Country Snapshot: The Current And Future State Of Digital Transformation In Senegal
Digital technology has transformed modern societies, and Senegal has not been left behind in this technological revolution. Over the years, the Senegalese government has implemented policies and programmes to develop the country's information technology and communication (ICT) infrastructure, which has allowed many economic sectors to flourish. In this blog we explore the history of digital technology in Senegal, its current state, and what the future holds.
THE HISTORY OF DIGITAL IN SENEGAL
The digital technology history in Senegal dates back to the 1980s when the first computers were installed. At that time, access to computing was limited to businesses and government institutions.
In the 1990s, with the advent of the Internet, Senegal began to connect its computer networks to international networks, enabling more people to access computers and ICT. The development of mobile telephony also played a significant role in the digital boom in Senegal, with the mobile market becoming competitive three years after Sonatel launched GSM services in 1996.
In the early 2000s, the Senegalese government embarked on various initiatives to develop the country's ICT infrastructure further. Starting in 2000 by creating a dedicated Ministry of Communication, Telecommunications, & Information Technology and followed by the launch of a national ICT development programme in 2003. This programme increased Internet access and developed the digital skills of the Senegalese population.
SENEGAL HAS RESOLUTELY ENTERED THE ERA OF THE DIGITAL ECONOMY
Today, the ICT sector in Senegal is booming, with rapid growth in the use of the Internet and mobile phones. As of 2022, Internet users comprised 46% of the population and mobile connections were equivalent to 116% of the total population.
The country has many tech startups and has set up several incubators and accelerators to support ICT innovation. Senegal has also launched a national digital development plan, which aims to accelerate the country's digital transformation by focusing on innovation, entrepreneurship, and access to technology for all citizens. This is further supported by significant investments to modernise the country’s telecommunications infrastructure. Companies are offered uninterrupted connection to the rest of the world through efficient connections such as submarine fibre optic cable, ADSL, and international leased line.
The State has also implemented a policy of growth and modernisation of its own administration based on ICT.
As a result of these developments, there has been rapid adoption of ICT across different sectors of the economy including finance, health, employment, governance, transport, and agriculture. For example, several mobile applications have been developed to strengthen the efficiency of agriculture value chains, as well as enable electronic payments and money transfers and ensure integrated management of distribution networks.
The growth of ICT is fueling job creation in the country, which includes opportunities in business process outsourcing, IT engineering, and contact centres. In addition, a new Digital Technologies Park, built on a closed 25-hectare site located in the urban centre of Diamniadio,is the first and very large regional platform for promoting innovation and the development of digital services, which is creating jobs. There are also Digital Activity Centres throughout the national territory, which bring together different ecosystem players, with a pilot phase in the Universities of Dakar, Thiès, Saint-Louis, Bambey, and Ziguinchor.
DESPITE PROGRESS, THERE ARE CHALLENGES TO BE ADDRESSED
While Senegal has made significant progress in developing its digital economy, there are still some challenges to be addressed.
Internet connection quality can be spotty and unreliable in some parts of the country, which impacts access to new and value-adding digital services In addition, high rates of illiteracy and low digital skills limit adoption of ICT and participation in the digital economy for some, in particular women and people living in rural areas.
Tech startups and digital entrepreneurs can also experience constraints to development, particularly due to lack of access to adequate funding and infrastructure.
THERE IS A BRIGHT FUTURE FOR SENEGAL’S DIGITAL LANDSCAPE
Senegal’s progress to date suggests a bright future for the country's digital landscape. The following are some predictions and potential opportunities:
Growth of the Digital Economy: Senegal is likely to experience continued growth in its digital economy due to the expansion of Internet access and the development of digital infrastructure.
Regional Hub of Technological Innovation: Senegal has the potential to become a regional hub for technological innovation in West Africa, with an ecosystem of thriving startups and emerging companies in areas such as Fintech, e-commerce, agritech, and digital health.
Digital Business Transformation: Senegalese businesses could adopt digital technologies to optimise their business processes, improve productivity and efficiency, and offer new digital services to their customers.
Realising these potentials requires ongoing progress and addressing existing challenges. In particular:
Investment in Digital Infrastructure: The continued expansion of digital infrastructure, such as the deployment of fibre optics, is critical to improving Internet access and delivering faster and more reliable digital services.
Strengthening Digital Skills: The population's digital skills development is essential, including digital upskilling programmes across the population from government officials to employees in businesses. Educational and vocational training programmes for young people will help set Senegal's future leaders up for success.
Support for Startups and SMEs: It is crucial to continue offering support to startups and SMEs to stimulate innovation and the growth of the digital economy, including funding, training, and incubation programmes.
Promotion of Innovation-Friendly Regulations: It is essential to promote innovation-friendly regulation to enable the development of new digital services and encourage investment in the ICT sector.
Senegal has the potential to become a regional leader with respect to digital transformation. It is great to see the Senegalese government committing to upskilling civil servants to become digital transformation leaders through initiatives such as the Tony Blair Institute’s Digital Academy, which is developed and delivered with the support of Panoply Digital. These types of initiatives will help fast track digital transformation in Senegal and we are looking forward to seeing the impact in the months and years ahead.
Habib Houndékindo is the CEO Founder of Heber Senegal, Senegal Country Partner of Panoply Digital.