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Kenya’s new data centre a win for Africa’s digital economy

Despite facing challenges in 2022, Africa’s digital economy is still expected to grow. The continent has seen efforts from both private and public sectors to develop consumer-facing products, but the necessary infrastructure to support them has been neglected.

A report by Endeavor Nigeria estimates that the market size of Africa’s digital economy is currently $115 billion and is projected to reach $712 billion by 2050. However, the report also states that this growth is still in its early stages, with mobile penetration at only 30-40%.

The lack of data centres on the continent is a significant issue, with only 86 in 15 countries, mostly located in South Africa, Egypt, Nigeria, and Kenya.

To address this shortage, the United States International Development Finance Corporation has loaned $30 million to Africa Data Centers (ADC) to build a new facility, which will increase the company’s capacity from 4.5 megawatts to 15 megawatts.

This loan is part of a larger $300 million loan that will be disbursed over the next few years. This project demonstrates the potential for growth in Africa’s digital infrastructure through increased public-private partnerships.

Kenya's new data centre a win for Africa's digital economy
Source: TechCabal

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