GSMA Report Highlights Digitalisation as Key Driver of Zambia’s Economic Growth
GSMA’s latest report titled Driving Digitalisation of the Economy in Zambia: Leveraging Policy Reforms emphasizes the pivotal role digitalisation plays in advancing Zambia’s social and economic growth. The report outlines how harnessing digital opportunities can help the Zambian government achieve its development objectives and foster sustainable economic progress. By embracing digital technologies across public and private sectors, Zambia stands to accelerate innovation and investment, increase productivity, and enhance access to global value chains. Moreover, these technologies promise greater efficiency and transparency in public services, making Zambia’s economy more dynamic and inclusive.
Key technologies such as mobile money, artificial intelligence (AI), and cloud computing are highlighted as critical drivers of digital and financial inclusion, leading to improved human development outcomes. GSMA’s study quantifies the economic impact of digital adoption in selected sectors and stresses the significant benefits it can bring to both the government and citizens. These advantages include job creation, higher incomes, increased tax revenues, and improved educational opportunities.
Mobile connectivity, in particular, forms the foundation of Zambia’s digitalisation efforts, while mobile money services provide accessible financial inclusion. However, the mobile telecoms sector still faces challenges, particularly in extending digital services to low-income households and rural communities. The report underscores the need for further network expansion, affordability of devices, and increased demand for digital services.
Policy reforms are essential to unlocking Zambia’s digital economy. GSMA suggests that policy decisions directly impact the sector’s growth, identifying several reforms that would support the expansion of mobile services and mobile money. These include reducing sector-specific taxes, lowering operational costs, modernizing tariff regulations, and removing restrictions on mobile money charges. Implementing these reforms could increase the number of internet users in Zambia by 2.1 million by 2028, reducing the internet usage gap by 9 percentage points.
The report aligns with the African Union’s Agenda 2063, which envisions an integrated and prosperous Africa, with ICT as a key enabler. The Zambian government acknowledges the importance of digital transformation, as outlined in the 8th National Development Plan (8NDP) and its Vision 2030. These policies stress the need for enhanced ICT infrastructure, broader access to digital services, and the development of digital skills.
Overall, GSMA’s report highlights the central role of the mobile telecom sector in Zambia’s economic digitalisation and calls for bold policy initiatives to ensure the country’s continued growth and development in the digital age.