Ethereum co-founder Vitalik Buterin has revealed Zambia's ambitions to become Africa technology hub
Ethereum co-founder Vitalik Buterin has revealed Zambia's ambitions to become Africa's technology hub
With support from Ethereum co-founder Vitalik Buterin, a group of young entrepreneurs in Zambia is working to rebrand the country as an African technology hub. Zambia is best known for its copper mining, but a group of young entrepreneurs is working to rebrand the country as an African technology hub.
With the rise of cryptocurrency and technology in our world, Africa has made significant investments in technology and entrepreneurial startups, and Zambia has jumped into the conversation with a capitalist's vengeance. Historically, Nigeria has been a part of this discussion since the beginning of time. Because it is home to one of the world's largest youth populations and has a high level of engagement in tech startups and cryptocurrency platforms, Nigeria is unquestionably Africa's Tech Hub.
Zambia, on the other hand, appears to be on the right track based on President Hakainde Hichilema's announcements about the country's bid to become Africa's Tech Hub, which include support from Ethereum co-creator Vitalik Buterin and successful South African and Nigerian tech startup entrepreneurs. However, these entrepreneurs are more concerned with the government's promises to develop detailed policy proposals that they believe will propel Zambia forward in a way that previous African tech hubs have failed to do so.
It is not known what sparked Buterin's unwavering support for the country of Zambia. Although Zambia is home to two of Africa's wealthiest bitcoin traders, Satoshi Nakamoto's strategy may be viewed as a competitive strategy by the cryptocurrency's creator. Other possible reasons include an incoherent policy framework, fragmented geopolitical and economic activities, and a lack of infrastructure to withstand unfair competition from legacy companies in other countries, amongst other things.
Buterin expressed his support for Zambia's President earlier this year during a virtual meeting with the latter. In 2019, he traveled to Zambia as a guest of Mwiya, who wanted him to see a new charter city outside of Lusaka that is also positioning itself to attract business. That trip followed a previous visit to the country in 2019.
Hichilema dreams
Zambian President Hichilema is open to exploring alternative revenue streams for the country that are not based on traditional copper exports. He established the Zambia Technology Sector Working Group, which works directly with the country's Ministry of Technology and Science to develop business-friendly legislation to assist African technology companies seeking to establish or expand operations in the country. He also serves on the board of directors of the Zambia Technology Sector Working Group.
In the end, "it comes down to being hospitable," said Mwiya Musokotwane, the son of Finance Minister Situmbeko Musokotwane and one of the project's early champions.
It is possible that attracting technology companies will assist Hichilema in fulfilling his campaign promise of increasing employment.
In Zambia, according to data from the International Labor Organization (ILO), more than one in every four young people under the age of 24 lives in poverty, and the situation has gotten worse since 2013.
As part of an effort to strengthen the sector and reduce reliance on copper, which accounts for 75 percent of export revenue, Hichilema has established the Ministry of Technology and Science in his own right.
The government is eager to consult with entrepreneurs on tax breaks and other attractive policies for the technology industry. Entrepreneurs are encouraged to submit proposals. This new development will pave the way for international collaborations and projects, which will in turn stimulate economic growth in the region.
In collaboration with various government departments, the group is addressing a variety of common issues, such as business licensing, immigration policy, support for local talent, internet infrastructure and infrastructure, taxes, and stock exchange listing opportunities. Additionally, cryptocurrency-friendly regulations are being considered, including a framework for the adoption of cryptocurrency-based services, according to the Financial Times.
