The latest United Nations Digital Economy Report 2019 by UNCTAD has revealed that Africa and Latin America account for less than one percent of the global digital economy while the United States and China dominate taking over two thirds of the total global digital market value.
On almost all fronts, Africa seems to be lagging behind which reveals the continent may be losing when it comes to the value of the digital economy.
Here are more stats from the report:
U.S. and China dominate 2/3 of the total digital market value
Google and Facebook collected 65% of Internet advertising in 2017
Google took 95% of ‘Search Advertising’ revenue in Australia alone
Facebook took 46% of ‘Display Advertising’ revenue in Australia alone
Africa and Latin America combined account for only 1% of the digital economy share
The report goes on to show that almost no African digital enterprise is creating a digital infrastructure that is in wide use and becomes embedded. This means Africa risks further falling behind in the digital economy.
The AfCFTA however was seen as a positive approach to enabling local digital enterprises to scale internationally by enabling global reach and facilitating cross-border e-commerce in Africa.