Shaping the Future: Harnessing E-commerce for Sustainable Development in the ECOWAS Region (ECOWAS)

Arguments

Urgency to solve numerous challenges despite making progress

Supporting facts:

• Issues persist even after one problem is solved or a progress is made

• The complexity of coordinating conversation among stakeholders

Topics: digital transition, e-commerce, inclusive growth

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Importance of enhancing capacity building in digital technologies

Supporting facts:

• The participant from Senegal mentioned that the enhancement of capacity building for digital technologies is coming late

• There is a need for ECOWAS region to catch up with other regions in terms of digital transition

Topics: capacity building, digital technologies

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Prioritizing production and productivity within the region for e-commerce growth

Supporting facts:

• Need of regional data centers that can provide services to small and medium enterprise

• The high cost of setting up cloud computing and other digital infrastructures is recognized as a problem

Topics: e-commerce, productivity, regional growth

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The need for ongoing training and capacity building for permanent representatives to understand their roles in e-commerce

Supporting facts:

• CDAO organizes different kinds of training whenever meetings take place

Topics: E-commerce, Capacity Building

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There is a need to make more efforts in Africa to support the growth of e-commerce

Supporting facts:

• An e-commerce event took place in Africa in 2022

Topics: E-commerce, Development

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Concerns over potential conflicts arising from e-commerce.

Topics: E-commerce, Conflict

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Taxation issue in e-commerce

Topics: E-commerce, Taxation

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The need for clarity and distinction when changes occur in different countries

Topics: Change management

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Report

At a conference on e-commerce and digital transition in the ECOWAS region, speakers discussed various key points regarding the progress, challenges, and potential solutions in the field. While acknowledging the progress made, it was noteworthy that numerous challenges still persist in the region.

This emphasised the urgency to find effective solutions to these issues. Among the discussed topics was the need to enhance capacity building for digital technologies in the region. Participants recognised that the ECOWAS region needs to catch up with other regions in terms of digital transition.

It was highlighted that the late enhancement of capacity building for digital technologies in Senegal was a concern. Therefore, participants emphasised the importance of prioritising the enhancement of capacity building in this area. Another crucial point emphasised by speakers was the need to prioritise production and productivity for e-commerce growth within the region.

They recognised the necessity of having regional data centres that can provide services to small and medium enterprises. However, it was acknowledged that the high cost of setting up cloud computing and other digital infrastructures pose a challenge in achieving this goal.

The conference highlighted the significance of involving policymakers in implementing solutions. Participants discussed the need for policy makers to play a more effective role in addressing the challenges faced in the region. The active engagement of policy makers in problem-solving was a topic of discussion, and suggestions were made on how to ensure their involvement.

The formalisation of inter-border trade was another important point raised by the participants. They noted that formalising such trade can enhance operational effectiveness, especially in the context of the ECOWAS strategy. It was noteworthy that this stance was communicated in French, suggesting the diverse representation of participants at the conference.

The importance of ongoing training and capacity building for representatives in e-commerce was also emphasised. Participants mentioned that the CDAO organises various types of training whenever meetings take place. This highlights the need to continuously train and build the capacity of permanent representatives to understand their roles in e-commerce effectively.

Efforts to support the growth of e-commerce in Africa were discussed as a vital area of focus. Participants highlighted the need for more initiatives and support in Africa to ensure the successful growth of e-commerce. The analysis also revealed concerns over potential conflicts arising from e-commerce.

Although no specific details or examples were provided, speakers expressed their concerns about this issue. Taxation in e-commerce was mentioned as an area of discussion, where the sentiment was neutral. However, no specific evidence or supporting facts were provided to expand on this point.

Lastly, the need for clarity and distinction in change management was discussed. Although no specific evidence or supporting facts were provided regarding this topic, it was mentioned that it is important to have clear guidelines and understanding when changes occur in different countries.

In conclusion, the conference on e-commerce and digital transition in the ECOWAS region highlighted the progress made, the challenges that persist, and the potential solutions required to address those challenges. The importance of enhancing capacity building in digital technologies, prioritising production and productivity for e-commerce growth, and involving policymakers in implementing solutions were among the key points discussed.

The formalisation of inter-border trade, ongoing training and capacity building, efforts to support e-commerce growth in Africa, conflicts arising from e-commerce, taxation issues, and the need for clarity and distinction in change management were also mentioned during the conference.

Arguments

Birame Sock is the founder of Qweli, an initiative aimed at helping local producers in Africa connect to global markets.

Supporting facts:

• Qweli started as the concept of B2B marketplace to give access to international market to Made in Africa products.

• Qweli works directly with local producers which are primarily women.

• Qweli helps in packaging, filling and labeling to meet FDA standards.

Topics: Digital entrepreneurship, African Market, FDI Standards, Product Export

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E-commerce exists in Africa in a different form, often through personal networks and mobile technology rather than dedicated websites or apps

Supporting facts:

• E-commerce in African context often involves contacting a seller directly, viewing product pictures sent via WhatsApp, making payment via mobile money, and receiving delivery guided by GPS

Topics: E-commerce, Technology, Mobile Commerce

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Interactive and iterative processes in entrepreneurship are crucial for the growth of e-commerce startup in the ECOWAS region

Topics: Entrepreneurship, E-commerce, Innovation, ECOWAS

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Standardization across countries is a significant challenge for e-commerce startups in the ECOWAS region

Supporting facts:

• Everytime African SMEs consider selling in a different African country, they have to deal with different standards which increases their cost

Topics: Standardization, E-commerce, ECOWAS

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Lack of storage and warehousing facilities are challenges in scaling e-commerce in Africa

Supporting facts:

• Warehousing and Storage facilities would enable local suppliers to buy and store raw material when it’s in season

Topics: E-commerce, Warehousing, Storage, Africa

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female entrepreneurs are contributing to inclusive economic growth and addressing social challenges every day

Supporting facts:

• most of the entrepreneurs realize the impact of their work on employment, gender inclusion

Topics: female entrepreneurs, inclusive economic growth, social challenges

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access to finance is one of the biggest challenges for entrepreneurs

Topics: access to finance, entrepreneurship

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The need for a session with various private sector stakeholders within the ECOWAS region

Supporting facts:

• Private sector stakeholders can provide feedback and give concrete steps on the e-commerce initiative for the ECOWAS region

Topics: e-commerce, Digital Economy, Private Sector

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Report

Birame Sock, the founder of Qweli, has created an innovative initiative aimed at assisting local producers in Africa in connecting to global markets. Qweli, a B2B marketplace, works directly with local producers, particularly women, to provide them with access to international markets.

They also offer support in packaging, labelling, and meeting FDA standards, ensuring that these local products can meet the quality requirements necessary for global trade. Having a conducive business environment is crucial for increasing the availability of localized products within and beyond Africa.

Birame is actively working towards creating such an environment for local suppliers to make their products available on the international stage. In Africa, e-commerce takes on a different form compared to other regions. It often occurs through personal networks and mobile technology rather than dedicated websites or apps.

This unique approach presents both opportunities and challenges for startups in the ECOWAS region, with standardization across countries being a significant challenge for e-commerce businesses. Another obstacle faced by e-commerce startups in Africa is the lack of storage and warehousing facilities.

The absence of sufficient infrastructure hinders the scaling of e-commerce operations in the region. Increased investment in warehousing and storage facilities is needed to enable local suppliers to store raw materials when they are in season. Female entrepreneurs in Africa are making significant contributions to inclusive economic growth and addressing social challenges.

They are aware of the impact their work has on employment and gender inclusion, and they actively work towards creating a more equitable and prosperous society. Including the private sector from the beginning is crucial while discussing initiatives and policies.

The private sector often finds itself reacting to decisions that have already been made, rather than being involved in the decision-making process. Including the private sector from the start ensures that their expertise and insights are fully utilized, leading to more effective and sustainable initiatives.

Access to finance remains a significant challenge for entrepreneurs in Africa. The lack of adequate financial support hampers the growth and development of small businesses. To foster entrepreneurship and economic growth, it is essential to address this issue and provide entrepreneurs with the necessary financial resources to thrive.

Inclusive decision-making is also vital, and the voice of small businesses, particularly those owned by women, should be included in meetings. Their unique perspectives and experiences can provide valuable insights into creating policies and initiatives that cater to the needs and challenges faced by small businesses.

Partnerships and collaboration between diverse stakeholders are crucial for implementing e-commerce strategies in Africa. Engaging with various private sector stakeholders within the ECOWAS region can provide valuable feedback and concrete steps towards ensuring the success of e-commerce initiatives. Birame suggests establishing and strengthening partnerships for better implementation of e-commerce strategies, and involving private sector stakeholders in the implementation phase.

In conclusion, Birame Sock’s Qweli initiative showcases the potential and challenges of e-commerce in Africa. By working directly with local producers, providing support and access to international markets, and advocating for improvements in the business environment, Qweli is driving positive change.

However, challenges such as standardization, lack of storage facilities, and limited access to finance need to be addressed to fully harness the potential of e-commerce in Africa. The inclusion of female entrepreneurs, the private sector, and the voice of small businesses in decision-making processes and partnerships are pivotal towards creating a more inclusive and prosperous future for African economies.

Arguments

Kolawole Sofola expresses gratitude for UNCTAD’s partnership in the development of the ECOWAS e-commerce strategy

Supporting facts:

• UNCTAD has partnered with ECOWAS in the development of the ECOWAS e-commerce strategy

• Shamika from UNCTAD has confirmed their commitment to support the strategy implementation

Topics: UNCTAD, ECOWAS, e-commerce strategy

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Kolawole Sofola appreciates all the e-trade initiatives taken by UNCTAD in the region and emphasizes on the implementation of the ECOWAS’ e-commerce strategy

Supporting facts:

• Nine e-trade readiness assessments have been taken in the region

• Two regional assessments and strategies have been conducted by UNCTAD

• Shamika stressed the importance of implementation in her speech

Topics: UNCTAD, e-trade readiness assessments, ECOWAS, e-commerce strategy

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Emphasizing on the importance of collaboration and digitalization in ECOWAS Vision 2050

Supporting facts:

• Digitalization is underlined as a core part of ECOWAS Vision 2050

• ECOWAS e-commerce strategy was formally endorsed by the Council of Ministers of ECOWAS

Topics: ECOWAS Vision 2050, Digitalization, Collaboration

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ECOWAS’s e-commerce strategy is built along four pillars which include institution, trust, market intelligence, and inclusion

Supporting facts:

• Strategic Objective 1 is about institutional strengthening

• Objective 2 seeks to secure trust along the e-commerce supply chain

• Objective 3 aims to improve access to e-commerce market information

• Objective 4 aims to foster inclusion for e-commerce development for women, youth, persons with disabilities, rural populations, and informal cross-border traders

Topics: ECOWAS’s e-commerce strategy, Pillars of Strategy: Institution, Trust, Market Intelligence, Inclusion

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Access to the Internet is critical infrastructure and not a luxury

Supporting facts:

• Living in a digital technological revolution

• Necessity of the Internet for access to larger digital economy, powerful technologies like AI for health, agriculture and education

Topics: E-commerce, Digital Economy, ICT, AI

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Governments need to provide a minimum threshold of infrastructure and the rest will follow

Supporting facts:

• Discussion regarding the necessity of ICT infrastructure is over

• Internet connectivity is not an optional infrastructure

Topics: ICT Infrastructure, Government Policies

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Importance of a holistic approach in e-commerce beyond legal and regulatory frameworks

Supporting facts:

• Importance of trade facilitation and digital skills within the e-commerce sector

• E-Trade for All initiative advocates for a comprehensive approach to e-commerce

Topics: e-commerce, economic development, regulatory harmonization, data privacy, cybersecurity, intellectual property

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Significance of entrepreneurship and inclusive economic growth

Topics: e-commerce, entrepreneurship, inclusive economic growth, social challenges

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Private sector should be involved more in policy formulation

Supporting facts:

• The private sector says its current involvement is not sufficient

• Smaller organizations and businesses should also be included

Topics: Policy Formulation, Private Sector Involvement

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High rate of credit from financial institutions is a challenge to scaling up

Supporting facts:

• The high credit rate from financial institutions and the need for quick repayment make products uncompetitive

• The entire supply chain is added to business costs

Topics: Access to Finance, Credit Rates, Business Scalability

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Report

UNCTAD (United Nations Conference on Trade and Development) has partnered with ECOWAS (Economic Community of West African States) in the development of the ECOWAS e-commerce strategy, demonstrating their commitment to promoting e-commerce growth in the region. Kolawole Sofola expresses gratitude for UNCTAD’s collaboration in the strategy development, acknowledging the importance of this partnership.

Additionally, Shamika from UNCTAD confirms their dedication to supporting the implementation of the ECOWAS e-commerce strategy, further cementing the commitment of both organizations. The collaboration between UNCTAD and ECOWAS goes beyond the ECOWAS region, as there is ongoing development work in the Pacific region associated with UNCTAD.

Shamika mentions this development work during her speech, indicating the expansion and impact of UNCTAD’s initiatives. In the ECOWAS region, UNCTAD has conducted nine e-trade readiness assessments, providing a comprehensive evaluation of the region’s readiness for e-commerce. Furthermore, UNCTAD has formulated two regional assessments and strategies, underlining their proactive approach to promoting e-commerce in the region.

Shamika emphasizes the importance of implementation in her speech, highlighting the commitment to translating strategies and assessments into action. The ECOWAS e-commerce strategy is built on four pillars: institution, trust, market intelligence, and inclusion. These pillars ensure a comprehensive approach to fostering sustainable and inclusive e-commerce growth in the region.

Digitalization plays a crucial role in ECOWAS Vision 2050, with support for collaboration and digitalization being formally endorsed by the Council of Ministers of ECOWAS. This reflects the region’s commitment to harnessing the potential of digital transformation to achieve long-term goals.

The strategy’s formulation aims to capitalize on the potential for e-commerce and digital transformation in the ECOWAS region. The regional e-commerce readiness assessment, which is reflected in the strategy, serves as a foundation for identifying areas of improvement and implementing necessary recommendations.

Progress is already being made, with countries like Ghana and Cote d’Ivoire starting to implement recommendations and measures from ECOWAS’s e-commerce strategy. Access to the internet is recognized as critical infrastructure rather than a luxury. Living in a digital technological revolution, individuals need internet access to fully participate in the digital economy and leverage powerful technologies like AI in sectors such as health, agriculture, and education.

Governments play a crucial role in providing the necessary ICT infrastructure. The importance of ICT infrastructure is emphasized, highlighting that internet connectivity is not optional. Governments need to ensure that there is adequate infrastructure in place to support digital transformation and promote inclusive economic growth.

A holistic approach to e-commerce beyond legal and regulatory frameworks is essential. The e-Trade for All initiative advocates for comprehensive e-commerce development, including trade facilitation and digital skills development within the sector. When developing policies, a user-centric approach is crucial.

This means considering the needs and perspectives of the private sector, as they are key users of e-commerce. Involving the private sector in policy formulation allows for policies that better meet their requirements. Entrepreneurship and inclusive economic growth are significant factors in driving economic development.

Support mechanisms for scaling up innovative sustainability are also important, ensuring strategies and initiatives that promote sustainable entrepreneurship. The private sector’s involvement in policy formulation is vital, and smaller organizations and businesses should also be included to ensure a comprehensive approach that represents the diverse needs and interests of all stakeholders.

Some challenges exist, such as the high credit rates from financial institutions that hinder business scalability. Governments should enable the private sector to do what it does best, recognizing the importance of private sector efficiency and innovation. In conclusion, the collaboration between UNCTAD and ECOWAS in developing the ECOWAS e-commerce strategy highlights their commitment to fostering e-commerce growth in the region.

The strategy’s pillars, emphasis on digitalization, and focus on collaboration reflect the region’s ambitious goals. Additionally, the importance of internet access, ICT infrastructure, a holistic approach to e-commerce development, the role of the private sector, and support mechanisms are all crucial considerations for sustainable and inclusive economic growth in the region.

Arguments

Significant obstacles stand in the way of widespread internet use in the ECOWAS region

Supporting facts:

• 70% of all revenues now need to allocate to the spread of Internet

• Internet is costly and not widespread in the ECOWAS region

Topics: Digitalization, Internet Access, E-development

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ECOWAS is prioritizing the development and proliferation of digital commerce

Supporting facts:

• ECOWAS has set digitalization as a priority

• ECOWAS is collaborating with the African Union to make Africa prosperous

Topics: E-commerce, Digital Economy

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A comprehensive strategy for e-commerce has been developed in collaboration with UNCTAD

Supporting facts:

• The strategy identifies economic opportunities and proposes measures to alleviate identified constraints

• The strategy draws on four objectives, namely bolstering institutions, instilling confidence in e-transactions, improving statistics and promoting inclusion

Topics: E-commerce strategy, UNCTAD, Partnerships

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Report

In the ECOWAS region, there are significant obstacles that prevent widespread internet use. One of the major challenges is the high costs associated with internet access. Currently, 70% of all revenues need to be allocated to the spread of the internet.

This means that the resources required to make the internet more accessible and affordable are substantial. Additionally, the internet is not yet widespread in the ECOWAS region, further hindering its use. Despite these challenges, the Economic Community of West African States (ECOWAS) is actively prioritizing the development and proliferation of digital commerce.

They have set digitalisation as a priority and are collaborating with the African Union to make Africa prosperous in this area. This shows a positive stance towards embracing the potential benefits of digital commerce in the region. To further support their objectives, ECOWAS has developed a comprehensive strategy for e-commerce in collaboration with the United Nations Conference on Trade and Development (UNCTAD).

The strategy aims to identify economic opportunities and propose measures to alleviate the identified constraints in e-commerce. It focuses on bolstering institutions, instilling confidence in e-transactions, improving statistics, and promoting inclusion. This demonstrates a positive commitment to addressing the challenges and creating an enabling environment for e-commerce in the region.

Furthermore, ECOWAS strongly believes in the potential of partnerships to overcome regional e-commerce challenges. They are committed to working with partners, including UNCTAD and the World Bank. This highlights their recognition of the value of collaboration and cooperation in achieving their goals.

In conclusion, while significant obstacles hinder widespread internet use in the ECOWAS region, ECOWAS is actively working towards the development and proliferation of digital commerce. They have set digitalisation as a priority, collaborated with the African Union and UNCTAD in developing a comprehensive e-commerce strategy, and emphasise the importance of partnerships to overcome challenges.

It is encouraging to see such dedication and commitment towards promoting inclusive and sustainable digital development in the region.

Arguments

E-commerce is critical for reinvigorating our economies and addressing trade challenges

Supporting facts:

• With e-commerce, efficiencies of the environment can be maintained as it can reduce carbon risks

• E-commerce allows creations and content of youth and women to be shared, distributed and generate wealth

Topics: E-commerce, Economy, Trade

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Digital and data infrastructure including skills are required for e-commerce

Supporting facts:

• Goods and services can efficiently reach a broader market though connectivity

• Security and trust are needed for e-commerce

Topics: Digital Infrastructure, Data Infrastructure, Skills, E-commerce

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Policy space needs to be coherent and agile to address challenges of cross-border trade.

Supporting facts:

• E-commerce offers the opportunity to bypass some of the logistic and mobility challenges traditional trade experiences.

• Delays at border crossings affect value and quality of products.

Topics: Policy Harmonization, E-commerce, Cross-border Trade

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Supply chain logistics need to be rethought for a more efficient, digital, and electronic outlook.

Supporting facts:

• Current trade facilitation mechanisms may not be helpful in the digital trading realm.

• Requires close negotiations for harmonization.

Topics: Supply Chain, E-commerce

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Access to affordable green technologies is critical for e-commerce to take root.

Topics: Green Technology, E-commerce

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Legislative frameworks and tax regimes need to be revisited to encourage digital innovation.

Supporting facts:

• Current non-digital tax regimes might not be suitable in the digital realm.

Topics: Legislation, Tax, E-commerce

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A focus on skills and competencies is essential for creating wealth from e-commerce.

Topics: Skills, Competencies, E-commerce

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Payment mechanisms should be homegrown, adaptable, and facilitate cross-border transactions.

Supporting facts:

• Payment systems should facilitate needs of actors and agents in the region.

• Existence of homegrown initiatives in region for Africa-based payment mechanisms.

Topics: Payment Systems, Cross-border Trade

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Cannot ignore data governance in discussing cross-border e-commerce.

Supporting facts:

• Entails issues of data ownership, privacy, and intellectual property.

Topics: Data Governance, E-commerce

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Muhammadou Kah expresses strong optimism for the future of e-commerce in the ECOWAS region, insisting its acceleration is inevitable but certain prerequisites need to be met to harness the expected value

Supporting facts:

• Digital connectivity must be affordable, accessible, safe, ubiquitous and broadband in nature to ensure effective transactions.

• The role of the private sector, especially startups, is crucial albeit challenged by their inability to access sustainable capital.

• A government’s role is to provide a conducive policy environment that encourages growth rather than stiflement.

• A thriving digital trade is also reliant on the accessibility of affordable and green technology, coherent laws, and associated forms of infrastructure.

Topics: e-commerce, digital trade, connectivity, private sector, governmental role

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Digital and technology are allergic to too much talk, it needs action

Supporting facts:

• Digital changes are being made quickly and mistakes are fixed as soon as they’re made

Topics: digital trade, technology

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The private sector and youth are driving forces in this digital change

Supporting facts:

• Importance of creating investments and creating capital for start-up cultures and hubs

Topics: digital trade, youth, private sector

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The importance of intellectual property in the digital trade

Supporting facts:

• Intellectual property for the regions is not only copyright and trademarks, it goes beyond that. It’s important to protect creators and make sure they’re marketable

Topics: intellectual property, digital trade

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The existence of data centers in Africa could provide opportunities in the e-commerce ecosystem

Supporting facts:

• Shifting geopolitics and trade, the realities of climate change offer opportunities for greener data centers. Some countries like Senegal are already creating data center infrastructure

Topics: data centers, e-commerce

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Report

E-commerce is seen as critical for reinvigorating economies and addressing trade challenges. It offers various advantages, such as reducing carbon risks and allowing for the sharing and distribution of creations and content, which can generate wealth. The efficient reach of goods and services to a broader market is facilitated through digital connectivity.

However, for e-commerce to thrive, there is a need for strong digital and data infrastructure, as well as the necessary skills and competencies. Trade heavily relies on digital connectivity, and therefore, effective harnessing of e-commerce depends on the availability and reliability of connectivity across countries.

Policy space also plays a crucial role in ensuring the success of cross-border trade. It needs to be coherent and agile to address the challenges that arise in the realm of e-commerce. The logistics of supply chains need to be rethought to adapt to the digital and electronic nature of e-commerce.

Current trade facilitation mechanisms may not be sufficient for the digital trading realm, and therefore, close negotiations for harmonization are required. Access to affordable green technologies is critical for e-commerce to take root. The use of such technologies can contribute to the achievement of environmental goals outlined in the SDGs.

Additionally, legislative frameworks and tax regimes need to be revisited to encourage digital innovation and ensure compatibility with the digital realm. Engagement in WTO negotiations and discussions on e-commerce is crucial for countries to avoid being subjected to unfavorable terms.

Without being part of the discussions, countries may miss out on important opportunities and benefits that arise from e-commerce. In order to create wealth from e-commerce, a focus on skills and competencies is essential. This highlights the importance of quality education and training programs to equip individuals with the necessary digital skills and capabilities.

The payment systems used in e-commerce should be adaptable and facilitate cross-border transactions. The existence of affordable and efficient homegrown payment mechanisms is essential, as they cater to the needs of actors and agents in the region. Data governance cannot be ignored when discussing cross-border e-commerce.

Issues related to data ownership, privacy, and intellectual property need to be addressed to ensure trust and security in cross-border transactions. The private sector, particularly startups, plays a crucial role in driving the digital change and innovation. However, their success is hindered by challenges in accessing sustainable capital.

Governments need to provide a conducive, smart, and agile regulatory framework that encourages growth and investment in infrastructure, while leaving the businesses to the private sector. Digital and technology developments require action rather than excessive talk and deliberation. Rapid changes are made, and any mistakes are fixed promptly to ensure progress.

The youth and the private sector are driving forces in the digital change and e-commerce landscape. Creating investments and capital for startups are important to foster entrepreneurial cultures and hubs. Intellectual property protection is crucial in the digital trade realm.

It goes beyond copyright and trademarks; it aims to protect creators and ensure their marketability. The existence of data centers in Africa presents opportunities in the e-commerce ecosystem. Shifting geopolitics and the realities of climate change offer possibilities for greener data centers, with countries like Senegal already investing in data center infrastructure.

Capacity building is needed for effective digital trade and e-commerce. This requires a focus on education, particularly in STEM fields, and the development of high-order digital skills and capabilities. It is crucial to view STEM education as more than just a footnote in the education continuum.

In conclusion, e-commerce is considered critical for reinvigorating economies and addressing trade challenges. To fully harness its potential, strong digital and data infrastructure, as well as the necessary skills and competencies, are necessary. Policies, including those related to connectivity, supply chain logistics, green technologies, legislative frameworks, tax regimes, data governance, and payment systems, need to be revisited and adapted to suit the digital realm.

Governments should provide a conducive regulatory framework while leaving businesses to the private sector, which plays a significant role in driving digital change. Additionally, capacity building in digital skills and education is essential for the success of digital trade and e-commerce.

Arguments

ECOWAS has set a precedent in formulating the first regional e-commerce strategy in West Africa, aligning the strategy with the African Union’s e-commerce strategy before the African Continental Free Trade Area Agreements Protocol on digital trade.

Supporting facts:

• The initiative was taken at the ministerial level to have an ECOWAS strategy

• This marks the culmination of trust and partnership between UNCTAD and the ECOWAS region over the past decade

Topics: ECOWAS, African Union, e-commerce strategy, digital trade

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The ECOWAS strategy is a testament to the fruitful partnership between UNCTAD and the ECOWAS region.

Supporting facts:

• UNCTAD has undertaken nine E-Trade Readiness Assessments and conducted two regional assessments for WAMU countries and ECOWAS member states.

• UNCTAD has also supported two e-commerce strategies in the region.

Topics: UNCTAD, ECOWAS, Partnership

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Africa has huge potential for e-commerce and digital economy growth due to its young, fast growing population

Supporting facts:

• Africa has the world’s youngest and fastest growing population.

Topics: Africa, e-commerce, Digital Economy, Population

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Implementing digital reforms is a difficult journey because other high-priority tasks like vaccinating people, getting kids in school, and increasing agricultural production must be handled simultaneously.

Topics: Digital reforms, Education, Agriculture, Health

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Affordable access to internet is necessary, not a luxury

Supporting facts:

• We are living through a digital technological revolution

• We will not have access to this revolution if we don’t have the basic connection to internet

Topics: Internet Access, Digital Infrastructure, Digital Economy

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Digital infrastructure is a critical requirement, not to be considered post traditional infrastructure

Supporting facts:

• Access to internet is not just for e-commerce, but also for larger digital economy

• AI for health, agriculture, and educational purposes require internet access

Topics: Digital Infrastructure, Government’s role

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The opportunity to harness the power of digital technologies should not be missed

Supporting facts:

• These technologies are fundamentally monopolistic

• Their windows will open for a short time only

• ECOWAS has an e-commerce strategy in place.

Topics: Digital Technologies, Monopolistic Nature, e-commerce strategy

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Africa must not miss out on the digital technological revolution.

Supporting facts:

• Africa missed out on the Green Revolution in the 1960s

• South Asia embraced the Green Revolution and is no longer in famine.

Topics: Digital Revolution, Green Revolution

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Report

The Economic Community of West African States (ECOWAS) has achieved a significant milestone by formulating the first regional e-commerce strategy in West Africa. This strategy aligns with the African Union’s e-commerce strategy, showcasing the strong partnership between ECOWAS and the United Nations Conference on Trade and Development (UNCTAD) over the past decade.

This partnership has led to the development of not only the ECOWAS e-commerce strategy but also support for two e-commerce strategies in the ECOWAS region. Africa, with its young and rapidly growing population, holds immense potential for e-commerce and digital economy growth.

The continent boasts the world’s youngest and fastest-growing population, making it a prime market for e-commerce opportunities. However, the implementation of digital reforms presents challenges as they must be coordinated with high-priority tasks such as vaccinations, education, and agricultural production.

To fully leverage the potential of e-commerce and digital economy growth, affordable internet access is essential. Access to internet connectivity is now considered a basic necessity rather than a luxury in today’s digital technological revolution. It enables not only access to e-commerce but also to the broader digital economy, including applications such as Artificial Intelligence (AI) in healthcare, agriculture, and education.

The development of digital infrastructure is equally important. Digital infrastructure, including internet access and connectivity, must be prioritised alongside traditional infrastructure in order to fully participate in the digital revolution. While some argue that sophisticated internet technologies are unnecessary in developing countries, practical examples demonstrate that digital platforms can operate successfully even in the least developed countries, despite challenges posed by unreliable electricity supply.

Building relevant skills and adapting to available technologies can drive progress in the digital realm. UNCTAD, as part of its program, has made strides in building skills in least developed countries (LDCs), enabling individuals to acquire essential coding skills necessary for participation in the digital economy.

Despite the monopolistic nature of digital technologies, ECOWAS has established an e-commerce strategy, recognising the short windows of opportunity to harness their power. This strategy acknowledges the significance of a coherent regional approach to attract development partners and retain private sector involvement in order to facilitate successful implementation.

In conclusion, ECOWAS’s formulation of a regional e-commerce strategy in West Africa, aligned with the African Union’s strategies, reflects a deep partnership between the organisation and UNCTAD. With its young and fast-growing population, Africa holds immense potential for e-commerce and digital economy growth.

However, implementing digital reforms alongside other pressing tasks poses challenges, and affordable internet access and digital infrastructure development are critical requirements. It is crucial not to miss the opportunity to leverage the power of digital technologies, adopting a coherent regional strategy to attract development partners and retain private sector involvement.

Africa must seize this opportunity, ensuring it does not miss out on the digital technological revolution, just as it did with the Green Revolution in the past.

Arguments

Multiple challenges hinder e-commerce in West Africa

Supporting facts:

• Stable energy grids are lacking, creating access deficits

• Reliable internet and mobile connectivity are limited, leading to digital divides

• Challenges in access and use of reliable internet and mobile connectivity

• Lack of standardization in cross-border payment systems

• Need to equip citizens with necessary digital capabilities

• Cybersecurity threats pose a significant challenge

Topics: E-commerce, Digital infrastructure, Cross-border payment systems

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A collaborative approach to regulatory harmonization is vital for fostering a conducive environment for digital trade.

Topics: regulatory harmonization, digital trade

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Robust legal frameworks for data privacy, cybersecurity, and intellectual property are important.

Topics: legal frameworks, data privacy, cybersecurity, intellectual property

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Instead of focusing only on the regulatory and legal aspects, we must look at the whole ecosystem.

Topics: regulatory, legal aspects, ecosystem

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Shamira Ahmed emphasizes on the need for a vibrant e-commerce ecosystem in the ECOWAS region

Supporting facts:

• Stresses on the importance of political will, adaptability, and a shared vision

• Talks about the need to address structural inequalities

• Argues on leveraging digital and data-driven technologies

Topics: e-commerce, ECOWAS, Digital Economy

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Report

In West Africa, e-commerce growth is hindered by several challenges. Access to stable energy grids is lacking, resulting in access deficits. Reliable internet and mobile connectivity are also limited, leading to digital divides in the region. Moreover, there are obstacles related to the access and use of these technologies.

The lack of standardisation in cross-border payment systems further impedes e-commerce development. Additionally, there is a need to equip citizens with the necessary digital capabilities, and the region faces significant cybersecurity threats. To address these challenges, a comprehensive approach is advocated.

This approach includes fostering regional integration, enhancing economic diversification, promoting job creation, and ensuring inclusivity. The ECOWAS Vision 2050 and ongoing digital reforms aim to tackle these issues. The strategy outlined by ECOWAS includes strengthening institutions, securing trust in e-commerce supply chains, and providing e-commerce intelligence.

It also emphasises the importance of including marginalised groups such as women, youth, people with disabilities, informal cross-border traders, and rural communities. This inclusive approach recognises the importance of creating equal opportunities for all in the digital economy. Collaborative efforts in regulatory harmonisation are vital for creating a conducive environment for digital trade.

By aligning regulations across borders, barriers to cross-border e-commerce can be reduced. Furthermore, robust legal frameworks for data privacy, cybersecurity, and intellectual property are crucial for safeguarding e-commerce transactions and protecting digital assets. While regulations and legal aspects are important, it is essential to consider the entire ecosystem within which e-commerce operates.

This broader perspective takes into account not only the regulatory and legal aspects but also the various stakeholders, networks, and infrastructure that contribute to a thriving e-commerce ecosystem. A governance approach, rather than solely relying on a regulatory framework, is advocated for e-commerce.

This approach provides the necessary flexibility and adaptability to keep pace with rapid technological changes. It ensures that regulatory frameworks remain collaborative and effective across borders. By adopting a governance approach, the evolving nature of e-commerce can be better accommodated, enabling innovation and growth in the digital economy.

Shamira Ahmed emphasises the need for a vibrant e-commerce ecosystem in the ECOWAS region. This includes political will, adaptability, and a shared vision to drive the development and adoption of e-commerce. Structural inequalities need to be addressed, and digital and data-driven technologies should be leveraged to foster economic growth and job creation.

Furthermore, it is crucial to be cautious and ensure that no one is left behind in shaping the region’s digital future. Consideration should be given to existing endowments and capabilities, as well as institutional variations and financial mechanisms. By promoting inclusivity and reducing inequalities, the benefits of e-commerce can be more widely distributed throughout society.

In conclusion, e-commerce in West Africa faces multiple challenges, but these can be overcome through a comprehensive approach that includes regional integration, economic diversification, job creation, and inclusivity. This approach should be supported by regulatory harmonisation, robust legal frameworks, and a governance approach to adapt to the evolving nature of e-commerce.

By addressing these challenges and leveraging digital technologies, the ECOWAS region can create a vibrant e-commerce ecosystem that fosters economic growth, job opportunities, and inclusivity for all its citizens.