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Cloud computing is an essential aspect of business operations in the modern world, and the banking industry is no exception. It offers banks a flexible and cost-effective approach to deliver IT services. Hence enabling banks to focus on their core business activities.  

Banks use the cloud to reduce capital and operational expenditure, improve efficiency, and deliver better services to their customers.  

In Africa, cloud computing gained popularity among banks due to its ability to overcome the region’s infrastructure limitations. 

African Banks face technology infrastructure challenges, such as power outages, limited connectivity, and outdated technology. These challenges have made it difficult for banks to offer quality services to their customers. As a result, cloud computing became an attractive solution.  

Additionally, cloud computing saves money, associated with purchasing and maintaining on-prem hardware and software. 

What to Move to the (Public) Cloud   

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The first rule of cloud migration is to only migrate what makes sense. 

First, identify what services or applications to move to the cloud. Banks in Africa identified non-critical and non-sensitive applications, such as email, document sharing, and customer relationship management (CRM), as good starting points.  

This cautious approach allows banks to enjoy the benefits of cloud computing while minimizing the risks associated with migrating sensitive applications. Moving non-critical applications to the cloud can provide immediate benefits.  

These applications shouldn’t have customer data and shouldn’t disrupt the bank’s operations. Once the bank has gains experience with these risk-averse applications, it has confidence to gradually move more critical applications to the cloud.  

For example, First Bank of Nigeria initially moved its non-core applications to the cloud before migrating its core banking applications. However, refer to your local regulators; they’re the source of policy on data cloud migration. 

 Services and Features That Typically Get Migrated 

• DATA: Static, SQL, NoSQL, File-stores 

• NETWORK: Topology, VNETS, Subnets, LB4/7, Firewalls, VPNs, Routers, Connectivity, etc. 
• COMPUTE: Applications and servers. 
• DEVOPS: Build, Test, and Deployment processes. 
• SECURITY: WAFs, Security groups, isolation, peering, secrets, keys, certificates, monitoring, etc. 
• BUDGET: Controls and Monitoring 

• OBSERVABILITY and SRE: Monitoring, Logging, Tracing, Alerts, Incident Management, Patching, etc. 
• IAM: Users, Roles, Groups, Privileges, AD/LDAP, etc. 
• CONTROL: Management and Oversight. 

Migration Use Cases— When Do Businesses Migrate? 

Migration use cases are specific scenarios or situations where businesses may need to migrate their IT infrastructure and services to the cloud. 

These scenarios can vary depending on the type of business and the current state of their IT infrastructure.  

Various factors can drive cloud migration and technical scenarios, including: 

1. Data 

2. Infrastructure 

3. Applications 

Data Migration 

1. Static Data: BLOB (Binary Large OBject or basic large object) migrate using online transfer such as UPLOAD, RSYNCH (remote sync) methods and offline methods like transfer appliances or archival media depending on their size. 

2. File Data: Files and Directory data migrate using online transfer such as SMD (Signed Mark Data), UPLOAD, RSYNCH, and offline methods like transfer appliances or archival media depending on its size. 

3. (No)SQL Data: Database data should be exported and imported and “synching” through ETL methods, migration utilities, database file transfer, and virtualization lift and shift. 

Infrastructure and Application Migration 

It is usually the most manually intensive, requiring mapping physical infrastructure and topology to cloud provider-specific IaaS.  

A typical approach might be the computer service migration which migrates application servers, applications, and server clusters to the cloud.  

It is not just about migrating infrastructure but also refactoring service architectures for the cloud as well.  

Common approaches are: 

1. Rehost: this is a lift and shift approach used to mirror existing servers “as-is” to the cloud. You virtualize the on-premises host and upload images to the cloud. Then, you create instance groups from those cloud image(s). In this case, you can use on-prem migration utilities from some cloud providers to guide the process. This is the easiest migration to do but does not take full advantage of cloud architecture. 

2. Re-platform: This is the migration of services to similar cloud-native technologies. For instance, application services like web servers, web APIs, and REST applications can be dockerized and hosted on container engines like Kubernetes. Then, you deploy them directly onto cloud-managed application sandboxes. However, application binary is not refactored, it is deployed “as-is” to a cloud-managed service. 

3. Refactor: Refactoring is about refactoring application architecture to fit the best available cloud services. This approach is dependent on architecture but would most likely include things like: 

• Decomposing application logic into appropriate microservices or macro services 
• Dockerizing and deploying to container services like Kubernetes 
• Using native messaging and event services to provide inter-service communication 

Containerization and Kubernetes 

Docker and Kubernetes are two critical technologies everyone needs to know to benefit from migrating applications to the cloud. 

Containerization 

Docker is a tool that lets you create small and portable packages of all the software that your application needs to run. These packages are called “images.” 

Once you create an image, you can run it on any computer that supports Docker. This makes it easy to move your application from one computer to another. 

Docker images are much smaller than traditional virtual machine images, and they are easy to scale up or down. This means you can run your application on many different computers at once. 

Docker is an important tool for modern cloud-based applications, but it can be used on any computer. 

Kubernetes 

One of the most popular container orchestrators is called Kubernetes, and it’s used by a lot of companies to help them run their applications on the cloud.   

This type of tool is important when running your applications on a cloud platform.  This is because it can help you take advantage of things like scalability (being able to easily add more resources when you need them), managed services (where the cloud provider takes care of some of the work for you), and cost savings. 

Source: Cloud Migration Strategy by Alexander Wagner  

Planning 

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Cloud migration involves moving data, infrastructure, and applications to managed cloud services, such as infrastructure as a service (IaaS) or platform as a service (PaaS).  

To ensure a successful cloud migration strategy, businesses must consider technical and business objectives and prioritize incremental migration based on business priorities.  

They can use “rehost,” “re-platform,” or hybrid cloud strategies to minimize the work involved in the migration process.  

Refactoring migrated services to optimize their use of the cloud is not always necessary, but it can be done gradually in small bits to gain benefits.  

Becoming cloud-native is crucial for business success, as cloud-native services are designed to take advantage of the features and capabilities of the cloud, such as scalability, high availability, and elasticity. 

Strategies for cloud migration include the 6-Rs approach: 

• Rehost (Lift and shift): virtualize and move services “as is” to the Cloud. They are usually used for proprietary application services like web or on-premises applications. 
• Re-platform: move on-prem services “as is” to the Cloud using cloud-native alternatives—e.g., cloud-managed databases. It can also include moving to PaaS services. 

• Repurchase: move services (where available) to a SaaS offering. 
• Refactor: partially or fully redesign the service architecture best to use cloud-native services, e.g., microservices. 
• Retain: keep some services—usually legacy or highly custom backends—where they are. 
• Retire: replace existing services with cloud-native services as much as possible. 

It is essential to monitor and manage the cloud environment throughout the entire project, which typically includes several key stages, such as: 

1. Discovery- defines the business and technical case/scope, plus assets to migrate (scope of migration, business due diligence, technical due diligence, and Asset and discovery) 

2. Assessment– plans the migration and see potential methods of execution (business assessment technical assessment and poc(s) migration and backlog and MVP migration planning and approval) 

3. Migration- runs the planned migration steps, both technical and organizational (Technical Migration, Organization Migration (Processes and Structures), Stabilization, Prep handover to SRE/OPs) 

4. State Running- runs team maintenance going forward (SRE/DevOps team(s) manage as Business Impacts  

Like any organizational change, potential impacts need to be considered. The impact depends on the adopted approach and the migrated or transformed applications’ architecture. 

Positive  

1. Cheaper Costs: Customers only pay for what they use (metered service).  

2. Managed Services: Patching, upgrades, availability, etc., of services, are managed for customers.  

3. Elasticity: Services can scale automatically based on demand.  

4. SRE (Site reliability engineering): Supporting technologies like monitoring, tracing, DRaaS, etc., are provided for customers and can be more closely integrated out of the box.  

5. Control: Customers can choose the level of control that they want using IaaS and PaaS.  

6. Empowerment: Teams can potentially own their services all the way into production.  

Negative  

1. Reskilling: Organizational reskilling is required for IT functions.  

2. Control: There is some loss of control over the environment.  

3. Processes: Business practices and structures may have to change or adapt to better support the Cloud (DevOps and Ops/SRE).  

4. Refactoring: Applications and services may need to be refactored to better use “modern” architectural patterns.  

5. SRE: Existing solutions for monitoring and recovery may need to be replaced as well, as the increasing cost.  

6. Downtime: Downtime for the migration might be an issue. 

What to Leave On-Prem (Private Cloud) 

The second rule of cloud migration is migration can be done incrementally. 

Although cloud computing offers numerous benefits to banks, some processes are better left on-prem. Processes that require high levels of security or regulatory compliance, such as payment processing or Know Your Customer (KYC), should remain on-prem.  

This ensures that sensitive information is not compromised while providing banks with the benefits of cloud computing. After all local African cybersecurity policy and enforcement is underdeveloped. 

The third rule of cloud migration is hybrid cloud approaches allow the “best of both worlds.” 

However, banks can still leverage the cloud’s benefits by implementing hybrid cloud solutions, where sensitive applications are kept on-prem while non-sensitive applications are moved to the cloud. 

Navigating Compliance 

Banks in Africa adhere to strict regulatory requirements. Therefore, compliance is a critical part of cloud computing. Banks must ensure their cloud providers meet the required regulatory standards and compliant with local and international laws.  

For example, the Nigerian Data Protection Regulation (NDPR) requires banks to store customer data within the country’s borders. Banks must, therefore, partner with cloud providers within Nigeria to comply with the NDPR. 

Another example is, the South Africa Protection of Personal Information Act 4 of 2013 requires cloud providers to implement appropriate security measures to protect personal data.  

Other Commonwealth countries like Kenya borrowed their cloud policies from the UK, General Data Protection Regulation (GDPR). Banks’ customers in those countries have more control over their data.  

Monitoring Cloud Performance  

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As African banks continue to adopt cloud technology, it’s crucial that they establish effective monitoring practices. These will ensure the security and efficiency of their private and hybrid cloud environments. 

Auditing access controls, user activities, and system configurations for their private clouds can prevent unauthorized access or data breaches. 

Also, they should manage data transfers between on-premises and cloud environments. Monitoring performance metrics such as response times and availability are also essential for hybrid clouds. This practice maintains data integrity and complies with regulatory requirements.  

For instance, a bank that uses a hybrid cloud might need to monitor data transfers between its on-premises financial system (FS) and its cloud-based customer relationship management system CRM) to ensure the privacy and security of sensitive financial information.  

Automated tools and trained personnel can help with monitoring and promptly responding to incidents, thereby reducing risks and maximizing the benefits of cloud technologies. 

Security 

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Cybercrimes affect all countries, but weak networks and security make countries in Africa particularly vulnerable. 

Throughout the entire project, it is essential to continuously monitor and manage the cloud environment to ensure that it remains secure, cost-effective, and aligned with the business objectives.  

Monitoring involves ongoing maintenance and support, as well as periodic optimization and updates to the infrastructure and applications. The typical methodology for a cloud migration involves several key stages, including:   

1. Analysis of technical and business needs 

2. Planning and evaluation of resources 

3. Design and construction 

4. Testing 

5. Migration 

6. Monitoring 

While Africa has an estimated 500 million Internet users- 38% of the total population- leaving huge potential for growth. Additionally, Africa has the fastest growing telephone and Internet networks in the world and makes the widest use of mobile banking services. 

This digital demand, coupled with a lack of cybersecurity policies and standards, exposes online services to major risks.  

As African countries move to incorporate digital infrastructure into all aspects of society – including government, banking, business and critical infrastructure. Therefore, it is crucial to put a robust cybersecurity framework into place. 

“Not only do criminals exploit vulnerabilities in cyber security across the region, but they also take advantage of variations in law enforcement capabilities across physical borders,” said Craig Jones, INTERPOL’s Director of Cybercrime. 

Importance of Localized Support  

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Banks in Africa require local support from their cloud providers to address the region’s unique challenges.  

Local support ensures that the cloud provider understands the local regulatory requirements, infrastructure challenges, and cultural differences.  

Cloud providers must also offer local language support and have a local presence to provide quick response times. For example, Oracle and Microsoft, a cloud provider, have established a data center in South Africa 

How Can we Help? 

Banks across Africa are adopting various digital transformation trends to enhance scalability and streamline core operational areas.  

Many businesses are unaware of cloud migration projects and related services, as they require a complete transition and a well-crafted plan.  

However, the latest cloud migration tools can fully streamline the migration process. This is where Finsense Africa comes in to create a roadmap and consult on industry best practices before projects start.  

Access to IT resources and services without the burden of owning and maintaining the underlying infrastructure is one of the many benefits of migrating to the cloud. However, the existing infrastructure should have capacity to support migration and seamless hybrid cloud. 

Sources: 

1. INTERPOL Report Identifies Top Cyberthreats in Africa 

2. “Cloud Computing in Africa: A Guide for Business Leaders” by Deloitte Africa 

3. “How to Approach Cloud Migration in the Financial Services Industry” by Infosys 

4. “Cloud Computing for Financial Services: A Blueprint for the Future” by Microsoft 

5.  “Cloud Computing in Banking: A Strategic Assessment” by The Asian Banker 

6. “African banks warm to cloud as local support grows” by ITWeb Africa 

Source: Image by Gerd Altmann from Pixabay   

Digital transformation is crucial for African organizations to remain competitive in the global marketplace. However, it is not without its dilemmas. 

The role of Chief Information Officers (CIOs) is vital in the digital age, as they lead their organizations’ digital transformation journeys. However, CIOs in Africa face unique challenges that can hinder their efforts to drive change and innovation. 

According to Evans Munyuki, Former CIO of African banking group, Absa, “One of the biggest challenges in Africa is the availability of the right talent to drive digital transformation. There is a serious skills gap in the continent that needs to be addressed.”  

He adds that “Another challenge is the lack of infrastructure, which means that implementing certain digital solutions can be challenging.” 

Despite these challenges, CIOs in Africa navigate the complex digital landscape and drive transformation within their organizations. By using innovative technologies and collaborating with stakeholders, they are paving the way for a digital future. 

12 CIO Digital Transformation Challenges in Africa 

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According to the CIO Africa, McKinsey Africa, and Deloitte Africa; the thought leaders for the digital transformation movement in Africa. The following are some of the reasons CIOs delay digitization efforts: 

1. Lack of resources 

African organizations often lack the resources necessary to implement digital transformation initiatives. According to McKinsey Africa, 60% of African CIOs cite a lack of financial resources as a major barrier to digital transformation. 

African organizations can explore alternative financing options, such as crowdfunding or public-private partnerships. McKinsey Africa recommends that African governments invest in digital infrastructure to enable digital transformation initiatives. 

2. Legacy systems 

Many African organizations still rely on legacy systems that are difficult to integrate with new digital technologies. CIO Africa reports that legacy systems are the biggest obstacle to digital transformation in African organizations. 

Organizations can gradually migrate to new digital technologies, rather than trying to replace their entire IT infrastructure at once. They can also explore options for integrating legacy systems with modern technologies, such as APIs (Application Programming Interfaces). 

3. Cybersecurity threats 

Cybersecurity threats are a major concern for African organizations. According to Deloitte Africa, 89% of African organizations experienced a cyber incident in the past year. 

According to a recent Cloud and Security Summit by CIO Africa, there are only 10,000 cybersecurity professions on the continent. A limited number that cannot cater to the demand. 

Implementing robust cybersecurity measures, such as firewalls, encryption, and multi-factor authentication, to mitigate cybersecurity threats. Deloitte Africa recommends that African organizations adopt a risk-based approach to cybersecurity, focusing on the most critical assets. 

4. Lack of digital skills 

African organizations often lack the necessary digital skills to implement digital transformation initiatives. According to McKinsey Africa, 64% of African CIOs cite a lack of digital skills as a major barrier to digital transformation. 

For instance, to get a local expert for outdated versions of core banking systems is impossible.  

Organizations should train and upskill their employees to fill the talent gap. They can also partner with universities and training institutions to develop talent pipelines for digital roles. 

McKinsey Africa recommends that African governments invest in education and training programs to develop the digital skills of their citizens. 

5. Inadequate infrastructure 

Many African countries lack adequate infrastructure to support digital transformation initiatives. CIO Africa reports that inadequate infrastructure is a major challenge for African CIOs. 

Outdated servers and data centers cannot support new-age technologies. The level of agility and data needed in digital transformation demands infrastructure that can effortlessly support it. 

To address inadequate infrastructure, African governments and private sector stakeholders can invest in building digital infrastructure, such as broadband networks and data centers. They can also explore innovative solutions, such as satellite-based internet connectivity. 

6. Resistance to change 

Resistance to change is a common challenge in African organizations. McKinsey Africa reports that resistance to change is a major barrier to digital transformation, cited by 44% of African CIOs. 

The false reassurance that’s “if it isn’t broken, don’t fix it” will not suffice in digital transformation. Resistance to change may have worked in the past but not anymore. 

Digitization should include the people and mindset not just the technologies. The utility of these technologies depends on the staff.  

Hence, involve employees in the digital transformation process and communicate the benefits of digital technologies. It also incentivizes employees to embrace digital transformation by linking it to performance metrics or career development opportunities. 

7. Limited budgets 

African organizations often have limited budgets to invest in digital transformation initiatives. According to Deloitte Africa, 60% of African organizations have a digital budget of less than $500,000. 

Digital transformation initiatives that have the highest potential for return on investment should take priority. Organizations can also explore options for cost-sharing or collaboration with other organizations. 

 Deloitte Africa recommends that African organizations adopt a risk-based approach to digital transformation, focusing on the most critical areas first such as customer facing processes. 

8. Regulatory challenges 

Regulatory challenges can make it difficult for African organizations to implement digital transformation initiatives. CIO Africa reports that regulatory challenges are a major obstacle to digital transformation in African organizations. 

Clear and consistent regulatory frameworks for digital technologies would alleviate this challenge. Organizations can also directly contribute to and engage with industry stakeholders to ensure that regulations are relevant and effective. 

9. Data privacy concerns 

Data privacy concerns are a growing issue in African organizations. Deloitte Africa reports that 78% of African organizations are concerned about data privacy. 

Robust data privacy policies and procedures, such as data encryption, access controls, and regular audits are underdeveloped on the continent. Better yet countries can draw inspiration from international data privacy standards, such as the EU’s General Data Protection Regulation (GDPR). 

10. Lack of leadership support 

African organizations often lack leadership support for digital transformation initiatives. McKinsey Africa reports that lack of leadership support is a major barrier to digital transformation, cited by 42% of African CIOs. 

Senior executives should take part in the digital transformation process and ensure that they understand the strategic importance of digital technologies. Also, there should be a dedicated digital transformation leader to champion digital initiatives. 

Digital transformation should be a top-down initiative and not the other way around. 

11. Vendor lock-in 

African organizations may be locked into contracts with vendors that limit their ability to implement new digital technologies. CIO Africa reports that vendor lock-in is a major obstacle to digital transformation in African organizations. 

Organizations can negotiate contracts that allow for flexibility and interoperability with other systems. They can also explore options for open-source software and cloud-based services that do not require long-term contracts. 

12. Lack of collaboration 

Collaboration between different departments and stakeholders is necessary for successful digital transformation initiatives. According to McKinsey Africa, 46% of African CIOs cite a lack of collaboration as a major barrier to digital transformation. 

Cross-functional teams that involve stakeholders from different departments and levels of the organization boost digitization. In addition, collaborating with third-party solution providers with less bureaucracy to develop and launch projects. 

References  

1. CIO Africa. (2021). Why is Digital Transformation Slow in Africa?  

2. McKinsey Africa. (2021). Digital Transformation in Africa: A Progress Report.  

3. Deloitte Africa. (2021). Africa Cybersecurity Survey 2021.  

10 New-Age Strategies for Digitization Success  

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These technologies are not a one-size-fits-all solution, and it is important for CIOs to carefully evaluate which technologies are best suited to their specific challenges and organizational goals.  

They should also consider factors such as the availability of talent and the regulatory environment when implementing these technologies.  

Additionally, embracing open-source technology options will save organizations a great deal of time. 

1. Cloud Computing 

By moving resources to the cloud, organizations can enjoy greater scalability, flexibility, and cost savings. Cloud computing also enables remote collaboration. It can only work if there is a strategy around cloud migration.  

Cloud infrastructure can help reduce the burden of maintaining and regularly upgrading outdated and unpatched on-premises hardware. Its flexibility and scalability allow businesses to quickly and easily add or remove resources as needed, without changing all the underlying technology.  

Additionally monitoring your cloud can offer greater data security and faster disaster recovery options.  

2. Digitizing Data Centers 

By digitizing data centers, organizations can make their data more accessible, secure, and reliable. This improves decision-making and drives innovation, while reducing the risk of data loss or downtime. 

Moreover, it streamlines their operations and reduces hardware costs. By moving data storage and processing to a hybrid cloud, businesses eliminate physical data centers. 

Digitization also improves availability of data, security, and performance of systems. Any delay in performance is easily found and resolved. 

3. Micro-services Middleware 

Micro-services architecture breaks down applications into smaller, more modular services. As a result, organizations improve agility, scalability, and resilience. Microservices also accelerate innovation and reduce the risk of application failures, unlike older systems like the ESB (Enterprise Service Bus). 

Businesses develop and deploy applications quickly and efficiently. Microservices allow developers to make changes and updates without system downtimes. 

4. Roadmapping 

Developing a roadmap for technology implementation ensures strategic use of resources. Roadmapping also helps align technology with business goals, predict risks and challenges, and optimize long-term success. 

Also, businesses with fewer resources get to prioritize their technology initiatives.  

5. Private and Hybrid Cloud 

Combining the benefits of public cloud and on-premises infrastructure, offers flexibility, security, and control. Private and hybrid cloud solutions also address regulatory requirements or other unique business needs. 

Businesses can customize their infrastructure; they choose which processes move to either private or public clouds. Private clouds offer security and control, while hybrid clouds can provide the best of both worlds.  

Businesses can run workloads in both public and private clouds.  

6. Involvement in Policy Making 

Participating in policy making and regulation development helps organizations shape the technology landscape and ensure that their interests are represented. This also helps to mitigate risk and promote innovation. 

Businesses get a chance to advocate for their interests and influence their industry policies. Engaging with policymakers also provides businesses insights into upcoming regulations and compliance requirements.  

7. Collaboration with FinTech Consultants  

 Seeking experts’ guidance before technology investments, avoids costly mistakes and ensures that organizations are making the best use of their resources. Consulting can help to identify opportunities, expect challenges, and suggest best-practices. 

Consulting with technology experts ensures alignment with business goals.  

8. Open-Source  

Leveraging open-source software, reduces costs, improves agility, and taps into a global community of developers and users. Open-source technology promotes innovation and avoids vendor lock-in. 

Businesses have access to cost-effective and customizable technology solutions. Open-source communities also offer a wealth of resources and support for businesses to use.  

      9.   Managed services  

Managed services provide businesses with proactive and comprehensive technological support, including monitoring, maintenance, and troubleshooting. In the end, businesses reduce downtime and focus on their core operations.  

     10. Outsourcing Talent 

Leveraging external expertise and resources improves efficiency, reduces costs, and accelerates innovation. Outsourcing fills talent gaps and supplies specialized skills and knowledge. 

It is beneficial for small businesses and those with limited IT resources. They can outsource software developers, digital project managers, cybersecurity specialists, quality assurance engineers, and many more. 

How We Can Help 

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Are you a CIO looking to capitalize on the latest fintech trends? It is time to make the move and partner with us. 

Here is why:  

FinTechs provide access to innovative products and services that help business become agile and remain competitive. You will get access to new-age technology and data insights to make informed decisions about your customers and company.  

Building relationships with FinTechs allows you to leverage their expertise in order to create tailored, cost-effective solutions for your organization.   

When it comes to staying ahead, partnering with FinTechs is key. Make the move today and let us have a conversation. 

References  

• Top 5 fintech trends & predictions for Africa in 2023 
• Fintech in Africa: The end of the beginning | McKinsey 

• Digitizing Africa 2023 – Enabling Digital Transformation in Africa 
• Tech Trends 2023 | Deloitte Insights 

Source: Image by Mary Pahlke from Pixabay   

Global access to education, improved diversity in the tech space and access to information over the internet has doubled in the past decade. However, the tech talent deficit is at its highest recorded rate in recent years.  

The “battle” for the best talent came to play in the African Continent in 2022. It made headlines when Microsoft and Google set up shop on the continent, and the local tech players were losing their best talent to these global behemoths.  

There are so many intersections in this reality. Sometimes it does seem like a paradox, to have so much progress in tech training and access to skills and yet have very few resources in the pipeline. 

The question that often arises is where is the disconnect? What is the “on-ground” reality of tech industry experts on the continent. We would have assumed that the efforts made to make Africa a player in the global tech space would bear fruit by now. 

This article will highlight some of the myths, misconceptions and realities of this sought-after space. 

The Struggle of Recruiting African Tech Talent 

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Although there are over 716,000 competent developers across the continent, recruiting from this talent pool is no easy feat. Especially, since most of this future work force is young and does not share older workplace cultures. They are more informed and certainly have more options. 

They expect the best treatment and appreciate a “socially conscious” workplace. They speak up more against discrimination and unethical industry practices. They are also concentrated in a few countries like Kenya, Nigeria, SouthAfrica, Morocco and Senegal. 

Listed below are 8 specific reasons that make it challenging for organizations to hire African Talent. These reasons vary from country to country on the continent. They include: 

1. Lack of Diversity and Inclusion Efforts 

Organizations that do not prioritize diversity and inclusion efforts may struggle to attract and keep African tech talent.  

Candidates may perceive a lack of cultural fit or opportunities for growth and development within the organization. This is a common occurrence in companies from homogenous societies that haven’t made efforts in inclusive diversity. 

2. Limited Network 

Many organizations struggle to build a network of African tech talent due to a lack of connections or partnerships with universities, professional associations, or networking groups. 

There are different pan-African talent platforms such as Gebeya Inc, Ethiopia. But many organizations do not use these platforms, or don’t make an active effort to nurture the on-ground talent, instead opting to fight for the experts. 

3. Language Barriers 

Language barriers can make it difficult for organizations to connect with African tech talent. Candidates may not be fluent in English, which is the primary language used in many organizations. 

For example, a French-speaking Senegalese will miss a job opportunity in South Africa. Why? Because he /she does not speak English, and vice versa.  

4. Limited Access to Resources 

African tech talent may not have access to the same resources as their counterparts in other regions. This can include access to training, mentorship, and funding. 

Aside from the global disparity of access to technology. Within the continent itself, investment in technology training occurs through government initiative.  

If the country’s government does not have economic influence to attract such investment its technical talent will be both scarce and limited. 

5. Lack of visibility  

Many African tech talent may not have a strong online presence, making it difficult for organizations to find and connect with them. 

Creating a brand as a young person, which is what most African talent tends to be needs guidance. Unless a talent has the ambition to connect with the top organizations, they’re likely to miss out. 

6. Limited Local Job Opportunities 

Many African tech talent may choose to leave their home countries in search of job opportunities, which can make it difficult for organizations to find and hire local talent. 

Most local tech companies compete with global firms to offer competitive salaries and benefit packages. The current tech talent wants the best working conditions and compensation.  

If an organization does not fulfil this need, they lose out on the best talent to other countries such as Germany and the UK. 

7. Unfavorable Political or Economic Conditions 

Unfavorable political or economic conditions in some African countries can make it difficult for organizations to attract and keep talent. 

Organizations must endure political instability in various regions across the continent. Despite global and local efforts to sustainable peace, civil wars displace people making them unavailable for work in local firms. 

8. Visa and Immigration Barriers 

Visa and immigration barriers can make it difficult for African tech talent to work in other countries. This can limit the pool of candidates for organizations looking to hire talent from Africa. 

In a recent AU report found that Africans can travel without a visa to just 22% of other African countries. This affects the hiring process of organizations.  

For example, a senior solution architect in Gambia might have a tough time reporting physically for a job in Egypt.  

The Paradox of Mass Tech Layoffs and Demand for African Talent  

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Imagine the number of ongoing tech layoffs, doesn’t it seem that techies are out of opportunity? However, they have had a mixed impact on the demand for African tech talent. 

1. Financially Struggling Companies are Firing 

On one hand, companies struggling financially reduce their hiring, which leads to a decrease in demand for tech talent in general, including African tech talent. 

However, the impact of the ongoing tech layoffs on African tech talent is not limited to the demand for talent. Layoffs and reduced hiring may also lead to increased competition for available jobs. This scarcity will make it more difficult for African tech talent to secure employment. 

2. Growing Companies are Hiring 

On the other hand, some companies are still growing and need to fill key positions with talented individuals, regardless of where they are from. 

A recent report by Quartz Africa shows that while some tech companies in Africa have experienced layoffs, others are still expanding and hiring.  

For example, The Pan-African platform “Gebeya” which translates to “marketplace” in Amharic continues to churn out talent through the Coding academy and offering a platform to find work.  

Despite the pandemic-induced economic downturn they have remained a talent accelerator that trains and outsources African software developers to local firms. 

Moreover, the report highlights that the pandemic accelerated digital transformation and the adoption of technology. This trend created new opportunities for African tech talent.  

As more companies embrace remote work and digital solutions, they are more willing to hire experts from anywhere in the world, including Africa. 

Additionally, the report cites data from the International Data Corporation (IDC) that predicts a compound annual growth rate of 11.2% in the African IT market from 2020 to 2024, creating significant job opportunities for African tech talent. 

Despite ongoing tech layoffs having some impact on the demand for African tech talent, the overall picture is more nuanced. Some startups are still expanding and hiring, while the tech giants may be reducing their workforce.  

Nonetheless, the growth of the African IT market and the increasing adoption of technology suggest that there will continue to be significant opportunities for African tech talent in the years to come. 

References: 

“What Covid-19 layoffs mean for Africa’s tech talent”, Quartz Africa, 2020.  

“IDC Predicts Steady Growth for Africa’s IT Market Through 2024”, International Data Corporation, 2020.  

Do African Digital Nomads Add to The Difficulty of Hiring African Talent? 

Source: Image by Gerd Altmann from Pixabay  

Digital Nomads amplify the gap in the African tech market. However, African developers have incentives to move to countries like Germany which has the largest concentration of Developers at 901,000.  

The following realities of digital nomads adds to the hiring challenge on the continent: 

1. Limited Online Presence 

Tech experts don’t declare their employment status online. Because they have more than one job engagement. This can make it harder for recruiters to reach out to them and offer job opportunities. 

2. Preference for Flexible Employment  

Techies have unique employment preferences and expectations that differ from traditional employees. For instance, they prefer freelance or project-based work that allows them to support their nomadic lifestyle. 

This can create challenges for companies looking to keep talented individuals on-site. 

3.  Preference for Foreign Firms in the Tech Talent War 

Digital nomads prefer to work remotely for companies based outside of Africa. It also makes it more challenging for local companies to compete for talent with international firms that can offer more competitive compensation and benefits packages. 

According to the stats, 38% of the 1,600 developers surveyed work for at least one company headquartered outside Africa. Some developers revealed that they learned to code solely to get international prospects. 

4. Lack of Investment in the Local Market  

Lack of commitment by African developers to the African tech market amplifies existing skills gap. The lack of investment by companies also prevents development of home-grown talent.  

It also reduces the mentoring opportunities available to the home-grown tech pool. For example, most of African techies working with international companies have an average of six years of experience, while those with fewer years get into local companies. 

The good news is the African Tech market has taken off in the past 5 years and it is the end of the beginning. Most of the digital nomads who left the continent are eager to come back. Their emigration might speed up local talent development and tech pipeline. 

References: 

1. “Digital Nomads: The Future of African Work?”, African Business Magazine, 2020.  

2. “The Pros and Cons of Hiring Remote African Talent”, Forbes, 2020.  

3. The Role of Digital Nomads in the African Workforce”, Africa.com, 2021. 

4. With African developers building for the world, what’s the fate of African startups? 

The Indicators of Tech Talent Gap in Africa 

Source: Image by Davie Bicker from Pixabay  

There is limited data available on the number of tech experts in Africa, but there are several indicators that suggest that there is indeed a shortage of such experts on the continent. 

According to a report by the African Development Bank, Africa has a shortage of skilled professionals, particularly in the technology sector. The report states that the continent needs an added 4.5 million engineers, technicians, and other skilled workers by 2025 to meet the demands of its growing economies. 

Similarly, a report by the World Economic Forum (WEF) shows that the shortage of skilled talent is a significant challenge for the technology sector in Africa. The report notes that “a lack of digital skills is a major barrier to the adoption of technology in Africa.” Also, the shortage of skilled talent is among the key reasons for the continent’s low levels of technological development. 

Another report by the International Finance Corporation (IFC) highlights the need for increased investment in digital skills training and education in Africa. The report notes that Africa has made progress in expanding access to digital technologies. However, there is a need to develop local talent and ability to fully use these technologies’ potential. 

Additionally, a survey by the African Business magazine found that 40% of African CEOs cite a lack of skilled talent as a major challenge to doing business on the continent. The survey highlights the difficulty that companies face in finding qualified personnel with the necessary technical skills and ability. 

Overall, these reports and surveys suggest that there is indeed a shortage of tech experts on the African continent. Addressing this shortage will be critical to the development and growth of the continent’s technology sector. 

How True is the Claim “Africans Develop the World, not Home” 

The competition from global behemoths like Google and Microsoft affects the hiring of African tech talent for local companies. These global companies often have more resources and competitive compensation. 

Local companies can hardly compete for the same pool of talent. According to a report by the Center for Global Development, developers work in local startups to gear up for more developed countries or to work for multinational companies.  

The report notes the negative impact on local companies, as they struggle to attract and keep skilled workers. 

Potential employees value security and aspire to work in reputable and established firms. Global companies often satisfy this dream because they’ve proven reputations and brand recognition. 

There are opportunities for local companies to compete for talent with global behemoths. If local companies focus on supplying supportive work environments, opportunities for growth and development, and competitive localized benefits.  

In addition, they can seek out talent from local universities and invest in training and development programs to create a pipeline of talent. 

References  

1. Center for Global Development. (2019). High-Skilled Labor Mobility in an Age of Globalization.  

2. Africa Business Communities. (2019). African Tech Professionals Prefer Multinational Companies Over Local Companies.  

3. International Trade Administration. (2019). Opportunities and Challenges for U.S. Businesses in Africa.  

4. McKinsey & Company. (2019). The Future of Work in Africa: Opportunities and Challenges for Large Employers.  

Our Recommendation to Have a Continuous Flow of Talent 

Source: Image by mohamed_hassan from Pixabay  

To build a successful team, you need to approach the hiring process systematically and evidence based. Creating a people-hiring machine with clear goals and measurable outcomes will ensure that your team continues to evolve and improve. 

Traditionally, companies review resumes, ask semi-random questions, and rely on consensus to make hiring decisions. However, each step of the process should be purposeful and systematic. Take the time to review vetting tests across the world and emulate your preferred choice. 

Of course, the human element is still critical in the hiring process. Personal values are crucial factors that cannot be fully measured by data. However, even subjective interpretations can be objectively measured through the recruiters’ record of accomplishment. 

Remember, building a successful team is an ongoing process that requires continual evaluation and improvement. By taking a more systematic, flexible and evidence-based approach to hiring, you’ll create a hiring process that evolves to meet the needs of your organization. 

How We Can Help 

Are you struggling to find the right tech talent for your organization? We have partnered with Gebeya, to address the local hiring need and talent gap. 

Our pre-vetted tech talent database can help. We have curated a pool of top-notch tech professionals with the skills and experience you need to succeed.  

We streamline the hiring process, making it faster and more efficient than ever before. With access to a wide range of tech experts across various industries, African languages, and skillsets, you can trust that you’re getting the best of the best.  

Save time, reduce costs, and improve your hiring success rate with our Resources as a Service (Raas). Get started today and take your organization to the next level with top-tier tech talent on need-basis. 

REFERENCES 

1. “5 Ways to Increase Diversity and Inclusion in the Workplace”, Forbes, 2019.  

2. “Connecting with Africa’s top tech talent”, McKinsey & Company, 2021.  

3. “How to address the shortage of tech talent in Africa”, World Economic Forum, 2019.  

4. “The Challenges of Building a Tech Community in Africa”, Harvard Business Review, 2019.  

5. “The Talent Challenge in Africa’s Emerging Tech Ecosystems”, IFC, 2018.  

6. “The Current State of Political and Economic Development in Africa”, The Borgen Project, 2021.  

7. “The African Brain Drain: Why Are So Many Skilled Professionals Leaving the Continent?”, The Conversation, 2018.  

Top organizations use open source they include Google, Facebook, Microsoft, Amazon, IBM, Twitter, Red Hat, Uber, Airbnb, and Netflix.  

Why are banks and hedge funds suddenly into open source. Past practices have indicated that banks are very competitive and cautious of their proprietary data.  

Since they handle confidential data, they’ve been expected to keep secrets. For example, in 2009 Goldman Sachs had an employee jailed for allegedly stealing their proprietary software.   

However, 8 years later in 2017 Goldman Sachs launched three of its latest open-source projects – Jrpip, Obevo and Tablasco – on GitHub. They also have an in-house language, Legend, that is now open source. 

In the creation and use of open-source tech-based companies outperform financial businesses. For instance, Google has 70 open-source projects. The largest of them all is Android which is 75% of what all smart phones use.  

Why Organizations Choose Open-Source  

As a result, banks in 2023 will increasingly adopt open-source technology, as they are under pressure to innovate and remain competitive. This shift is driven by a desire to gain access to new and emerging technologies, such as machine learning and blockchain, to improve customer experience and reduce operating costs.  

Banks are opting for open-source technology because 

1. Cost Savings: Open source saves costs by eliminating the need to pay for expensive proprietary software licenses and reducing development costs by leveraging existing open-source solutions. 

2. Customization: It can be customized to fit an organization’s unique needs, as opposed to proprietary software which may be more rigid. 

3. Security: Is more secure because vulnerabilities can be quickly identified and addressed by the community of developers. 

4. Innovation: Foster innovation by allowing organizations to collaborate and share ideas with others in the community. 

5. Reliability: Open source has proven to be reliable and stable in mission-critical applications. For example, the Linux operating system is widely used in mission-critical applications such as space missions and stock exchanges. 

6. Community Support: Open-source communities can guide and assist organizations with their projects, including bug fixes and development advice. The Apache web server project is an example of a project that benefits from a large and active developer community for ongoing support 

7. Future Outlook: More organizations are likely to adopt open-source solutions, like Red Hat Enterprise Linux, which provides a secure and stable operating system that can be tailored to meet specific business needs. 

In addition, open-source software is flexible to customize to specific needs. This allows banks to develop innovative applications that leverage the latest technologies, such as AI and machine learning, to understand customer behavior and anticipate their financial needs.  

Real-Life examples of Open-Source Technology Adoption 

One example of open-source technology being adopted by banks is the operating system Linux. Banks such as ING, UBS and JPMorgan Chase have implemented Linux powered systems to better manage their IT infrastructure. They use it to:  

1. Host their IT infrastructure and provide a secure computing environment. 

2. Develop custom applications, such as mobile banking and digital wallets.  

Other open-source projects that are popular in the banking sector include: 

1. Apache Kafka, an event streaming platform 

2. Hadoop, a big data analytics platform 

Historically banks have been hesitant to adopt open-source software; where software source code is shared and made freely available). With traditional vendors like IBM, TIBCO, Oracle strongly positioned in this industry, the move to open source has been slow.  

In recent years, forced by a rapidly changing business, banks are transforming their IT organizations considerably, adopting new technologies and methodologies like Cloud, microservices, Open APIs, DevOps, Agile and Open Source. Because often the above adoptions enforce each other. 

The Open-Source movement has reached maturity. While 5-10 years ago, it was associated with computer-nerds, idealists and small start-ups, today it is mainstream. The recent acquisitions of open-source companies by large established corporate tech-vendors is the best proof of this evolution: 

• SalesForce bought MuleSoft for $6.5 billion in March 2018 
• Microsoft bought GitHub for $7.5 billion in October 2018. 

• IBM purchased Red Hat for $34 billion in 2019 

At the same time these incumbent tech players are adopting open-source strategies themselves. For example, Microsoft, initially one of the most guarded, has adopted an open-source strategy, since Satya Nadella became CEO in 2014. Examples of its open-source technologies include: 

• Edge: The Edge browser is switching to the Google based open-source chromium platform 
• .NET framework: the full .NET framework was open-sourced on Git-Hub 
• Windows 10: built on open-source Progressive Web App technology 

• Windows 11: analysts speculate that the NT kernel would be (gradually) replaced by the Linux kernel 
• Azure platform: the most used operating system on Microsoft Azure is not Windows Server, but rather Linux 
• Open-source contribution: Microsoft has become the largest contributor to open source in the world. It is more active than the second most active contributor, Google. There are 20,000 Microsoft employees on GitHub and over 2,000 open-source projects 

The Different Stages of Open-Source Adoption 

Open-source software has many benefits for banks, but it requires a cultural shift in the whole organization, which takes time and intensive change management. 

Banks can start adopting open-source software in different ways. They can start by using open-source software where possible, either as full solutions or as components they combine to build custom applications. 

As they become more familiar with open-source software, banks can start contributing back to the community by identifying bugs and implementing valuable features. By doing so, banks improve their corporate image and benefit from future testing and extensions by the community. 

The final step is to open the bank’s existing proprietary software, which is the most complex and time intensive.  

First, banks fear their code will be scrutinized in public, resulting in a brand risk and potentially exposing security issues. Additionally, some bank leaders may fear giving away competitive advantage. 

Second, depending on the kind of open-source software. How complex is it?  Banks should first gain experience with low-level abstraction open-source software, like: 

1. Databases (MySQL, Mongo DB, Cassandra and Postgres),  

2. Middleware (WSO2, Kafka, Apache Camel, Envoy, Istio)  

3. Operating systems (Linux and Kubernetes)  

Gradually they can move up the stack to higher level of abstractions, like: 

1. Business process (jBPM)  

2. Task management tools 

Finally, they can use also open source for the financial core processes. These include, Cyclos, Mifos X / Apache Fineract, MyBanco, Jainam Software, OpenCBS, OpenBankProject, Cobis, OpenBankIT, Mojaloop).  

Contributing to Open-Source  

Ultimately the banks’ software should have at its core open-source software, except for solutions exclusively offered via SaaS. 

Many banks already use open-source software and prefer it over proprietary software. More banks are contributing to open-source projects or open-sourcing their own software. Some examples of such banks include: 

• Capital One’s, one of the largest credit card companies in the US, has been on a digital transformation journey over the past 6 years. 
• Goldman Sachs recently open sourced its proprietary data modeling program Alloy 
• J.P. Morgan Chase released code on GitHub for multiple initiatives; its Quorum blockchain project. 

• Deutsche Bank open-sourced multiple projects, like Plexus Interop (from its electronic trading platform Autobahn) or Waltz (IT estate management 

The Dilemma of Open-Sourcing In-House Software 

The move of some banks to open-source proprietary software seems strange at first sight, as intelligent software has become the competitive edge of any bank. Nonetheless banks have a lot to gain in using (adopting) open source and contributing to it: 

5 Benefits of using open-source software: 

1. Lower costs: avoid the exuberant annual software license costs paid to software vendors. 

2. Reduce time-to-market: allowing developers to bolt together pre-existing modules rather than having to create them all from scratch, allows to considerably reduce development time. 

3. Easily customizable: open-source software can be customized, allowing to provide the golden means between buying a software package from a vendor (quick time-to-market, but limited customization possibilities) and internally custom-built software. 

4. No vendor lock-in 

5. Lower learning curve for new joiner 

7 Benefits of Contributing to Open-Source Software: 

1. Good for corporate image through giving back to the community. 

2. Transparency: open-source software is intrinsically more secure than proprietary software, where the code is kept a secret. 

3. Easier hiring of resources, as IT resources like to work on open-source and good potential candidates can be identified by looking at public commits of externals to the bank’s open-source projects 

4. Motivation: often IT resources at banks feel a lack of social commitment. Contributing back to open sources can give them a feeling of pride and giving back to community. 

5. Cultural accelerator: open-source communities promote collaboration, almost always remote and often across different time zones and cultures. Collaborating in such an environment will make the bank IT department better and more adapted for future evolutions. 

6. Gain from testing and extensions built by contributors outside the bank 

7. Facilitates collaboration between different banks on shared concerns like KYC (Know Your Customer) and AML (Anti-Money Laundering) 

5 Fears of Making In-House Software Open-Source  

Even though open source has many advantages, there are still some banks that are hesitant to use it. These banks are especially hesitant to contribute to open source or share their own software. Here are some reasons: 

1. Contractual and legal: Various types of open-source software license models exist which can make it challenging for large banks to comply with all the terms and conditions. But tools like FOSSA, DejaCode, WhiteSource, Code Janitor help monitor and follow-up the compliance on open-source licenses. 

2. Support: Banks worry about a lack of support when using open-source tools. However, many open-source tools offer corporate support. If not, the bank IT teams should engage with the open-source community to resolve an issue. 

3. Compliance and security: There are risks when publishing source code on the internet that criminals can find loopholes in the code. While open-sourcing code ultimately leads to more secure software. 

4. Losing Competitive advantage: Most internal banking software is commodity software that doesn’t provide any differentiation. Open sourcing these applications can free up resources to work on real value-added services. 

5. Brand risk: Banks are concerned that open-sourcing bad software can harm corporate branding 

How Does Open-Source affect FinTech  

If banks start using a lot of open-source software, will FinTech’s new software services offer to banks, fail?  

Fortunately, fintech has already moved from an annual license model to newer partnership models. Using cloud technology and Open APIs has made it hard to justify annual licenses.  

Partnership models are now used instead of software license costs. These include: 

• PaaS (Platform as a Service), SaaS (Software as a Service) and Baas (Business as a Service) models 
• “Open core” models (also called Dual licensing). Here, the core of the software is delivered for free and open source. However, the tooling for large corporations are license based 
• Support model: pay a party for access to a support desk and providing updates on when new versions should be installed 
• Service model for profits; training services, implementation services, customizations to the open-source software at request of the banks. 

Making an open system of collaboration between FinTech and banks will lead to better services for everyone. Banks should understand that technology is important for their business.  

They should learn from the big technology companies by hiring the best people, using existing software, and supporting quick changes with DevOps and Agile methods. Banks can use open-source strategies to achieve this goal. 

References: 

1. Why banking is just now embracing open source technology  

2.  Banks are finally embracing the Open Source movement  

3. banking and payments 2023 – Retail Banker International 

4. Banks Are Embracing Open Source  

5. Banks Turn To Open Source Technology 

6. The 2022 State of Open Source in Financial Services 

Source: Cost of Data Center Outages WP FINAL 2 (ponemon.org) 

Discover the secret to banking infrastructure success in this blog post. 

Learn about 5 common pain points & how to fix them. Prevent costly downtime & improve systems performance with regular infrastructure reviews.  

Best practices for large enterprises in the African banking industry. Stay ahead of the curve, protect data, save money, & stay competitive. 

5 Common Infrastructure Pain Points and How to Fix Them 

Banks use technology a lot. It’s important to keep their systems working well. Sometimes, problems happen. Here are 5 common problems and ways to fix them: 

1. Scalability: When a business grows, their systems need to grow too. A cloud-based system can help with this. 

2. Downtime: When systems are down, it costs the business money and time. A disaster recovery plan to fix problems quickly can help. 

3. Security: Hackers try to break into systems. A security information and event management (SIEM) system can help detect and stop them. 

4. Complexity: As systems get more advanced, it can be hard to manage them. A simpler system, preferably on the cloud, can make this easier. 

5. Cost: It’s expensive to maintain and upgrade systems. A pay-as-you-go system can save money. 

By fixing these problems, a business can make their systems work better and make more money. 

Source : The Business Value of Hybrid Cloud with VMware 

References: 

• “The Cost of Downtime” by the Ponemon Institute, Cost of Data Center Outages WP FINAL 2 (ponemon.org) 
• “The Business Value of the Connected Cloud” by IDC and VMWare,  

Prevent Problems: The Importance of Regular Infrastructure Reviews 

Source: Cost of Data Center Outages WP FINAL 2 (ponemon.org) 

Imagine saving money, protecting systems and data, and staying competitive all at once. Regular infrastructure reviews make this a reality. These reviews test the security, scalability, and health of your systems. They also identify and address potential issues before they become major problems. 

Don’t let costly downtime and repairs hold you back. A study by the Ponemon Institute found that the average cost of unplanned downtime is $5,600 per minute. Regular infrastructure reviews help identify and address issues early on. 

Cybersecurity threats are evolving, leaving your business vulnerable to attacks. Reviews identify vulnerabilities and install best practices to protect your systems and data. 

Stay ahead of the curve with regular infrastructure reviews. As technology advances, it’s important to meet the demands of your customers. These reviews identify improvements and help you stay competitive in the market. 

Unlock the hidden potential of your banking infrastructure with regular reviews. Protect your systems and data, save money, and stay competitive in the market all at once. 

Infrastructure Review Best Practices for Large Enterprises 

Conducting regular infrastructure reviews is crucial for large enterprises in the banking industry. As more banks adopt technology, there is a need for a robust and reliable infrastructure.  

In this section, let’s look at some best practices for conducting infrastructure reviews. Especially for large enterprises in the African banking industry. 

1. Regular Audits: Banks should conduct annual regular infrastructure reviews. These reviews ensure systems’ security, performance, and availability. 

2. Risk Assessment: Conduct a risk assessment as part of the review process. Identify potential vulnerabilities and the likelihood of exploitation. This will focus on and address the most critical issues. 

3. Compliance: Banks adhere to various regulations such as (CBN Central Bank of Nigeria). For example, the CBN’s guidelines on Cybersecurity in the Nigerian banking industry. Hence, infrastructure reviews should have a compliance check to meet all regulatory requirements. 

4. Automation: Consider implementing automation in the infrastructure review process. Automation reduces human error, improves monitoring, and allows response to issues faster. 

5. Stakeholder involvement: Involve stakeholders from different departments of the bank. This will ensure consideration for all needs and tailor the solutions. 

6. Test Disaster recovery plans: Test disaster recovery plans. Test them at least and update them as necessary. This will ensure that the bank can recover from any disruptions. 

References: 

• The Central Bank of Nigeria (CBN) guidelines on Cybersecurity in the Nigerian banking industry” 
• The Importance of Regular IT Audits for Banks” by the Association of Chartered Accountants. 

How to Conduct a Successful Infrastructure Audit 

Source: Image by Tumisu from Pixabay  

A successful infrastructure audit is crucial ensures safety and security of customers’ data and transactions. Here’s a step-by-step procedure for conducting an infrastructure audit: 

1. Plan audit process, including objectives, scope, and team members. 

2. Assess risks to identify vulnerabilities and prioritize issues. 

3. Collect data on current infrastructure to identify weaknesses. 

4. Ensure compliance with regulations like CBN’s Cybersecurity guidelines. 

5. Test systems, including disaster recovery and network connectivity. 

6. Report findings and recommendations for improvement. 

7. Implement changes to improve infrastructure. 

8. Regularly monitor and review infrastructure to ensure efficiency and security. 

 Regular audits ensure safety and security of customer data and compliance with regulations in African banking industry. 

Infrastructure as Code: A Review of the Pros and Cons 

Source: Image by Dirk Wouters from Pixabay  

Infrastructure as code (IAC) provides and manages IT through the use of code. This approach allows for automation, consistency, and repeatability in the management of infrastructure. While IAC has many benefits, it also has its drawbacks and may not be the best fit for every organization. 

In this section, let’s look at the pros and cons of IAC. Also, examples of organizations from the African continent that have implemented this approach. 

Pros: 

1. Automation: IAC allows for automation in management and deployment. This saves time and reduces errors. 

2. Consistency: By using code to manage infrastructure, organizations ensure consistency, which improves reliability. 

3. Version control: IAC tracks changes to their infrastructure. As a result, they roll back to previous versions if necessary. 

4. Scalability: Organizations scale their infrastructure with IAC. This is essential for organizations that are growing or experiencing increased demand. 

Cons: 

1. Complexity: IAC is complex. Hence it requires a high level of technical expertise to deploy and maintain. 

2. Learning curve: Organizations need to invest time and resources in training employees. Both on how to use IAC tools and best practices. 

3. Limited flexibility: IAC may not serve organizations needing flexibility in their infrastructure. 

Examples of African organizations that have implemented IAC include: 

1. Standard Bank of South Africa: Standard Bank is one of the largest banks in Africa. They have implemented IAC to manage their infrastructure. This enabled them to automate their infrastructure availability and increase their reliability. 

2. Safaricom: Safaricom is a leading mobile network operator in Kenya. They have implemented IAC to manage their infrastructure. This move has enabled them to scale their infrastructure. 

3. MTN: MTN is one of the largest telecommunications companies in Africa. They implemented IAC to manage their infrastructure. They automated their infrastructure and increase the reliability of their systems. 

If organizations have technical expertise and willing to invest in training. IAC can bring significant benefits such as automation, consistency, and scalability. 

References: 

• “Infrastructure as Code: Managing Servers in the Cloud” by O’Reilly Media,  
• “Infrastructure as Code: The Future of IT Operations” by Gartner Research,  

Infrastructure in the Cloud: A Review of the Leading Platforms 

The use of cloud computing is growing in Africa, as it offers scalable and flexible infrastructure without the need for expensive hardware.  

The leading cloud platforms in Africa are: 

1. Amazon Web Services (AWS), known for its scalability and security, used by Standard Bank, Jumia, and Andela. 

2. Microsoft Azure, known for security and compliance, used by MTN, UBA, and Ecobank. 

3. Google Cloud Platform (GCP), known for scalability and performance, used by Safaricom, Cell C, and Union Bank. 

4. Alibaba Cloud, a Chinese provider known for scalability and security.  

When choosing a cloud platform, consider your organization’s specific needs, the region’s support and expertise, and the pricing model.  

Standard Bank of South Africa is an example of a successful cloud implementation, improving scalability and efficiency.  

Consider your organization’s needs when choosing a cloud platform from the leading providers: AWS, Azure, GCP, and Alibaba Cloud. 

References: 

• “The State of Cloud in Africa” by Data Center Dynamics,  
• “The Future of Cloud Computing in Africa” by The Next Web,  
• “Standard Bank: Scaling infrastructure with AWS” by Amazon Web Services,  

The Role of Automation in Streamlining Infrastructure Reviews 

Banking in Africa gets a boost from automation. By using tech like Robotic Process Automation (RPA) and Artificial Intelligence (AI), banks can streamline their processes, save money, and enhance customer satisfaction.  

One success story is First National Bank (FNB) in South Africa. They automated account opening and loan review with RPA, cutting processing time and increasing accuracy.  

They’ve also used AI to better manage risk. The results? Lower costs, better efficiency, and happy customers. In 2020, FNB reported a 25% decrease in operational costs, 20% efficiency increase, and 10% rise in customer satisfaction. 

Banking’s Future in Africa: Monitor & Automate for Success 

African banks are ramping up tech investments to streamline operations, reduce costs and enhance customer experience. Key players are adopting Robotic Process Automation (RPA) and Artificial Intelligence (AI) to automate repetitive tasks, analyze customer data and mitigate risks. 

Real-time data monitoring allows banks to make informed decisions and quickly identify opportunities or challenges. The results speak for themselves: banks adopting these technologies see reduced costs, increased efficiency and improved customer satisfaction 

Disaster Recovery Planning: A Key Element of Infrastructure Review 

Source: Image by Steve Buissinne from Pixabay  

Disaster recovery planning (DRP) is crucial for banks in disaster-prone Africa. For example, a study by the International Journal of Information Management found that the average cost of a data center outage for a bank can be as high as $5 million.  

Additionally, a survey conducted by the Federal Reserve found that 60% of small businesses that do not have a disaster recovery plan go out of business within six months of a disaster. 

Banks should have a comprehensive DRP that addresses potential threats and outlines procedures for restoring operations. Measures such as regular backups, testing, and backup sites/mobile units help mitigate risks. 

Standard Bank Group and Kenya Commercial Bank have implemented DRP with regular testing, staff training, and offsite data storage.  

The Standard Bank Group, which has implemented a disaster recovery plan that includes regular testing and training of staff, as well as a mobile recovery unit that can be deployed in the event of a disaster.  

Additionally, Kenya Commercial Bank (KCB)) has a disaster recovery plan that includes offsite storage of data and regular backups to ensure continuity of operations in the event of a disaster. 

Infrastructure review for compliance with various regulations 

African banks struggle with compliance to various regulations, such as cybersecurity, data privacy, and anti-money laundering.  

Only 14% of African banks have a comprehensive cybersecurity strategy, putting them at higher risk of cyber-attacks and financial losses.  

Data privacy is also a concern, but the African Union’s Data Protection Directive is still in draft form and has a long way to go for implementation. 

AML compliance is also a challenge, as less than 10% of African banks have fully implemented AML programs, putting them at higher risk of money laundering.  

African banks need to invest in infrastructure to support compliance and protect against financial losses and reputational damage. This includes investing in cybersecurity technologies and practices, data privacy technologies and practices, and robust AML compliance programs. 

Sources: 

1. PwC (2018) “Cybersecurity in Africa: A wake-up call” https://www.pwc.com/za/en/services/advisory/cybersecurity-in-africa-a-wake-up-call.html  

2. African Development Bank (2019) “Anti-Money Laundering and Combating the Financing of Terrorism in Africa” https://www.afdb.org/en/topics-and-sectors/financial-sector-development/anti-money-laundering-and-combating-the-financing-of-terrorism-in-africa/ 

3. “Small Businesses and Cybersecurity: Understanding the Risks” by the National Cyber Security Alliance, https://staysafeonline.org/small-business-cybersecurity-risks/ 

In this article, we will explore the current state of the African tech talent landscape. Is scarce or limited? 

It’ll also look at the potential for growth and development within the industry. In addition, the opportunities for tech professionals looking to make a difference in Africa.  

The Growth of The Tech Industry in Africa 

The tech industry in Africa has grown in recent years. The industry has many successful startups and a growing pool of investment.  

According to data from the World Bank, the number of tech startups in Africa was 16,000 in 2018 from 2,500 in 2010. 

Many factors encouraged this overnight growth. They are as follows: 

1. The increasing availability of internet access. 

2. The growth of mobile technologies. 

3. The rising demand for digital solutions in various sectors. 

Investment in the tech industry in Africa has also seen significant growth. According to data from the African Private Equity and Venture Capital Association (AVCA).  

The total venture capital investment in African tech companies was between $3.8- $4.7 Billion in 2022. This increase is from $2 billion in 2019 and around $500 million in 2015.  
 

Investors recognize the potential of the African tech market and its opportunities. Projections for 2023 fintech funding is up to $6.8 billion. 
 

The tech industry in Africa is a dynamic and growing sector. It has made a significant impact on the continent’s economic and social development. 

Successful Tech Professionals in Africa: Backgrounds and Achievements. 

There are many successful tech professionals in Africa. These pioneers have achieved a lot in their careers. Also, are making a positive impact on the tech industry in the continent. Here are the profiles of a few of these individuals: 

1. Juliana Rotich: 

 Rotich is a Kenyan tech entrepreneur and innovator. Known for her work in the field of open data and technology for development. She is the co-founder and Executive Director of Ushahidi. Ushahidi is a leading platform for crisis mapping and information-gathering. 

Many disaster and conflict situations around the world use Ushahidi. Rotich is also a co-founder of BRCK. A company that produces rugged and portable internet devices. For areas with unreliable or non-existent internet infrastructure. 

2. Yassir Yacoubi:  

Yacoubi is a Moroccan tech entrepreneur and investor. Known for his work in the field of digital finance. He is the co-founder and CEO of Inwi. A leading telecom operator in Morocco. 

Also, he is the founder and CEO of Mena Venture Investments. A venture capital firm that focuses on investments in emerging markets.  

Yacoubi has received many awards and recognitions. For his contributions to the tech industry in Africa and beyond. 

3. Ashish J. Thakkar:  

Thakkar is a Ugandan tech entrepreneur and philanthropist. Known for his work in the field of financial inclusion and entrepreneurship.  

He is the founder and CEO of Mara Group. A conglomerate of companies that operate in financial services, technology, and real estate.  

Thakkar is also the co-founder of the Mara Foundation. A charitable organization that works to promote entrepreneurship and education in Africa. 

4. Herman Chinery-Hesse:  

Chinery-Hesse is a Ghanaian tech entrepreneur and innovator. Known for his work in the field of software development and artificial intelligence.  

He is the founder and CEO of Softech. A software company that has developed a range of innovative products and services. Such as an AI-powered chatbot and a cloud-based banking platform.  

Herman is also the founder of a Global Entrepreneurship Forum for the tech industry. A network of entrepreneurs and investors to rally for collaboration and innovation 

5. Stephen Ozoigbo,  

A Nigerian entrepreneur and venture capitalist who founded the African Business Angel Network, an organization that works to promote the development of early-stage technology companies in Africa. 

He is an expert in AI and has made contributions to the tech industry in Africa. As such, he has received many awards and recognitions for his work. 

Tech education and training programs in different countries on the continent. 

Access to tech education and training programs in Africa depends on socio-economic factors. These factors include: 

1. Economic development. 

2. Government, and stakeholder priorities.  

3. Tech skills demand in the local market.  

Tech education and training programs in different countries in Africa also vary. In general, countries with well-developed education and technology focus systems have more programs. 

Middle-income countries like South Africa, Egypt, and Morocco have more tech education programs. These programs are in primary and secondary schools, vocational training institutes, and universities.  

The focus topics are computer science, software engineering, and data analysis. Students get the skills and knowledge they need to pursue careers in the tech industry. 
 

In comparison, low-income countries like Burundi, and Chad have under-developed educational systems. Hence fewer tech education and training programs are available.  

In these cases, individuals seek out alternative ways through online courses or self-study. Even then, internet unavailability is another bottleneck in these countries. 

Companies That Have Successfully Sourced and Retained Tech Talent in Africa. 

1. Andela:  

Andela is a tech company for businesses in the US and Europe. It helps them hire and manage remote software developers from Africa.  

The company has a rigorous selection process. It identifies top talent, trains them, and supports them to succeed in their careers.  

Andela have been successful in retaining tech talent. They provide competitive salaries, benefits, and professional development opportunities to its employees. 

2. Flutterwave:  

Flutterwave is a fintech in Africa. It provides payment infrastructure and financial services to businesses and individuals.  

The company has a diverse team of tech professionals from across the continent. They build innovative solutions to various challenges in the financial industry.  

Flutterwave has retained tech talent by providing them supportive and collaborative work environment. They also offer competitive compensation and benefits packages. 

3. M-Kopa:  

M-Kopa is a tech company. They provide pay-as-you-go solar energy systems to households in Africa. 

The company has a team of tech professionals who develop and maintain solar systems. M-Kopa retains tech talent by providing a purpose-driven mission. Also, a culture of innovation and collaboration. 

4. Jumia:  

Jumia is an e-commerce company that operates in several African countries. The company has tech professionals who build and maintain its platform and infrastructure. 

Jumia retains tech talent by providing a dynamic and fast-paced work environment. They also offer opportunities for career advancement and personal development. 

5. uLesson:  

uLesson is an ed-tech company in Africa. They provide online learning programs to students. 

The company has tech professionals who develop and maintain the platform and content.  

uLesson retains tech talent by providing a supportive and collaborative work environment. They also offer competitive compensation and benefits packages.  

Salary and benefits packages for tech professionals in Africa  

Technology professionals’ salaries in Africa are not comparable to those of other regions. Many factors influence these packages, and they include: 

• The country or region. 
• Their level of education and experience. 
• Their specific skills and expertise. 
• The demand for their skills in the local job market. 

The average salary for a tech professional in Africa is around 30-40% lower than in developed countries. This data is from recent research by IT industry research firms and reports.  

Tech pros in Africa can earn well with global firms. However, pay and benefits vary by employer and location. Keep this in mind when considering opportunities in Africa. 

Insights from industry leaders and experts  

Industry leaders and experts agree that the tech sector in Africa is growing. It also has significant potential for the future. Some of the key insights that these leaders and experts shared include: 

1. Africa is a key market for tech companies:   

Africa has many opportunities for tech companies. It has a large population, a rising middle class, and high mobile and internet usage. It means companies can make products and services that fit what people want.  

2. Tech   can drive economic and social development:  

Tech has the power to change Africa’s future! Industry leaders and experts know that it can drive economic and social development. Think about it, with tech, people can access information, education, and other resources. It empowers individuals and communities. In the end, it opens doors to new opportunities for growth and progress. 

3. The tech ecosystem in Africa is evolving:  

The African tech market is growing. More people and companies are recognizing its potential. Industry leaders and experts also acknowledge this fact. There are more startups, investors, and stakeholders joining the sector. 

 The tech sector in Africa is dynamic and exciting with potential for growth and impact. Africa is a key player in the global tech industry and drives innovation and development. As a result, the African tech industry will continue making an impact in the global tech industry. 

The diversity of the tech workforce in Africa 

Limited data exist on diversity in Africa’s tech workforce. The industry faces challenges like a lack of diversity and inclusion. Underrepresentation of women and minority groups is also common. 

Studies show that minority groups face barriers to education and employment opportunities. According to ILO, women make up only a third of the tech workforce in Africa, lower than the global average of 40%. Data on racial diversity is also limited. 

Furthermore, the industry acknowledges that certain racial and ethnic groups dominate. Although, limited data is available on the racial diversity of the tech workforce. Promoting diversity and inclusion is key for a sector that serves all backgrounds. 

Data on the demand for tech talent in different sectors and industries in Africa. 

The demand for tech talent in different sectors and industries in Africa can vary. Some sectors and industries in Africa have a high demand for tech talent. They include: 

1. Fintech: The fintech industry in Africa is growing. They demand for tech talent in mobile payments, digital banking, and financial inclusion. 

2. E-commerce: The e-commerce industry in Africa is growing. It demands tech talent to build and maintain online platforms and infrastructure. 

3. Healthcare: The healthcare sector in Africa is facing challenges. It demands tech talent to develop innovative solutions. 

4. Education: The education sector in Africa is facing challenges. It demands tech talent to develop online learning platforms and other solutions. 

As companies recognize the importance of technology for innovation and progress. The demand for tech talent in different sectors in Africa will be insatiable.   

The challenges and opportunities faced by tech professionals in Africa 

Tech professionals’ careers face a range of challenges and opportunities in Africa. Some of the key challenges include: 

1. Limited access to education and training: Prevent opportunities to develop skills and knowledge to succeed in tech careers. The access limits are because of the cost, availability, and quality of instruction. 

2. Limited access to resources and support: This prevents access to the resources and support to succeed in tech careers. These resources are equipment, software, other tools, mentors, advisors, and other support networks. 

3. Limited job opportunities: It is hard f to find jobs in countries with lower GDPs and demand for tech skills. This makes it hard for tech professionals to find jobs that match their skills and interests.  

Despite these challenges, there are also many opportunities for tech professionals in Africa. 

1. Growing demand for tech skills: More companies and organizations are adopting technology to drive innovation and progress. As a result, tech professionals can find employment and advance their careers. 

2. Opportunity to make a positive impact: Tech skills and expertise can help Africa solve its challenges. This is rewarding for tech professionals who want to make a difference. Working in Africa also allows them to learn and grow in their careers, while making a positive impact. 

3. Opportunities to learn and grow: Tech professionals in Africa can learn and grow. They do so by gaining experience, building networks and taking on new challenges. This will help them to develop their skills.  

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Sources 

“The State of the African Tech Startup Ecosystem” by Partech: https://partech.com/the-state-of-the-african-tech-startup-ecosystem/ 

“The Future of Tech Talent in Africa” by World Economic Forum: https://www.weforum.org/agenda/2021/05/future-tech-talent-africa-digital-skills-jobs-education/ 

“Investing in Africa’s Tech Talent” by McKinsey & Company: https://www.mckinsey.com/industries/high-tech/our-insights/investing-in-africas-tech-talent 

“AI in Africa: the future of technology on the continent” by The Guardian: https://www.theguardian.com/technology/2021/jan/05/ai-in-africa-the-future-of-technology-on-the-continent 

“The State of the African Tech Ecosystem” by Disrupt Africa: https://disrupt-africa.com/2019/02/the-state-of-the-african-tech-ecosystem-2019/