The World Bank’s International Finance Corporation (IFC) has announced a $100 million fund to boost the construction of digital infrastructure throughout Africa.
This investment will go to Raxio Group, a renowned data centre operator in the region, to help meet the continent’s growing need for data hosting and strengthen cybersecurity.
Raxio Group intends to use this funding to build cutting-edge data centres in many key African countries, including Ethiopia, Angola, Ivory Coast, Mozambique, the Democratic Republic of Congo, and Uganda. These new facilities will address the growing demand for secure, scalable digital infrastructure to support Africa’s rapidly expanding digital economy.
In a statement, the World Bank noted that this investment aligns with its efforts to promote sustainable and inclusive economic growth across the continent.
“Digital infrastructure is a critical enabler of economic transformation,” said Makhtar Diop, Vice President for Africa at the World Bank.
“By expanding access to reliable, affordable, and secure data centres, we are laying the groundwork for increased innovation and business opportunities across Africa.”
The investment also represents a significant step forward in boosting Africa’s overall digital connection, which has been a struggle for many countries. According to an International Telecommunication Union research, the region’s data centre infrastructure remains underdeveloped in comparison to the rest of the globe. This infrastructural gap has made it difficult for businesses to properly use digital technologies such as cloud computing, big data, and e-commerce, all of which are critical to economic growth in today’s world.
Raxio Group, part of the larger Marubeni Corporation conglomerate, has already made great progress in resolving this difficulty. The company’s data centres, which use cutting-edge technology, are intended to increase local data processing capacity, improve disaster recovery alternatives, and promote data sovereignty for African firms.
Ethiopia, Angola, Ivory Coast, Mozambique, the Democratic Republic of the Congo, and Uganda are among the first to benefit from the new data centres, with plans for future development. These centres will not only improve digital security, but will also create job opportunities and a solid platform for digital innovation in a variety of industries, including banking, healthcare, and education.
The World Bank’s backing of this initiative comes at a time when digital transformation is high on the agenda of many African governments. As part of its broader strategy to accelerate Africa’s digital economy, the World Bank has previously invested in digital infrastructure projects aimed at improving connectivity, building digital skills, and fostering innovation across the continent.
As the African continent continues to embrace the digital age, this investments is expected to play a key role in accelerating economic development, bridging the digital divide, and empowering local communities.
