Only 39% of the population of Africa has a connection to the internet. Those that do have it, often find it is poor and too inadequate for social or business needs. To improve its GDP and attract the best companies and talent in the world, Malawi needs better connections for its population. Below, we discuss why Malawi needs investment in digital infrastructure.
Industries That Could Bring Revenue To Malawi
With the addition of connectivity, Malawi could see many major benefits at its door, not least the arrival of various industries and their associated tax revenue. With Malawi connected to the rest of the globe, it would open the country up to the culture of the digital nomad. These are workers who travel but work remotely. With its beautiful scenery and lakes, offering VISA schemes for these people could bring a much-needed boost to skills and revenue.
There are also a host of entertainment industries that the country could decide to connect to. New Zealand is one country that has successfully integrated the online casino industry into the fabric of its online entertainment offerings. You only need to look at CasinoAlpha’s industry reports to see the huge selection of casinos. In an industry this competitive, providers can not afford to falter and provide exceptional selections of games, bonuses and customer service. You can find similar examples in places where online gaming is becoming prevalent, such as South American countries and many US states that have just allowed online gambling. All of these companies bring huge amounts of tax revenue to the country.
How Can Internet Access Be Improved or Access Increased?
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Telecom services in Malawi are expensive, and that includes internet. There are several reasons for this. The infrastructure needed to support the internet is just not there, and any bandwidth that does exist is poor. Therefore, investment in digital infrastructure needs to take place across the country, not just in the larger hubs and cities but also in smaller areas. There is also a lack of market competition, meaning current providers have very little demand to increase and improve the service they already provide.
Free Wifi schemes have been piloted in public services. These have included schools and hospitals. However, with a lack of infrastructure, this service is substandard and can have the adverse impact of turning people away from the internet. The World Bank and charitable organisations, such as the Tony Blair Foundation, have tried to stimulate investment. However, this has faced strong opposition, with the treasury of Malawi being on a tight leash as it is. While they have funded daily free internet packs, it does not solve the long-term investment solution.
If Malawi can invest heavily in its digital future, it could put itself ahead of its neighbours. Offering a spot in central southern Africa, it could become a hub for business and trade. With pressure on it to do so, keep an eye on the country and with money in the right place, it could become one of Africa’s biggest players in the future.
