By: Leah Ngari

Introduction

Africans have been living steadily longer lives over the past 20 years. Despite this progress, however, the average life expectancy at birth in Sub-Saharan Africa is only around 61 years – by far the lowest in the world, and over 10 years lower than the world average of 72.6.

By: Elenah Kimaru

Did you know that the world’s population is expected to reach almost 10 billion people by 2050? Much of this population growth will be in Sub-Saharan Africa (SSA), where population growth is the fastest in the world – over double the rate of growth of South Asia, the world’s next fastest growing region. If these trends continue, Africa’s population is expected to double by 2050, when 1 in 4 people worldwide will be living in SSA.

The surge in working age adults has the potential to increase productivity, improve innovation, and transform African economies. But the population surge will only benefit the economies that can absorb the influx of new workers. Already, most employment in SSA is self-employment. And in a region where the more labor-intensive manufacturing and agriculture sectors are often underdeveloped, and where good services jobs are not always available, there is a concern that African economies will lack the capacity to absorb so many new workers. Graça Machel, former first lady of both Mozambique and South Africa, warns: “Even though our youth have the potential to transform Africa if neglected, they could exacerbate poverty and inequality while threatening peace, security, and prosperity”

Now is the time to increase agricultural productivity

One thing, however, is certain: An increase in Africa’s population means more mouths to feed. This is sure to pose a challenge in a region already struggling with food insecurity.

Africa has the potential to feed not only itself – it can become the world’s next breadbasket, and use its agricultural potential to guarantee food security and grow its economy. Africa’s enormous size (over 30 million km²) and variations in elevation, waterways, climates and soil types contributes to a diversity of environmental conditions where many different kinds of crops and farming operations can thrive. And increasing productivity in agriculture is key to Africa’s economic development: In 2018, the agriculture sector accounted for only 16% of SSA’s GDP, but it employed 55% of the workforce. Imagine the impact that increasing agriculture productivity could have on the population and on the economy!

Current challenges

Today, Agricultural productivity on the continent has not reached even close to its potential. This is due in large part to the lack of farming modern techniques and expertise, the use of low quality inputs and the misuse of inputs, and the relative lack of farming tools and equipment. (Of course, these trends are not equally represented in every country.) As a result, despite Africa’s significant agricultural potential, the continent is a net food importer.

The role of the private sector

Most agricultural production on the continent is carried out by small scale family farms that often produce at near-subsistence levels. Thus, improvements in agricultural productivity will need to involve private sector empowerment. Small-holder farmers will adopt modern farming techniques, input use, and farming equipment if it makes economic sense for them. So long as farmers do not have storage solutions for their surplus crops or easy access to markets, they lack the economic incentive to take financial risks to try and increase their yields.

Companies bringing innovative solutions to any aspect of the agricultural production chain can play a pivotal role in SSA’s agriculture market, help farmers unlock the potential of their land, contribute to African and global food security, and build successful businesses.

The role of government

Of course, the governments also have a function in developing food production capacity. Subsidizing the costs of farm inputs such as fertilizers and seeds can encourage farmers to take the risk on unfamiliar types of inputs. Governments can also regulate the land market in their countries. The lack of a regulated land market and clear property rights is a major impediment to long term investment in agricultural development.

Working together to accelerate Africa’s agricultural revolution

Africa as a continent must be prepared to feed its growing population. Instead of seeing the rising number of mouths to feed as a challenge, the demographic shift can be an opportunity to transform Africa’s agriculture sector into the world’s breadbasket. For this to happen, however, all stakeholders will need to work together to make sure that SSA is fully tapped into its agricultural potential.

By Elenah Kimaru

Did you know that Botswana’s literacy rate stands at 88.5%? The high literacy rates in Botswana have largely contributed to an empowered workforce, which translates to good business and opportunities for foreign investment.

Here are 10 fun facts about education in Botswana.

By Leah Ngari

With the current population at 52.6 million and the median age at 19 years, Kenya will be among the African countries to have the largest workforce in the coming years. National and multinational companies can draw on Kenya’s educated labor pool to staff headquarters or local branches. But the biggest opportunities may come from Kenyan graduates themselves establishing businesses and fashioning their future.

I spent three years studying for my B.A. in Kenya, hoping that it would give me an advantage in Kenya’s competitive job market. Most mornings, I would wake up and make myself tea to have with some ‘mandazi’ before quickly rushing out to school. I lived in a tiny studio apartment, a good 20-minute walk from university, as did most of the students who did not get space at the school dorms.

The apartments were generally more costly than the dorms, but living at home with my parents would have been more expensive: Commuting is expensive. The heavy traffic also wouldn’t have helped much.

Classes lasted two hours each, with two-three classes a day, four days a week. On days when I stayed on campus into the afternoon, I could buy lunch for $1-2 (USD) at one of the small restaurants just outside of campus. I tried to cook most of my meals at home, since this was always more affordable.

My parents paid my student fees, which are currently fixed at approximately US $160 a year. The government subsidizes the remaining tuition (approximately US $673/year).

Like most other students, however, I still needed to work to pay for my rent and utilities. Since jobs are generally scarce, it is difficult to find a job that is flexible enough to accommodate a student’s schedule. As a result, many students establish small businesses, often in printing or selling clothes or food to other students and workers. Other students opt for jobs that can be done remotely. One either has to start a business or find remote, online jobs. I opted for freelance writing. My parents paid my tuition fees, and I worked for most of the extras.

Even though I applied myself to my studies, I lived in the constant fear that I will not get a job once I graduate. Employers have pointed out that most recent graduates lack the soft skills needed in the workforce today. This includes advanced cognitive and socio-behavioural skills that the World Bank has identified as a high-level requirement for employment.

Yet these skills are not generally taught in the Kenyan education system, so students who want to be attractive to employers need to acquire these skills on their own. I volunteered with several companies and interned for others to gain the skills and experience required for the job market. Some students opt to learn new languages or get certificates in short courses such as accounting to add to their resumes.

Those with a technology background have an easier time finding a job. Indeed, Kenya’s ICT sector has grown annually by an average of 10.8% since 2016. Interestingly, however, many companies in Kenya’s ICT sector report that their primary source of technology talent is “programming bootcamps” rather than universities.

Other students turn to entrepreneurship. There are 38 incubators and accelerators currently operating in Kenya, and the country has the highest percentage of female entrepreneurs in East Africa.

Although only 2.8% of the total population has a university degree, the lack of “white collar” jobs makes the job search very competitive. Popular industries such as hospitality and business management are flooded, with companies getting hundreds of applicants for a single position.

Kenya’s students are doing what they can to get noticed in the competitive job market. If more businesses establish operations in Kenya, they will find an educated labor force ready to propel their business forward.

On Thursday, Feb 13, 2020, Empower Africa was a proud sponsor of The 2020 OurCrowd Global Investors’ Summit, one of the largest tech conferences in Israel. The Summit brought together thousands of investors and tech entrepreneurs from around the world for a day of learning and networking. African delegates included angel investors from Kenya, VC partners from South Africa, students from Uganda and Tanzania, businessmen from Nigeria, a host of Israeli companies already operating in Africa, and government officials from Ethiopia and Botswana.

We were delighted to hear CEO John Medved speak from the main stage and highlight the commercial opportunities in Africa today. Medved urged investors and tech companies to increase their attention on the continent and to utilize their innovative technologies to drive impact.

The networking opportunities for the Empower Africa team were plentiful. At the invite-only Gala Dinner, held the night before the Summit, Empower Africa’s executive team represented the company to a wide range of investors, business leaders and members of the OurCrowd community.

As sponsors for the event, Empower Africa held a booth at the summit to promote investment in Africa. The booth was constantly busy with hundreds of Summit participants who were seeking to learn how to invest and do business on the continent. Julius Tsheko, the Project Manager for the Botswana Investment and Trade Center (BITC), spent most of the event at the Empower Africa booth, answering questions and engaging with a wide range of businessmen and investors. Julius expressed his deep appreciation to Empower Africa for facilitating introductions to Israeli technology companies interested in expanding their operations into Botswana.

For those less familiar with Africa’s private sector, Empower Africa held a quiz that invited participants to learn more about the business landscape of Africa and win an all expenses paid business trip on our next major visit to the continent. Questions such as “what is the fastest growing source of spending in African markets today?” had some stumped (by the way, it’s consumer spending) which led to fascinating dialogue with our team members. The contest is open until April 2nd and can be entered here.

One key takeaway from the event was the need to make use of the new technologies produced today to empower emerging markets and actualize the human potential that exists in these locations. This is in line with the growing trend of creating impact businesses- business that does well by doing good.

An important value we saw demonstrated at the OurCrowd Summit was that of collaboration. Politics were set aside and people from all regions showed up in Jerusalem to network and celebrate the technology community’s innovations and accomplishments.

The event was well produced, rich with insightful content, and an excellent platform for interacting with fascinating people. Most importantly, for us as a team, we left the event optimistic that the Israeli tech ecosystem will have a vital role in driving sustainable economic development in Africa.

Foreign investment can be very rewarding – but it can also be challenging. Understanding the business landscape in a country you wish to invest in is key to successful foreign investment. And to understand the business landscape, you need to have the right network.

At Empower Africa, we understand the importance of bringing the different stakeholders to the table, involving them in the decision-making process, and facilitating networking opportunities.

The recent “Driving Business in Africa” cocktail reception at the Arts Club in London is a prime example of Empower Africa’s network building tools. The reception, held during the week of the January 2020 UK-Africa Business Summit, brought together some seventy investors, businessmen, government officials, and non-profit representatives to share ideas and spark conversations on driving business in Africa. The different speakers who graced the event sparked thought-provoking conversations on the benefits of investing in Africa.

A special highlight of the evening was a speech given by Presidential Advisor on Economic and Financial Policy in Sierra Leone Mr. Joe Demby. Demby endorsed Empower Africa’s activity in Sierra Leone and its mission of empowering Africa through private sector development. Demby also spoke of the role that human capital development needs to play in sustainable national economic growth. Demby discussed President Bio’s commitment to human capital development in Sierra Leone and recalled a conversation he had had with the President on the topic eight years prior, before President Bio assumed office. Finally, Demby invited those in attendance to invest in Sierra Leone.

The evening also featured speeches by Shai Bernstein, V.P. of Business Development and Operations at Empower Africa; Zandile Nkwanyana, President of the Africa Business Club at London Business School; Sharon Bar-Li, Deputy Head of Mission at the Israel Embassy in the UK; Ron Crean, Vice President of Commercial Business at Windward; and Mr. Douglas Hansen, Founder and Chairman of Future Planet Capital.

The uniting theme that stood out from all the speakers was the value that can be created when diverse groups come together.