Mobile network operator, World Mobile, has released interesting data on the African diaspora and its use of money.
According to new research from the mobile network, members of the African diaspora living abroad in Europe are increasingly investing in and financing businesses on the African continent.
The research also found that many members of the diaspora are now looking to invest in sectors such as technology and e-commerce, and 83% are likely to invest in sharing economy businesses over the next five years.
According to Micky Watkins, CEO of World Mobile, their research shows that the diasporas are cognisant of the rapid expansion of the sharing economy in Africa and are eager to see their resources put to work in the continent’s development.
“The infrastructure for World Mobile’s network can be owned jointly by its users and operators thanks to our network’s specific focus on the sharing economy,” said Watkins.
Analysts have predicted that the sharing economy will be valued at more than $335 billion (about R6 trillion) globally by 2025, with Africa predicted to be a key centre for growth with improved adoption of digital services and apps boosting expansion.
World Mobile’s study on the diaspora from across the continent shows that the diaspora community sends an average of $500 a month to their country of origin, the equivalent of more than $6 000 a year and nearly three out of four, say some or all the money goes towards supporting businesses they are involved in as investors.
“The average amount given each month by the diaspora surveyed is $508, but a third (32%) say they send more than $500 a month, with one in 12 (8%) giving more than $1 000 a month to family and friends.
“The scale underlines the growth in entrepreneurialism on the African continent, accelerated by improved internet connectivity which also helps facilitate diaspora in sending money home,” said World Mobile.