Information and communications technology (ICT) spending in Kenya has grown from 8.9% of gross domestic product (GDP) in 2006 to 12.1% in 2013.
This is according to the International Data Corporation (IDC), which says that telecoms has accounted for the bulk of ICT revenues in Kenya.
“Prior to the liberalisation of the market in 1999, there were only 15,000 mobile subscribers in the country, compared to the current figure of around 31.3 million, which clearly indicates extremely rapid growth,” says the IDC in a statement.
Even funding from the World Bank Group and other international institutions has helped bulk up Kenya’s ICT sector, says the IDC.
“The examples of major initiatives that have benefited from funds supplied by international development agencies are numerous and include the Eastern Africa Submarine Cable System (EASSy) project, the privatisation efforts of Telkom Kenya, and the opening up of all local telecommunications market segments to competition through the structuring of support and advisory services by the International Finance Corporation (IFC),” says the IDC.
The East African country; though, has a long way to go to achieve its targets for ICT’s contribution to its economy.
Last year, Kenya unveiled a master plan aimed at helping its ICT sector grow to a $2 billion industry by 2017, contributing 25% to Kenya’s gross domestic product (GDP).
Further aspects of the five year plan include creating a knowledge based economy, helping to establish 500 tier one ICT companies in the country and creating 50,000 jobs in the ICT sector.
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