E-commerce in Africa

The document argues that while e-commerce offers significant opportunities for economic growth, SME empowerment, and gender equality in Africa, the continent faces substantial infrastructure and regulatory gaps. It highlights a critical risk: as developed nations establish high-standard regulatory benchmarks through agreements like the Trans-Pacific Partnership (TPP), African countries may face marginalization from global value chains if they do not proactively develop compatible enabling environments.

• E-commerce is projected to experience the highest growth in online buyers globally between 2013 and 2018, with the Middle East and Africa expected to see an 82% increase.
• The African e-commerce market was estimated to grow from $8 billion in 2013 to $50 billion by 2018, driven by increased digital literacy and the use of mobile money.
• Africa faces significant regulatory deficits; only seven African states have legislation covering all four critical areas of electronic transactions, consumer protection, privacy and data protection, and cybercrime.
• Infrastructure remains a primary barrier, with a strong preference for mobile broadband over fixed broadband across Africa due to a lack of fixed infrastructure outside major commercial cities.
• The Trans-Pacific Partnership (TPP) serves as a regulatory trailblazer by codifying bans on customs duties for electronic transmissions and prohibiting requirements for the localisation of computing facilities and the transfer of source code.
• Digital financial tools like M-Pesa empower women by providing a secure means of saving money and reducing the time spent on travel for business supplies, thereby increasing productivity.
• The WTO's Information Technology Agreement (ITA) has historically benefited developing countries, particularly in Asia, by increasing their share of IT product exports from 31% in 1996 to 64% in 2010.
• In South Africa, the lack of physical infrastructure and the prevalence of internet cable theft, which costs the economy $500 million annually, force companies to use more expensive wireless communications.

APA

Krogman, H., & Khumalo, N. (2016). E-commerce in Africa. South African Institute of International Affairs. https://saiia.org.za/wp-content/uploads/2016/11/GEG-africa-DP-krogman-khumalo-NOV-2016-FINAL-WEB.pdf

Chicago

Krogman, Heinrich, and Nkululeko Khumalo. E-commerce in Africa. South African Institute of International Affairs, 2016. https://saiia.org.za/wp-content/uploads/2016/11/GEG-africa-DP-krogman-khumalo-NOV-2016-FINAL-WEB.pdf.

Wikipedia

{{cite report |last1=Krogman |first1=Heinrich |last2=Khumalo |first2=Nkululeko |title=E-commerce in Africa |publisher=South African Institute of International Affairs |date=November 2016 |url=https://saiia.org.za/wp-content/uploads/2016/11/GEG-africa-DP-krogman-khumalo-NOV-2016-FINAL-WEB.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{krogman2016ecommerce, author = {Krogman, Heinrich and Khumalo, Nkululeko}, title = {{E-commerce in Africa}}, institution = {South African Institute of International Affairs}, year = {2016}, month = nov, url = {https://saiia.org.za/wp-content/uploads/2016/11/GEG-africa-DP-krogman-khumalo-NOV-2016-FINAL-WEB.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }