Seeds of Opportunity: The African Growth Series
April 2023 | Issue 4
In this week's issue, you will learn more about:
- AFRICA Opportunity: East Africa's Rail Network
- AFRICA OPPORTUNITY: Artificial Intelligence for Fairer Justice
- AFRICA OPPORTUNITY: South Africa’s Green Iron export potential
- UPCOMING EVENT: Big 5 Construct Southern Africa
AFRICA Opportunity: East Africa's Rail Network
East Africa is making strides in improving intra-Africa trade through infrastructure upgrades. In a recent announcement, the region will construct the second cross-border electrified standard gauge railway (SGR) line after the 750km Ethiopia-Djibouti line in 2016. Intra-Africa trade and the AfCFTA - African Continental Free Trade Area continues to be a discussion point in boosting Africa’s economy. Yet the full benefit of AfCFTA cannot be attained if failing transport infrastructure is not addressed. The new rail network expansion tender floated by Tanzania and Burund is among the key steps needed by the region. This multinational project consists of constructing about 282km of an electrified SGR line from Uvinza in Tanzania to Musongati and onwards to Gitega (both in Burundi). The project is expected to take five years to complete and forms part of the larger East African Railway Master Plan. In 2022, Africa had at least 2,210km of planned rail line projects. In East Africa, Tanzania is robustly contributing to these upgrades. In December of 2022, Tanzania announced finalizing a $2.2 billion deal with China for its planned 2 561km standard gauge railway network project, with a total cost estimated at $10.4 billion. These projects will facilitate a better trade flow in East Africa upon completion.
AFRICA OPPORTUNITY: Artificial Intelligence for Fairer Justice
Access to justice is a significant issue in Africa, with many people facing obstacles in obtaining legal services. However, the potential for Artificial Intelligence (AI) to transform the justice system in Africa is immense. By leveraging AI, it is possible to create a fairer, more efficient, and more transparent system that eliminates bias and improves access to justice by automating tasks and reducing errors.
AI technology can automate case screening, enabling the speedy and efficient processing of cases and reducing the backlog of cases. Furthermore, by identifying patterns in data, AI can help identify potential biases and ensure fair and impartial decisions.
Another benefit of AI is that it can provide remote access to legal services and translate legal documents into local languages. This will bridge the gap in access to justice across Africa, making legal services more accessible to millions.
According to research, the legal industry AI software market in Africa is expected to grow at a CAGR of 29.17% from 2023 to 2028. The increasing demand for AI-powered solutions drives this growth, the growing availability of AI technologies in Africa, and the rising number of innovative startups in this sector.
While AI adoption in the justice system is still in its early stages, there is growing consensus that AI has the potential to create a fairer and more efficient system. As AI technologies advance, they will be more widely adopted, improving millions of lives across Africa.
AFRICA OPPORTUNITY: South Africa’s Green Iron export potential
In partnership with the local Government, the South African Steel industry has considered the potential of positioning South Africa as a global exporter of green hydrogen direct reduced iron (GHDRI). With an endowment of renewable resources, land and good quality iron – ore, South Africa is well positioned to take advantage of the ‘green steel economy’ and is likely to play a pivotal and central role in the global green steel transition. With the country’s geographic position, technical skillsets, supportive resources, and financial support, South Africa has the potential to be one of the world’s least-cost suppliers of this emerging global commodity that can generate GHDRI from green hydrogen. Accordingly, green processing and production are likely to become a significant competitive advantage, especially in the export market. To further this transition, South Africa has joined 18 country members and 18 companies of the platform, with local companies such as ArcelorMittal South Africa indicating their intention to produce the commodity from 2030.
As the country continues to explore opportunities in ‘Green Steel’ production, the local steel industry, which employs over 260 000 people, needs to assess the risks posed by the global climate and trade policy and the potential opportunities the transition presents for the sector.
UPCOMING EVENT: Big 5 Construct Southern Africa
Frost & Sullivan Africa is proud to be an official Media Partner of Big 5 Construct Southern Africa, the only event that connects the entire construction industry for three days of powerful business.
Find the latest products and innovations, grow your network and connect with industry peers, enhance your knowledge and hear from leading industry experts, and so much more!
If you’re looking to enhance your business then Big 5 Construct Southern Africa expo is a must-attend on your calendar.
Register now for FREE at https://bit.ly/3LmJzvE
To find out more about opportunities in Africa, please get in touch with Lynne Martin.
