nilf 2014: africathe "opportunity" land: jagdish mitra, techmahindra

2Copyright © 2014 Tech Mahindra. All rights reserved.

AfricaThe "Opportunity" Land


Africa: its SERIOUSLY big


Some big numbers in Africa: The mobile phone sector presents one of the biggest growth areas

$ 1.6 trillion Africa’s collective GDP in 2008, roughly equal to Brazil’s or Russia

$860 billion Africa’s combined consumer spending in 2008

316 million the number of new mobile phone subscribers signed up in Africa since 2000 (more than the entire US population )

52 the number of African cities with more than 1 million people each

20 the number of African companies with revenues of at least $3 billion

1.1 billion the number of Africans of working age in 2040

The continent will be home to one in five of the planet’s young people

and its labour force will be the largest in the world, topping both

China and India. On average, African workers are currently less than

half as expensive as their counterparts in Central Asia, Latin America

and Eastern Europe

Africa’s economic growth accelerated after 2000, making it the world’s third-fastest Growing region


"The mobile phone revolution continues," says a UN report charting the phenomenon that has transformed

commerce, healthcare and social lives across the planet. Mobile subscriptions in Africa rose from 54m to

almost 350m between 2003 and 2008, the quickest growth in the world….

• driven by low penetration of fixed line (only at 2.8%)• defied hostile environments e.g. war – Somalia, Liberia etc• cheaper to invest in vs. landlines (cheap handset & airtime options – e.g.

Safaricom offers USD 20)• traverses rural geographies unreached before• not hindered by lack of electricity• opened up internet access through phone (higher in Africa vs. world)• network expansion will open up more and more opportunities

….massive REACH, easier communication, increased internet access, new channel >> new ways of delivering

marketing mix including communication

Growth of mobile telephony


Cable plans are already providing mobile & computer connectivity for Africa


Tech Mahindra’s presence in Africa

Presence in 44 countries in Africa

2500+ staff across more than 20 nationalities

Serving some 400 million plus end customers

Serving sectors including

– Banking

– Telecom

– Retail

– Oil & Gas

Airtel Money Managed operations handing Daily transactions volume

on Airtel Money is around 1.6 million and uptime over 99%


Opportunities in Africa

Humongous opportunities exist across Africa…

The premise is to fulfill the basic needs such as:

– Finance

– Education, and

– Governance

And to serve the large number of SMB

Although the challenge is to Adapt to Africa!


Disclaimer

Tech Mahindra Limited, herein referred to as TechM provide a wide array of presentations and reports, with the contributions of various professionals. These presentations and reports are for informational purposes and private circulation only and do not constitute an offer to buy or sell any securities mentioned therein. They do not purport to be a complete description of the markets conditions or developments referred to in the material. While utmost care has been taken in preparing the above, we claim no responsibility for their accuracy. We shall not be liable for any direct or indirect losses arising from the use thereof and the viewers are requested to use the information contained herein at their own risk. These presentations and reports should not be reproduced, re-circulated, published in any media, website or otherwise, in any form or manner, in part or as a whole, without the express consent in writing of TechM or its subsidiaries. Any unauthorized use, disclosure or public dissemination of information contained herein is prohibited. Unless specifically noted, TechM is not responsible for the content of these presentations and/or the opinions of the presenters. Individual situations and local practices and standards may vary, so viewers and others utilizing information contained within a presentation are free to adopt differing standards and approaches as they see fit. You may not repackage or sell the presentation. Products and names mentioned in materials or presentations are the property of their respective owners and the mention of them does not constitute an endorsement by TechM. Information contained in a presentation hosted or promoted by TechM is provided “as is” without warranty of any kind, either expressed or implied, including any warranty of merchantability or fitness for a particular purpose. TechM assumes no liability or responsibility for the contents of a presentation or the opinions expressed by the presenters. All expressions of opinion are subject to change without notice.

Thank youVisit us at www.techmahindra.com

nilf 2014: africathe "opportunity" land: jagdish mitra, techmahindra

Technology