP, highlighting its central role in everyday economic activity. In Ghana, strong regulatory frameworks and a thriving fintech ecosystem have positioned the country as a “regional bellwether” in mobile money, where digital wallets not only facilitate payments but also underpin small business growth, savings, and credit access.This financial revolution has empowered millions of previously unbanked Africans. It has enabled smallholder farmers to receive payments instantly, women entrepreneurs to trade more widely, and families to access microloans and insurance. By bringing vast numbers of citizens into the formal economy, mobile wallets are expanding tax bases, strengthening domestic demand, and fuelling GDP growth.

Mastercard and Genesis Analytics forecast that Africa’s digital payments economy could reach US$1.5-trillion by 2030.

Laying The Foundations of The Digital Economy

While mobile money demonstrates technology’s power on the demand side, data centres are transforming the supply side of Africa’s digital economy. These facilities are critical for hosting cloud services, enabling e-government platforms, and ensuring that data sovereignty and security are maintained locally.

In April 2025, the World Bank’s International Finance Corporation (IFC) announced a US$100-million partnership with Raxio Group to expand data centres across Ethiopia, Angola, Ivory Coast, Mozambique, the Democratic Republic of Congo, and Uganda. These investments will reduce latency, improve service reliability, and attract global firms that increasingly require local hosting.

Private sector players are also scaling up. In July 2025, Visa opened its first African data centre in Johannesburg, underscoring confidence in South Africa as a digital hub. The local data centre market, already worth over US$2billion, is projected to grow to US$3.4-billion by 2030. Across the continent, more than R100billion in additional data centre investments are planned, with hyperscale facilities from leading global and regional firms.

For GDP, the implications are far-reaching. Data centres enable local content creation, support digital trade, and reduce the cost of digital services. They also create highskilled jobs in IT, construction, and energy. Crucially, they strengthen Africa’s capacity to export digital services - from fintech solutions to artificial intelligence tools - thereby diversifying economies beyond raw commodities.

Expanding Connectivity

The rise of mobile wallets and data hubs would not be possible without supporting enablers. Connectivity remains the foundation. Expansion of 4G and 5G networks will continue to boost productivity across sectors such as healthcare, education, and agriculture. Broadband access is already proven to correlate strongly with higher GDP growth rates. Energy reliability is another essential enabler. Data centres, in particular, require stable and sustainable electricity supply. Initiatives such as the Mission 300 electrification drive, supported by development finance institutions, aim to close the energy access gap and ensure that digital growth is not constrained by power shortages.

While the trajectory is positive, challenges remain. The digital divide means that not all citizens benefit equally from digital growth. Some regions continue to lag in mobile money adoption and usage, often due to low digital literacy or high data costs.

Infrastructure bottlenecks persist, from electricity shortages to underdeveloped broadband in remote areas. Regulatory uncertainty in some markets can also slow investment, particularly in data centres and fintech. Addressing these challenges will require coordinated action between public sector leaders, private investors, and multilateral partners.

The continent has already shown its capacity to leapfrog traditional models, with mobile money a global success story. Now, with billions flowing into data centres and digital infrastructure, Africa has the chance to build a resilient, diversified, and tech-driven economy.

Sources: GSMA | Forbes Africa | Business in Cameroon | Citi Newsroom | Mastercard | Reuters | Cape Business News | GlobeNewswire