Africa's Hustle Generation: Ambition, Innovation, Opportunity

With rising investment, some digital leapfrogging, digital platforms, and a young population, Africa is poised to lead a new era of global growth

Jemaa el-Fnaa, Marrakech, Morocco - Photo by Andrew Spence

By 2030, more than half of the young people entering the global workforce will be African. Africa boasts the youngest population in the world, with a median age of just 19.2 years compared to Europe’s median age of 44.7 years.

We are impressed by cute apps, but it’s the slow-moving sweep of demographics over twenty or thirty years that really drives our economies and societies.

600 million Chinese have joined the global workforce since the 1980s - the biggest poverty reduction in history. The consequences (unintended, or intended) was wage-suppression in the West, ongoing geopolitical power shifts, and the rise of populism.

For the first time in history there are more people on the planet over 65 than kids under 5. So as we all get older, who will do all the work that AI refuses to do?

This article considers the bull case for Africa which has a rapidly growing workforce hungry for opportunity. The rise of remote work and digital platforms means that a higher proportion of work can be done from anywhere.

Africa's Innovation Ecosystem: Beyond the Challenges

There are numerous books exploring Africa’s historical and contemporary challenges, including the lingering effects of colonialism, political instability, and inadequate infrastructure. Without ignoring these obstacles, I believe a compelling case can be made for Africa’s future, driven by technological advancements and a young, growing workforce.

Africa’s start-up ecosystem is thriving, with a record $6 billion raised in venture capital funding in 2022. Here are some of Africa’s fast growing Start-Up, Scale-Ups and Unicorns:

• FinTech Boom - Moniepoint - a payment processor handles over 800 million transactions a month, worth more than $17 billion. Flutterwave - this FinTech company operates in 34 African countries, has processed more than 400 million transactions, and served 1 million customers. Paystack - allows payments between 60,000 businesses and customers, powers 50% of Nigerian businesses and acquired by Stripe for $200 million.

• Mobility Revolution - Moove - the pan-African mobility fintech startup, closed a $100 million Series B funding round, Uber joined as an investor for the first time in Africa, further strengthening their partnership. Tugende - is a Ugandan startup that offers lease-to-own financing including for motorcycle taxis, enabling drivers to own their vehicles and improve their livelihoods. So far they have over 29,000 clients and created 800 jobs.

• HR and Workforce Solutions - Workpay - this Kenyan HR and payroll startup empowers businesses to pay their employees on time, and recently had a $5 million investment from Visa.

• e-Commerce - Jumia - has over 2300 employees and handling 22 millions orders a year.

“The shift in customer needs has pushed us to expand our product from being a solid payroll solution to offering a more full-stack HR service. We’ve also noticed an opportunity to layer financial services on top of our HR offerings”

Paul Kimani, Founder, Workpay

• mWater - a startup in Rwanda allows 300,000 people to collect and analyse water quality data using their phones. This way, it will enable people to drink safe and clean water.

In recent years, I've witnessed significant investments in Casablanca from companies like PayLik, Inyad and Chari. This surge has created excellent job opportunities and opened new avenues for entrepreneurs like myself. As a designer of HR tools for SMBs and growing startups, I recognize that these funded startups are poised to scale, expand their offerings, and even enter international markets.

Karim Hamri, Founder, tttoolbox Morocco

The Bull Case for African Growth

Since 1960, the average life expectancy has risen from 41 years to 64.

Since 1970, the proportion of young Africans attending university has risen nine-fold.

In recent years African authors have won the Booker prize, the Prix Goncourt and the Nobel prize for literature.

A positive case for African growth would include these factors :-

Education as Economic Catalyst: Bridging Traditional and Digital Learning

64% of Sub-Saharan African children complete primary school, compared to the global average of 87% (UNESCO). This gap highlights the need for sustained investment in education, particularly in rural areas, to ensure that Africa’s youth are equipped for the jobs of the future. While traditional educational infrastructure remains underdeveloped, digital tools like YouTube and online platforms are bridging the gap. With internet penetration rising from 25% in 2019 to 40% in 2023, countries like Ghana are investing in digital skills to prepare the next generation for a tech-driven future.

Digital Leapfrogging🐸

Traditional development economics might suggest there are certain steps that countries need to make to move up the economic value chain. But, looking at the past has its limitations due to different context and starting points. Africa is already leapfrogging traditional development stages, for example 70% of the population now owns mobile phones. So in financial services we see mobile banking before local branches.

Platforms like Eneza Education and Ubongo leverage mobile technology to deliver quality learning resources to rural and underserved areas. These innovations not only improve literacy and numeracy but also prepare students for tech-driven industries.

Urbanisation🏙️

By 2050, Africa's urban population is expected to double, adding over 800 million people to cities like Luanda, Dar es Salaam, Cairo, Kinshasa, Lagos, and Johannesburg. These cities are becoming hubs of innovation, entrepreneurship, and employment, attracting both local and international investments.

Generation Hustle

“She is training to be a seamstress four days a week and works as a cook on two other days. In between, Grace Garus Dalop finds time to peddle wigs. Along with tips and financial help from neighbours and acquaintances, that is just enough for the 26-year-old to rent a room in Lagos.” From the Economist

With 341 million working-age individuals in Sub-Saharan Africa—and 12 million more entering the workforce each year—many young people are turning to entrepreneurship. Known as 'Generation Hustle,' they juggle multiple side businesses to make ends meet, driven by ambition and creativity.

The Decentralised Workforce in Africa

Internet penetration has grown from 25% in 2019 to 40% in 2023, driven by robust investments in broadband, mobile technologies, and undersea cable systems.

Our article on the Decentralised Workforce highlighted how millions of people are now making a living from digital infrastructure and this applies to Africa too.

Here are some of the work-matching platforms operating mainly in Africa.

• Ajira Digital in Kenya connects people to online freelance opportunities. A program supported by the government has enabled over 1 million young Kenyans to earn supplemental income by providing services such as content writing, virtual assistance, and graphic design.

• There are plenty of job-boards like Jobberman and Brighter Monday with 4.6 million jobs seekers and 160,000 employers using their platforms.

• Gozem - launched in Togo, providing ride-hail services, with 1 million users.

• Talenteum with 20,000 professionals and Tunga focused on scaling software teams are connecting African professionals with international clients. Andela has 150,000 highly skilled tech professionals on their roster and Decagon train thousands of young Africans and connect them with high-paying jobs in Europe, North America, and beyond.

Also some of the Global players have a presence in Africa too e.g. Upwork, Fiverr, Toptal, Task Rabbit.

So the African workforce is constantly adapting to global demand for skills, enabled by a new generation of global work-matching platforms.

Forging Global Partnerships: Africa’s Role in a Multipolar World

Today, Africa is home to 15% of global population, accounts for just 3% of global output and provides 5% of growth. If sub-Saharan Africa can repeat Asia’s transformation, it “will become the next major engine of global growth”, argues an investment research note by Bridgewater.

“This is a great opportunity for the poorest continent. But if its 54 countries are to seize it, they will have to do something exceptional: break with their own past and with the dismal statist orthodoxy that now grips much of the world.” The Economist

As Africa’s demographic and economic influence grows, the continent is increasingly positioned as a key player in the global economy. By 2050, Africa’s working-age population is expected to reach 1.3 billion, accounting for a significant share of the global labor force. This growth presents not only opportunities for Africa but also the potential for transformative partnerships with regions like Europe. By leveraging complementary strengths—such as Africa’s youthful workforce and Europe’s technological and financial resources—these regions can collaborate to address shared challenges, from labor shortages to climate change, and drive sustainable growth.

While the European Union has made strides in political and economic coordination, Africa is forging its own path through initiatives like the African Continental Free Trade Area (AfCFTA). This aims to unite 54 countries into the world’s largest free trade area with 1.47 billion people. This initiative is projected to lift 50 million people out of extreme poverty.

The EU has significantly boosted its financial support for African infrastructure projects, with contributions reaching €972 million in co-financed operations with the African Development Bank over the past two years. This includes partnership to bridge the digital divide in Africa and significant funds to support Africa's green energy initiatives. The EU and the African Union launched the Africa-EU Space Partnership Programme. China’s Gotion High Tech announced a $1.3 billion investment to establish Africa’s first EV battery gigafactory in Morocco.

Africa’s demographic dividend, combined with its rapid technological adoption and entrepreneurial spirit can position the continent as a key driver of global growth in the 21st century.

Looking south,

Andy