The African Telecommunications Union (ATU) has highlighted the growing economic impact of mobile technology and services across the continent, revealing that the sector now contributes 240 billion US dollars to Africa’s economy while supporting millions of jobs and generating billions in public revenues.
Speaking at the Digital Africa Summit Workshop in Abuja jointly organised with GSM Association (GSMA), ATU Secretary General John Omo said the latest findings from the GSMA Mobile Economy Africa Report 2025 underscore the central role of telecommunications in Africa’s economic transformation and digital future.
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According to Omo, the report shows that mobile technologies and services contribute approximately 240 billion US dollars annually to Africa’s economy, support 13 million jobs, and generate 45 billion US dollars in government revenues across the continent.
He described the figures as remarkable, noting that barely 25 years ago, Africa’s mobile communications industry was virtually non-existent.
“If you consider where we were 25 years ago, these achievements demonstrate just how far the telecommunications industry has come,”.
Omo said the report provides policymakers with valuable evidence to better understand Africa’s evolving digital economy and identify priority areas for future investment and regulatory reforms.
Despite the impressive economic gains, the ATU Secretary General warned that infrastructure expansion alone should no longer be regarded as the ultimate measure of digital progress.
He argued that the true value of connectivity lies in whether people can afford digital services, possess the skills to use them and trust the digital platforms available to them.
According to Omo, many communities remain excluded from the benefits of digital transformation because of affordability challenges, inadequate digital literacy and limited access to relevant online services.
“Coverage is indispensable, but it cannot be our only measure of progress,” he said. “What matters is whether infrastructure becomes useful in the daily lives of our people.”
Better Policies
He stressed that governments must focus on policies that improve affordability, strengthen digital skills and build public confidence in digital systems if Africa is to fully realise the economic benefits of connectivity.
Also speaking at the workshop, GSMA Senior Director for Public Policy, Africa, Caroline Mbugua, said Africa was entering an “era of intelligence,” where AI would increasingly shape economic growth and public service delivery.
However, she warned that the continent risks leaving millions behind unless governments urgently address barriers to digital access.
According to her “AI development depends on widespread access to reliable connectivity and affordable smartphones, yet millions of Africans remain excluded despite living in areas already covered by mobile broadband networks.”
Mbugua revealed that about 961 million Africans fall within what GSMA describes as the usage gap—people who live in areas with mobile broadband coverage but do not use mobile internet services.
She noted that unless this gap is closed, a significant portion of Africa’s population would be unable to benefit from AI-driven opportunities.
She explained that accelerating smartphone adoption would unlock digital transformation across key sectors, including healthcare, education, transportation and public services.
To achieve this, she urged governments to introduce fiscal reforms, particularly byreducing or eliminating taxes on entry-level smartphones.
In her remarks, Michaela Angonius, GSMA’s Head of Global Policy and Regulation, identified three major policy priorities for African governments to accelerate digital inclusion on the continent.
She argued that existing telecommunications licensing regimes are outdated because they are tied to specific technologies.
Instead, she recommended technology-neutral licensing systems that accommodate rapidly evolving technologies, including satellite communications.
Angonius explained that many regulators struggle to classify satellite operators under current licensing frameworks, a problem that could be eliminated through technology-neutral regulations applicable to all communications providers.
She also called for reforms to Universal Service Funds (USFs), noting that many African countries accumulate substantial unused balances while continuing to impose levies on telecommunications operators.
According to her, “these unused funds effectively function as additional taxes that ultimately increase consumer costs and worsen affordability challenges.”
Another priority identified by Angonius was the reform of Quality of Service (QoS) regulations.
Rather than relying on highly prescriptive performance rules, she argued that governments should focus on policies that encourage infrastructure investment, network expansion and improved coverage, noting that countries with the highest service quality often achieve better outcomes through investment-friendly policies.
She further urged government to remove taxes on affordable smartphones, particularly entry-level devices, saying such measures would significantly improve digital inclusion.
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