Information technology developments in Africa have long lagged behind those in other parts of the world. But the transformation being brought about by the widespread adoption and use of mobile phones – each one a mini-computer – and the expansion of undersea fibre optic cable connections to Africa are creating the conditions for an exciting new phase of computing growth on the continent.
Despite the global economic crisis, Africa is on course to see annual consumer spending reach US $1.4 trillion by 2020, nearly double the US $860 billion in 2008 (McKinsey). On top of this, by 2050, a projected 63 per cent of Africa’s population will be urban dwellers. With Africa’s middle class the fastest-growing in the world – doubling in less than 20 years – matching computing power with this consuming urban population could unleash a treasure trove of opportunity for information technology entrepreneurs.
These developments are creating the conditions for game-changing computing in the next years. And this is encouraging the creation of a new supercomputer (http://en.wikipedia.org/wiki/Supercomputer) for Africa in Kenya that will double the total number of supercomputers in Africa. Hugely powerful compared to personal or commercial computers, supercomputers use cutting-edge technology to carry out high-speed calculations involving vast quantities of data.
Expanded supercomputing power brings numerous advantages to both economic and human development. It will radically alter what can be accomplished in Africa – allowing mass data processing to be done, highly complex and data dense applications to be run, and very large research projects to be conducted on the continent rather than overseas.
Increasing computing power in Africa will bring in its wake, it is hoped, a surge in economic and research opportunities.
It will help African researchers and scientists to undertake globally competitive projects, rather than seeing this work done overseas. It will also open up a vast range of possibilities for African entrepreneurs and businesses to do complex data processing, modelling and research and will enable them to become more sophisticated operations.
The new supercomputer, the iHub Cluster, is being built in the Kenyan capital by one of Africa’s pioneering information technology hubs – iHub Nairobi (http://ihub.co.ke/pages/home.php) – in partnership with Internet products and services company Google and microchip maker Intel Corporation.
Africa’s first supercomputer is located in South Africa and is ranked 497 in terms of computing power on the list of 500 supercomputers in the world (http://www.top500.org/).
It is located in the “Tsessebe cluster” in Cape Town’s Centre for High Performance Computing (http://www.chpc.ac.za/).
“With mobile devices coming in multiple cores, it is important for developers to be exposed to higher performance computing; we are hoping to debut at a higher level than ‘Tsessebe cluster’,” Jimmy Gitonga, the project team leader for the iHub cluster, told Computer World.
Africa suffers from poor supercomputer capacity and this has had a knock-on affect on everything to do with economic development. The iHub supercomputer hopes to help universities and colleges to gain competitive edge and be able to undertake more complex research in the fields of media, pharmaceuticals and biomedical engineering.
“In Africa, we need to be on top of the mobile scene, its our widest used device,” Gitonga told Computer World.
Some of the practical applications for the iHub supercomputer in East Africa and the Horn of Africa include improving weather forecasting and drought prediction, increasing the ability to give advance warning of droughts and famines in the region.
“Most of the United Nations agencies and international agencies operating in the region have extensive field research on how to tackle natural disasters in the region. Imagine if they had affordable space where they can meet with developers and test resource-hungry applications,” Gitonga said.
The iHub also wants to offer the services of the supercomputer to researchers and organizations who have had to go abroad to have their data processed. The iHub supercomputer hopes to be used by mobile phone developers, gamers, universities and research institutions.
In the last two years, China had pushed the United States out of the number one spot for supercomputers. The Tianhe-1A located at the National Supercomputing Center in Tianjin (http://www.nscc-tj.gov.cn/en/), China, was the fastest computer in the world from October 2010 to June 2011.
For those looking to see how they can make the most of the growing supercomputer capability in Africa, examples from other countries offer a good idea. Supercomputers can be used for weather forecasting, climate research, oil and gas exploration, physical simulations like when testing aircraft, complex modelling for medical research, processing complex social data necessary for delivering effective social programmes or running modern health care systems.
Southern Art Hubs Grab Attention for Creative Economy Development Challenges: Regeneration – of poor neighbourhoods, districts, even whole countries after a conflict – is both a challenge and a key to transforming lives. One approach that has a track record is turning to artists and creative people to re-imagine a neighbourhood or country’s culture, and restore pride and vitality to places beaten down by life’s hardships.
Afropolitan: African Fashion Scene Bursting with EnergyDevelopment Challenges: In the face of Congo’s civil strife, a group of very fashionable gentlemen bring colour and style to the country while also pioneering a way to make money and improve standards of dress in the country. Members of “La sape,” or La Societe des Ambianceurs et Personnes Elegantes (http://fr.wikipedia.org/wiki/Société_des_ambianceurs_et_des_personnes_élégantes) — the society of tastemakers and elegant people — wear designer fashions either bought in Europe, or handmade in Congo.
Brewing Prosperity Creates Good JobsDevelopment Challenges: In the Democratic Republic of Congo – home to the world’s largest United Nations peacekeeping mission and decades of bloody civil war – a brewery has not only survived, it has thrived to become a popular brand throughout central Africa. By being a success, the Brasimba brewery has brought prosperity and high-quality jobs to Congo’s second largest city, Lubumbashi (http://en.wikipedia.org/wiki/Lubumbashi), and proven that a modern business can do well there despite the obstacles.
Digital Mapping to put Slums on the MapDevelopment Challenges: People are now turning to the growing penetration of digital technologies into slums and poor areas to find solutions. With mobile phones available across much of the global South, and plans underway to expand access to broadband internet even in poorly served Africa, it is becoming possible to develop a digital picture of a slum area and map its needs and population.
November
Innovation Villages Tackling MDGsDevelopment Challenges: The global economic crisis that began to roll across the world in September 2008 is threatening gains made against poverty and hunger all over the South. As Kevin Watkins from UNESCO’s Global Monitoring Report told the Financial Times, “With the slowdown in growth in 2009, we estimate that the average income of the 391 million Africans living on less than US $1.25 a day will take a 20 percent hit.”
New Appetite for Nutritious Traditional VegetablesDevelopment Challenges: Throughout the history of farming, around 7,000 species of plants have been domesticated. Yet everyday diets only draw on 30 percent of these plants and even this number has been going down as more people consume mass-market foods (FAO).
African Countries Re-branding for New Economic RoleDevelopment Challenges: Africa’s diverse countries have been subject to years of negative stories in the media. The effect on global audiences has left many to cast the whole continent in a bad light and to know little about the individual countries and cultures. This has damaged business confidence over the years. Just like products and people, nations need to have a strong and positive brand to do well in the global economy.
Tiny Homes to Meet Global Housing CrisisDevelopment Challenges: More than 1 billion people around the world lack decent shelter. Of these, the majority live in urban areas, usually in slums and informal settlements (UN-HABITAT). The world’s megacities – like Mumbai, India, where more than 22 million live in the metropolitan region – have to find a way to provide housing that is both affordable and does the minimum possible amount of harm to the environment.
Ending Gang Violence While Cleaning the Streets in HaitiDevelopment Challenges: The Caribbean nation of Haiti is the poorest country in the western hemisphere, with 80 percent of the population living below the poverty line (CIA World Factbook). The country had been enjoying some positive economic growth since 2005 after decades of economic and political turmoil.
Growing a Southern Brand to Global Success: The Olam StoryDevelopment Challenges: Most people haven’t heard of Olam International, but they know the brands they work for and they more than likely eat their produce. The story of Olam (www.olamonline.com) – a global food supply company in ‘agri-products’ that got its start in Nigeria – shows how a Southern brand can grow and go global, and overcome the difficulties of cross-border trade.
September
Making the World a Better Place for Southern ProjectsDevelopment Challenges: An exciting new initiative based in Germany, but already featuring hundreds of projects from across the South, is using the power of the internet to directly connect projects and donors.
Bamboo Becomes Transport Option for the SouthDevelopment Challenges: The sturdy bamboo plant (http://en.wikipedia.org/wiki/Bamboo) is enjoying a revival around the world as a building material. A strong, fast-growing and highly renewable woody plant, it is becoming increasingly popular as people seek out less environmentally wasteful alternatives to steel and other materials.
Kenyan Mobile Phone InnovationsDevelopment Challenges: A couple of enterprising Kenyan engineering students are showing how mobile phones are an inventor’s dream. Their two inventions – one a way to re-charge phones while bicycling, the other an aid for catching fish – show the potential for adapting this technology to the needs of the poor.
Info Ladies and Question Boxes: Reaching Out to the PoorDevelopment Challenges: Quick access to accurate and useful information is crucial for development. With the remarkable spread of information around the world via the Internet – one of the greatest achievements of the 21st century – more than 1.5 billion people now use the Web to boost their incomes and opportunities (Internet World Stats).
Avoiding Wasting Food and Human Potential with ICTsDevelopment Challenges: Creative use of information technology in the South is helping to address two very different kinds of waste – of food and of human and community potential.
Toilet Malls Make Going BetterDevelopment Challenges: Across the global South, clever entrepreneurs are transforming services that were bare-bones, grim and out-of-date into modern facilities packed with features that help to pay for their operation. In Kenya, an entrepreneur has used this approach to transform the poor quality of public toilets.
African Ingenuity Attracting InterestDevelopment Challenges: At this August’s Maker Faire Africa gathering (http://makerfaireafrica.com/) in Accra, Ghana, African pioneers in grassroots innovation offered inspiring inventions.
July
Crowdsourcing Mobile Phones to Make the Poor MoneyDevelopment Challenges The proliferation of mobile phones across the global South, reaching even the poorest places on the planet, has given birth to whole new ways of making money. A phenomenon called ‘crowdsourcing’ – in which the power of individuals is harvested to achieve a goal – is now being used to create networks of people earning extra income.
Tourist Passion for Quirky Holidays Helps SouthDevelopment Challenges:Conventional thinking holds that any country with a poor or non-existent reputation in the international media will not attract tourists. But this conventional thinking is wrong: The hottest tourist trend for 2009 is directly benefiting the South’s more out-of-the-way and under-appreciated countries. So says a travel expert who specializes in overlooked travel destinations.
Protecting Threatened Fruits and Nuts in Central AsiaDevelopment Challenges: Between 94,000 and 144,000 plant species — a quarter to a half of the world’s total — could die out in the coming years, according to an estimate by Scientific American (2002). Among them are vital food crops, threatened by a world in which climate change is causing more weather turbulence and diseases and viruses can spread rapidly and destroy crops.
African Theatre Becomes European SuccessDevelopment Challenges: In Britain, the country that gave the world the plays of William Shakespeare (http://en.wikipedia.org/wiki/William_Shakespeare), a new creative force has taken stages by storm: African theatre. And it is proving how economically rewarding Southern culture can be.
Southern Drink Challenges Corporate DominanceDevelopment Challenges: Across the global South, its thirsty people have long been a target market for Northern drinks companies. The ubiquity of the American soft drink Coca Cola, or even its rival Pepsi Cola, is testimony to that. Even the most remote village on the impoverished island of Haiti can offer an ice-cold Coke.
Kenyan Eco-Village Being Built by Slum-DwellersDevelopment Challenges: A Kenyan eco-village is helping slum dwellers to start new lives and increase their wealth. The community, Kaputei, is being built by former slum residents – some of whom used to beg to survive – and is providing new homes with electricity, running water and services like schools and parks. By building their own homes, with the help of affordable mortgage loans, the residents are able to make a big upgrade to their quality of life while acquiring real wealth.
Taxis Promote African Music BeatsDevelopment Challenges: South Africa’s township music is pounding its way into the global music charts. How has music made in the impoverished townships that are a hangover from decades of apartheid – the country’s former racial separation laws, which trapped millions of black South Africans in disenfranchisement and poverty – travelled around the world? By hitching a ride with the country’s ubiquitous taxi drivers.
Successful Fuel-Efficient Cookers Show the WayDevelopment Challenges: Kenyan entrepreneur has cooked up a fuel-efficient stove and oven that uses less of a precious national resource: wood from trees. Most African households using fuel-burning stoves either cannot afford clean-burning fuels like natural gas or electric stoves, or do not have access to them. They are stuck having to burn wood or other materials like animal dung – collectively called biomass – on open fires.
A New Mobile Phone Aimed at the PoorDevelopment Challenges: A low-cost Venezuelan mobile phone aimed at the South’s poor is proving that South-South technological cooperation works. Packed with features and costing no more than US $15 – making it one of the cheapest mobile handsets in the world – the phone is aimed at the fast-growing mobile market across the global South.
African Online Supermarket Set to Boost TradeDevelopment Challenges: African Online Supermarket Set to Boost Trade Online retailing and marketing strategies are revolutionizing how people around the world buy products and services – but so far they have not benefited most of Africa’s small businesses and traders. On a continent where trading for survival is the norm, very few people are reaping the benefits of selling on the Internet.
Rebuilding After Chinese Earthquake: Beautiful Bamboo HomesDevelopment Challenges: It has been a year since the May 12, 2008 Sichuan earthquake in China that killed more than 70,000 people. Getting Sichuan back to normal is critical for not only the province’s people, but for all of China. Sichuan is China’s rice bowl, growing more food than any other province. But despite the abundance of food, Sichuan remains poor and has seen its working age population move away for work. If it is to have a viable future then its communities need to get back to normal as fast as possible – and its farming economy back to full production.
SOS Shops Keep Food Affordable for Poor, UnemployedDevelopment Challenges: As the global downturn bears down on country after country, governments around the world are introducing austerity measures to try to keep their economies going. Many countries are now facing financial crisis and the need for loans and support from the International Monetary Fund (IMF). Formerly comfortable people are going from regular employment to unemployment or erratic employment, and growing numbers of people are finding it hard even to afford basics such as food.
Cleaner Stoves To Reduce Global WarmingDevelopment Challenges: The use of polluting fuel-burning stoves by half the world’s population – including 80 percent of rural households – is a documented contributor to a host of health problems. Poor households not only have to contend with the ill health effects of dirty water and poor sanitation, the fumes from burning dung, wood, coal or crop leftovers lead to the deaths of more than 1.6 million people a year from breathing toxic indoor air (WHO).
Solar Powered Village Kick-Starts Development GoalsDevelopment Challenges: More than 1.7 billion people around the world have no domestic electricity supply, of whom more than 500 million live in sub-Saharan Africa (World Bank). Without electricity, many development goals remain dreams that will never be achieved. But in a first for India, a village is now entirely powered by solar energy, kick-starting its development and reversing the decline common to many villages.
Rainforest Gum Gets Global MarketDevelopment Challenges: Mexico is home to the second largest rainforest in the Americas after the Amazon jungle. But the country’s forests face serious threats from logging, cattle ranching and agriculture. As much as 80 percent of Mexico’s original forests have already been lost. A group of Mexican farmers is now using sophisticated product marketing to preserve their income, and the 1.3 million hectares of rainforest as well.
Disabled Congolese Musicians Become World HitDevelopment Challenges: A group of Congolese musicians is using music to overcome obstacles – both economic and social – that come with being disabled in a poor country. Called Staff Benda Bilili, they are on course to be a global sensation and are looking forward to their first European tour. A remarkable achievement for anyone from a war-torn country, let alone for musicians who live as paraplegics in the slums of the Democratic Republic of Congo’s capital, Kinshasa (http://en.wikipedia.org/wiki/Kinshasa).
Camel Ice Cream Delivering Desert Dessert Development Challenges: The global food crisis is forcing people around the world to think differently about how food is produced and what new products can boost the incomes of farmers. U.N. Secretary General Ban Ki-moon has called for food production to increase 50 percent by 2030 just to meet rising demand – and right now there are 862 million people worldwide who are undernourished (FAO). The world’s over 19.4 million camels (FAO, 2003) are now being tapped for their highly nutritious, healing and tasty milk.
Finding Fortune in Traditional MedicineDevelopment Challenges:Traditional medicines and treatments could help provide the next wave of affordable drugs and medicines for the world. But a phenomenon known as ‘bio-prospecting’ – in which global companies grab a stake in these once-free medicines – has been placing traditional medicines out of reach of Southern entrepreneurs.
Accessing Global Markets Via Design SolutionsDevelopment Challenges:The power of design to improve products and the way they are manufactured is increasingly being seen as a critical component of successful economic development.
Berber Hip Hop Helps Re-ignite Culture and EconomyDevelopment Challenges: Music is being used to revive the ancient language of the original North African desert dwellers, the Berbers (http://en.wikipedia.org/wiki/Berber_people). And in the process, it is spawning a whole new generation of entrepreneurs and generating income.
Cashing in on Music in BrazilDevelopment Challenges:Brazilian musicians have found a way to prosper and exploit the realities of music distribution in the modern age. The biggest problem for most artists – both beginners and those who are more established – is how to earn an income from their work. In the digital age, it is next to impossible to stop people freely copying your work and passing it on.
Cuba’s Hurricane Recovery SolutionDevelopment Challenges: The frequency of extreme weather in the past decade has been attributed to global warming (http://tinyurl.com/5peel). Many scientists believe the future will bring even more turbulent weather events and disasters. The devastation and hardship brought by natural disasters can eradicate development gains, and destroy livelihoods and health. It is critical countries help people to get back to their normal lives as fast as possible.
Afghanistan’s Juicy Solution to Drug TradeDevelopment Challenges:Afghanistan is the world’s largest source of the illegal drugs opium and heroin (International Narcotics Control Board), both of which are derived from the bright-red flower, the poppy (http://en.wikipedia.org/wiki/Poppy).The country produced 8,200 tons of heroin in 2007, up 34 percent from the previous year.The negative consequences of the flourishing drug trade are numerous: it is destabilizing Afghanistan’s neighbours and undermining political and legal institutions, addiction rates are soaring, and addicts are spreading HIV/AIDS.
DIY Solution Charges Mobile Phones with BatteriesDevelopment Challenges: There are now more than 3.5 billion mobile phones in use around the world. In the past five years, their use and distribution has exploded across the global South, including in once hard-to-reach places in Africa. In fact, Africa is the world’s fastest growing mobile phone market. Over the past five years the continent’s mobile phone usage has increased at an annual rate of 65 percent – twice the rate of Asia.
African Bus to Tackle African RoadsDevelopment Challenges: Roads in many parts of Africa are rough at best, and hostile to vehicles designed with smooth, flat highways in mind. Even in countries like South Africa, where modern highways are common, a quick turn off the smooth highway to visit many communities will mean tackling makeshift dirt roads. In these conditions, buses imported from Western Europe are at a disadvantage when they hit the bone-jarring reality of potholed roads.
January
Debt-free Homes For the PoorDevelopment Challenges:As the population around the world’s cities grows, and slums grow larger and more prevalent, the urgent need for affordable and decent housing becomes more pressing. The world’s megacities – like Buenos Aires, Argentina, where more than 13 million live in the metropolitan region – have to find a way to provide housing that is both cheap and does the minimum possible amount of harm to the environment.
Rickshaw Drivers Prosper with New ServicesDevelopment Challenges:The rickshaw is the world’s oldest form of wheeled transportation and forms a significant part of India’s transport infrastructure. In large cities across Asia, 1 million three-wheeled auto-rickshaws form an important means of daily transportation and a vital source of income for their drivers. There are 8 million cycle rickshaws on the streets of India, the government says. They perform many tasks: as taxis, as couriers, as goods movers. And the Indian government promotes cycle rickshaws as a non-polluting alternative.
Venezuela’s Currencies Promote Cooperation Not CompetitionDevelopment Challenges: The global economic crisis has spread around the world and is bringing many problems in its wake. As global currency markets gyrate wildly, and people find they can go from having wealth to being poor almost overnight, the question is being asked: “is there another way?”
Kenyan Bank Helps the Poor and Gets RichDevelopment Challenges: Good quality banking services are a basic building block to rising incomes. Yet the poor across the South are often overlooked and denied access to savings accounts and loans. Many low-income people are openly discriminated against as ‘bad risks’ by banks, and denied the sort of banking services middle and higher income people take for granted. Yet it is a myth that the poor do not have money or do not wish to save and invest for their future or for business.
Development Challenges, South-South Solutions was launched as an e-newsletter in 2006 by UNDP’s South-South Cooperation Unit (now the United Nations Office for South-South Cooperation) based in New York, USA. It led on profiling the rise of the global South as an economic powerhouse and was one of the first regular publications to champion the global South’s innovators, entrepreneurs, and pioneers. It tracked the key trends that are now so profoundly reshaping how development is seen and done. This includes the rapid take-up of mobile phones and information technology in the global South (as profiled in the first issue of magazine Southern Innovator), the move to becoming a majority urban world, a growing global innovator culture, and the plethora of solutions being developed in the global South to tackle its problems and improve living conditions and boost human development. The success of the e-newsletter led to the launch of the magazine Southern Innovator.
The original southerninnovator.org website launched in 2011, in tandem with the first issue of Southern Innovator Magazine, and ranked midway in the top 10 million most popular websites in the world. Its content has been cited in books, scholarship and strategic plans.
Development Challenges, South-South Solutions is the monthly e-newsletter for the United Nations Office for South-South Cooperation in UNDP (formerly the United Nations Development Programme’s South-South Cooperation Unit). I research and write all stories (since January 2007). You can view the original website here. The stories are in English, French and Spanish.
The original WordPress website for Development Challenges, South-South Solutions (southsouthnews.wordpress.com). It was launched in 2006 and eventually became southerninnovator.org in 2011. The magazine Southern Innovator was also launched in New York in 2011.
The newsletter archive on the website for UNDP’s Special Unit for South-South Cooperation circa 2011 (including issues in English, French and Spanish). 2011 was an important year as the e-newsletter Development Challenges, South-South Solutions scaled into a dedicated web archive, http://southerninnovator.org, a sister magazine, Southern Innovator (https://unsouthsouth.org/2014/12/25/southern-innovator-magazine/), and pollinated its content across multiple platforms, capitalising on the platform and social media explosion of the time.
Here is a good background article on the rise of South-South cooperation, how it is altering global trade and power relationships, and what the future holds: South-South Cooperation Defies the North. And here is some historical background from Wikipedia: South-South Cooperation.
Development Challenges, South-South Solutions reaches a global audience of influential decision-makers on the frontlines of international development in the South. More than 2,000 subscribers read the newsletter every month (academic institutions, UN agencies, private sector companies, UNDP Country Offices, financial institutions including the IMF and World Bank, inter-governmental organisations, UNDP knowledge networks around the world, and all South-South focal points in West Africa).
Remember to think of Development Challenges, South-South Solutions when you have a Southern innovation to share with the world. You can read our archive of stories online here: http://ssc.undp.org/index.php?id=66
From Special Unit for South-South Cooperation: 2008 Reflections: “As part of the strategy to foster South‐South cooperation within and across regions, the Division has continued to invigorate and re‐enforce a South‐South cooperation focal point system. These efforts included the publication and distribution of a monthly e‐newsletter, Development Challenges: South-South Solutions, which presents a briefing for South‐South focal points, Southern academics and development professionals on practical solutions to development challenges found throughout the South. Over the course of 2008, twelve e‐newsletters were released via e‐mail and published on the website of the Special Unit.”
What are people saying about Development Challenges, South-South Solutions? Read some comments here.
Contact me by email about the newsletter here: developmentchallenges@googlemail.com.
Contact me by email about the new global magazine Southern Innovator here: southerninnovator@yahoo.co.uk
July 2014 issue of Development Challenges, South-South Solutions: The last issue is available online for download. Support the e-newsletter for 2017: we are seeking additional funding so we can improve the reader experience and frequency of the e-newsletter. Since first launching in 2006, we often heard from readers how they valued the stories in the e-newsletter and how it has helped in raising the profile of innovators across the global South (“Congratulations on another great newsletter that’s packed with fascinating information! I really enjoy getting it each month.”). Additional resources would enable us to improve the way readers can access and receive the e-newsletter, enable the e-newsletter’s contributors to travel and report on developments, and allow us to offer daily and weekly updates and a wider range of resources online and on mobile platforms. Additional funds help in maintaining the quality of the e-newsletter, something that has been appreciated by readers (“Great economic and business reporting! Very helpful for us.” Africa Renewal). It will also allow the e-newsletter to spin-off quality resources for innovators, such as the influential magazine Southern Innovator. Contact the United Nations Office for South-South Cooperation if you wish to support the e-newsletter for 2017: UNOSSC.
“What a tremendous magazine your team has produced! It’s a terrific tour de force of what is interesting, cutting edge and relevant in the global mobile/ICT space… This is great, engaging, relevant and topical stuff.” Rose Shuman, Founder & CEO, Open Mind and Question Box, Santa Monica, CA, U.S.A.
“Great economic and business reporting! Very helpful for us.” Africa Renewal, Africa Section, Strategic Communications Division, United Nations Department of Public Information
“The reviewer observed that, although the Policy and UN Coordination Unit had produced all of the reports requested by intergovernmental bodies, especially for the High-level Committee, it had not been able to produce many of the publications (evidence-based analytical reports) that had previously been within its purview. Such publications included Southern Innovator magazine and the monthly e-newsletter “Development Challenges, South-South Solutions”. In the case of Southern Innovator, one issue (No. 5 on waste and recycling) was published during the four-year period of the framework but did not have wide online distribution, and issue No. 6 was awaiting funds for publication. The e-newsletter was last issued in July 2014 even though the reviewer found it a good way to communicate with focal points at the national and inter-agency levels. In fact, the shortage of funds for those knowledge products was the main reason that they had ceased being produced during the evaluation period.” Final evaluation of the performance of the United Nations Office for South-South Cooperation under its strategic framework, 2014-2017, in light of the adoption of the 2030 Agenda for Sustainable Development
An anticipated game-changing revolution in African trading set for 2013 is getting one innovative business very excited.
Southern African mobile phone “m-commerce” pioneer moWoza (mowoza.com) is developing new ways of selling services and products through mobile phones and developing the networks and infrastructure to capitalize on coming changes in Africa as cross-border trade is liberalized.
It is already selling food packages containing well-known South African brands that can be ordered by migrants on their mobile phones and then delivered to recipients – family or friends – even in remote and hard-to-reach communities. The service is currently operating between Mozambique and South Africa – the two countries share a border.
The start-up hopes to help the millions of migrant workers and small traders who contribute to the constant flow of trade and wealth between states in Africa. These people face many obstacles, including bureaucratic red tape, corruption and harassment.
Cross-border trade by economic migrants is largely informal. moWoza hopes to make it formal and efficient while reducing exploitation of migrants and corrupt practices by officials. By providing an easy-to-use mobile phone service, it hopes to build trust with these transactions.
Africa is a market of a billion people worth US $2 trillion in trade and business, but the World Bank estimates the continent is losing billions of dollars in potential earnings because of high trade barriers. It found that it is easier for African countries to trade with the rest of the world than with other African countries.
The continent’s leaders are calling for a continent-wide free trade area by 2017.
Studies by the World Bank and others have repeatedly shown that inefficient transport and trade barriers translate into higher prices of goods for consumers as importers pass along high transport costs to consumers. Food prices remain extremely high in Africa – almost 25 per cent higher than they were in 2006, according to the World Bank. In developing countries, people normally spend up to 80 per cent of their incomes on food.
With the world in the grip of an ongoing food crisis brought about by multiple factors – including growing populations, environmental challenges such as drought and soil depletion, declining rural economies, inefficient farming methods and commodity speculation – measures that increase efficiencies and trade can be a powerful counterweight and help drive prices back down again.
moWoza – mo stands for mobile and Woza is a Zulu word meaning running -sells a range of products including basic foodstuffs to a target market of cross-border migrants in Southern Africa. moWoza estimates there are 7 million migrant and cross-border shoppers in South Africa alone, and it’s building a network reaching into remote communities to deliver packages ordered through its m-commerce service on mobile phones.
moWoza aims to open up access to products in these underserved markets.
moWoza is trying to position itself for the new opportunities that will arise when, in 2013, 23 African borders open for regional trade, creating a vast trading area stretching from Cairo in Egypt to Cape Town in South Africa.
moWoza wants to be the m-commerce brand that people will turn to. It is chasing customer markets that include African economic migrants, small and medium-sized enterprises doing cross border trade, and the 30 million African economic migrants who are supporting family back in their home countries.
Founder Suzana Moreira says the company carried out extensive research in South Africa, Mozambique, Lesotho, Zimbabwe and Kenya before launching its first trial runs between South Africa and Mozambique. “We ran several pilots to determine the most efficient way to provide access to packages for the beneficiaries and developed the necessary technology to enable our customers (migrants) to place orders simply. We are now operating between Johannesburg and Maputo,” she said.
Officially incorporated in 2009, moWoza did not get up and running until 2010.
Once a customer has experienced a delivery from moWoza, they are introduced to other services like banking or how to download information from the Internet. Many customers are only just learning about the resources available online.
“We look forward to the opening up of cross border trade as our findings suggest that the liberalization and facilitation of the cross-border trade initiative will increase demand for all products and services from South Africa to neighbouring countries,” Moreira said. “South Africa offers an extensive range of products compared to the choice of products that are offered in many of the neighbouring countries.
“The structures and networks that compel migrants to come to South Africa are well established,” she explained.
“The social networks encourage the movement of labour. Hundreds of thousands of male migrants from the Southern African Develoment Community, SADC (http://www.sadc.int/), countries have spent the greater parts of their working lives in South Africa. They in turn had parents or grandparents who had worked in South Africa, while providing a lifeline to the family in the home country.
“This practice will continue: mobile money to a degree will facilitate this lifeline but as long as products can be sourced cheaper in South Africa, the demand for South African products will continue.”
The people behind moWoza sound like business radicals, proclaiming that traditional ‘bricks and mortar’ businesses will be replaced in a shopping revolution by WAP (wireless application protocol) and SMS (short message service) business platforms operating on mobile phones.
Apart from developing the m-commerce business, moWoza aspires to become a well-known brand for the migrant community.
“Becoming a lifestyle brand is a bold statement on our part,” Moreira said. “However, this goal reflects a measure of success and would demonstrate that we are delivering value to our customers (migrants and micro-merchants) and their beneficiaries.”
The moWoza brand hopes to reflect the lives of their customers and be all about embracing fluidity and mobility.
“As our primary customers are transnational and highly mobile (immigrants with a dual existence), we would like moWoza to represent mobility and fluidity (attune to anytime, anywhere, always).” she said. “Their greatest aspiration is an improved livelihood and a simplification of the rigours of grass-roots existence.”
moWoza foresees big changes coming for the economies of the African countries affected by the opening up of regional trade. According to its website: “New markets and trading routes will mushroom, traditional value chains will be replaced with ICT [information and communications technology] innovations; a savvier and younger consumer will emerge who will value convenience and simplicity.”
For users, moWoza’s service works like this: A customer uses a mobile phone to make a purchase. An agent helps with selecting the right package and delivery options. When the payment is made, an SMS mobile receipt – a so-called m-receipt – is sent to the customer. The person who will be receiving the parcel will also receive a text message. During the delivery process, ‘m-updates’ are sent on progress to both parties and when the parcel is finally delivered, a final notification is sent of delivery.
Special drop-off points have been set up in countries where the service is available and there is follow-up contact with the customer to determine their continuing needs.
MoWoza hires people from the communities they operate in as agents. An agent works with the customer to show how the Internet works on mobile phones and to improve their literacy skills.
Product parcels are selected to meet the World Health Organization (WHO) nutritional guidelines. The packages are selected based on focus groups and customer feedback.
With offices in South Africa and the United Kingdom, moWoza is looking forward to expanding what it can offer.
“We will continue to innovate, and deliver services that improve the livelihoods of our target market and their beneficiaries,” Moreira said. “We will extend our packages to include seeds and other agricultural products, school and educational materials, and health products. As we grow, our services will extend to digital (virtual) goods, e.g. insurance products specifically targeting the underserved communities.”
2) Borderless Alliance: Removing Trade Barriers in West Africa: Borderless is a vision for competitive trade in West Africa – of eliminating barriers to trade. Streamlining procedures, attacking corruption and facilitating the movement of people and goods will lower costs. Consequently, businesses will expand, create jobs and generate more revenue for government and more income for people. Website:http://www.borderlesswa.com/
3) Borderless Conference 2013 and 2014: Call for proposals: The Borderless Alliance Secretariat announces a call for proposals to host the 2013 annual Borderless Conference. Borderless Conference 2013 will be the second transport and trade annual conference in West Africa, and will bring together more than 300 stakeholders from around the world to discuss efficiency in logistics, using data for decision making and advocacy. Website:http://www.borderlesswa.com/news/borderless-conference-2013-2014-call-proposals
5) Trade Mark East Africa: Supporting East African Integration: Through TradeMark East Africa, a cost-effective regional aid delivery mechanism has been established that can focus on building long-term East African capacity. TradeMark East Africa provides a durable platform for scaling-up of Aid For Trade to East Africa. Website:http://www.trademarkea.com/home/
9) Cross Border Trade Desk: This website is a ‘resource’ to help cross border traders in Eastern and Southern Africa to find an association near to them, to voice their opinions and explain what COMESA is doing in improving conditions for small-scale cross border traders. Website: http://www.cbtcomesa.com/
10) Defragmenting Africa website including the report De-Fragmenting Africa: Deepening Regional Trade Integration in Goods and Services by the World Bank. Website: http://tinyurl.com/cta3ykf
Development Challenges, South-South Solutions was launched as an e-newsletter in 2006 by UNDP’s South-South Cooperation Unit (now the United Nations Office for South-South Cooperation) based in New York, USA. It led on profiling the rise of the global South as an economic powerhouse and was one of the first regular publications to champion the global South’s innovators, entrepreneurs, and pioneers. It tracked the key trends that are now so profoundly reshaping how development is seen and done. This includes the rapid take-up of mobile phones and information technology in the global South (as profiled in the first issue of magazine Southern Innovator), the move to becoming a majority urban world, a growing global innovator culture, and the plethora of solutions being developed in the global South to tackle its problems and improve living conditions and boost human development. The success of the e-newsletter led to the launch of the magazine Southern Innovator.
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