Outline of mainland Africa in technical style | Photo Malochkina Anastasia, Shutterstock
Africa stands at a critical brink when it comes to developing sustainable digital infrastructure. At last week’s Davos World Economic Forum (WEF), many leaders called for sustainable and resilient development supported by public-private collaborative partnerships.
These are exactly the kinds of partnerships that will help propel Africa into the digital infrastructure space, with African leaders aiming to bridge the continent’s fragmented economic development space and help landlocked countries reap the benefits of pan-African economic growth. It also goes without saying that achieving the Sustainable Development Goals (SDGs) around decent work, innovation and sustainable cities and communities requires adopting strategies based on strong institutions and partnerships.
WWell, who’s in charge here?
One of the WEF’s reports asks an important question: “Who is responsible for developing the digital infrastructure that society now expects to support exponentially increasing traffic?”
surely, Digital infrastructure is not built without foresight, planning, investment and innovation — and so many stakeholders are involved. We also know that there are serious obstacles constraining the development of digital infrastructure around the world, and that without new approaches these constraints will not be overcome.
What does Africa have to offer?
I would like to consider what new approaches can be adopted, particularly in Africa, and who are the innovative guardians of these approaches.
I firmly believe that Both the public and private sectors can find ways to modernize policies that remove obstacles to digital infrastructure growth and foster investment and innovation across the digital infrastructure ecosystem. And I believe this can be achieved through long-term labor agreements formalized through public-private partnerships (PPPs).
Why PPP?
A PPP is a contractual arrangement in which the public and private sectors cooperate in the provision of services and goods. In this effort, both parties share the risk. Innovation and efficiency are embraced. The private sector is then encouraged to deliver a well-defined set of deliverables.
Public-private sector engagement through PPPs frees Africa from the digital infrastructure development inertia that exists in much of its territory. This requires an environment for committed public and private sector champions to meet the challenges of digital infrastructure development head-on. The following needs to be addressed:
Strategies to embrace technological breakthroughs Obsolescence that threatens private sector investment Protection of intellectual property Innovative financing Indifference to partnerships that embrace private sector innovation The role of independent regulators who can play a constructive role in internet licensing and user fees, in addition to the regulation of state monopolies Harmonization of laws and regulations (domestic and international) to enable multinational companies to provide digital infrastructure
Cross-border digital infrastructure challenges
Finally, the challenge is raised to a higher level when considering the development of cross-border digital infrastructure. In 2014, WEF was already tackling the challenge of cross-border infrastructure projects in Africa. The next questions identified are:
Who owns and controls cross-border digital infrastructure (i.e. government or private sector)? How can cross-border consensus be reached on different development priorities among nationally focused national regulators? Is there a role for state-owned telecommunications companies? How will cybersecurity interests be balanced against national network integrity? Where will the physical foundational elements of digital infrastructure be located and how will the cyberspace elements be shared?
solution ideas
These solutions contribute to an environment that fosters the development of cross-border digital infrastructure.
Avoid unnecessary territorialization of the digital infrastructure space that leaves landlocked countries vulnerable. Collaborate with cross-border digital infrastructure agencies that can address the typical policy environment favorable to PPPs. We work closely with international multi-stakeholder organizations such as the World Wide Web Consortium, the Internet Corporation for Assigned Names and Numbers, and the International Telecommunication Union to harmonize our approach. Embrace the role that innovative companies can play. Modernize government institutions and strengthen independent regulatory authorities that can implement harmonized strategies and laws for the benefit of all African countries. Embrace forward-looking, sustainable, and resilient (i.e., obsolescence shock-proof) PPPs. Address user needs with a customer-focused approach. If governments are unyielding, allow world market forces to push gently.
You can see that this last point may be loaded. However, it is important that governments adopt proactive strategies towards developing cross-border digital infrastructure, otherwise their economies will undoubtedly suffer from isolation. Additionally, as we increasingly work with the private sector to define digital infrastructure ecosystems, we need to listen to our users.
Disclaimer: The content of this blog does not necessarily reflect the views of the World Bank Group, its board of directors, staff, or the governments it represents. The World Bank Group does not guarantee the accuracy of the data, findings, or analysis in this post.
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This blog is managed by the World Bank’s Infrastructure Finance, PPPs and Guarantees Group. Learn more about our work here.
