TIME FOR A NEW INDIA-AFRICA DIGITAL COMPACT

India strengthens its role in Africa's Digital Transformation Strategy (2020-2030), offering affordable, scalable DPI like Aadhaar and UPI. Partnerships with Togo, Zambia, and Ghana counter global competition. Despite Africa's digital divide and infrastructure challenges, India's collaborative, public-oriented approach drives innovation, capacity building, and sustainable socio-economic progress.

Last Updated on 27th May, 2025
4 minutes, 33 seconds

Description

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Picture Courtesy:  THE HINDU 

Context:

Africa Day (May 25) symbolizes the continent's journey toward digital transformation, positioning digital innovation as central to socio-economic progress.

Background

As Africa advances its Digital Transformation Strategy (2020-2030), India emerges as a key partner offering Digital Public Infrastructure (DPI) solutions that prioritize affordability, scalability, and public-oriented design. 

The partnership moves beyond traditional aid models toward collaborative co-development of digital solutions that address fundamental governance and service delivery challenges.

India's development diplomacy in Africa is evolving from state-led financing and capacity building to integrated, technology-driven partnerships that leverage India's successful Digital Public Infrastructure systems like Aadhaar, UPI, CoWIN, and DIKSHA.

Africa's Digital Landscape

85% African countries with national ID systems

70% Countries collecting biometric data

Despite having the world's largest digital divide, Africa is making significant progress in digital governance infrastructure.  

Timeline of India-Africa Digital Partnerships

2009 => Pan-African e-Network Launch: India launched tele-medicine and tele-education services through satellite and fiber-optic infrastructure, implemented by TCIL.

2021 => Togo Partnership: Togo's National Agency for Identification signed an MoU with IIIT Bangalore to implement the Modular Open-Source Identification Platform for national digital ID system.

2023 => Zambia Collaboration: Zambia signed an MoU with the Centre for Digital Public Infrastructure at IIIT-B to support the Smart Zambia Initiative.

2024 => Payment System Integration: Bank of Namibia partnered with NPCI for UPI-like instant payment system. Ghana also linked its payment system with India's UPI.

India faces competition from several major players in Africa's digital transformation:

  • China => Often preferred due to state-backed financial mechanisms that lower adoption costs, especially for infrastructure-heavy domains
  • European Union => Competing for influence with regulatory frameworks and standards
  • ???????? United States => Technology solutions with focus on private sector partnerships

India's DPI model offers several key advantages:

  • Affordability: Cost-effective solutions designed for scale
  • Scalability: Systems that can grow with national needs
  • Public-oriented design: Focus on public good rather than profit
  • Open-source approach: Transparent and adaptable technology

Aadhaar (Digital Identity), UPI (Unified Payments Interface), CoWIN (COVID-19 Vaccine Distribution), and DIKSHA (Digital Education Platform) demonstrate India's capability in creating scalable digital solutions.

Challenges Facing Africa's Digital Transformation

  • Digital Divide: Africa has the world's largest digital divide with significant disparities in access.
  • High Costs: Expensive data and devices limit widespread adoption.
  • Rural-Urban Gap: Stark disparities in connectivity between urban and rural areas.
  • Gender Gap: Persistent gender differences in digital access and literacy.
  • Energy Infrastructure: Unreliable energy supply constrains digital infrastructure expansion.
  • Power Generation: Need for coordinated investments in sustainable power and grid expansion.

Opportunities and Strategic Advantages for India

  • IIT Madras Campus in Zanzibar: First overseas IIT campus offering Data Science and AI programs with private sector partnerships.
  • Technology Transfer: Genuine state-led collaboration beyond simple technology transfer.
  • Competitive Positioning: India offers public-oriented alternatives to surveillance-driven or proprietary approaches.
  • Local Adaptation: DPI tools can be adapted to local contexts through collaborative development.
  • Capacity Building: Integration of technical training with broader socio-economic goals.

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Source: 

THE HINDU 

PRACTICE QUESTION

Q. How has India positioned itself as a reliable partner for Africa in contrast to other global powers like China? Discuss with relevant examples. 150 words

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