It is difficult, in the midst of the border closures, to envisage regional and international partnerships. They are however essential to the creation of value chains, underline several specialists, who take the digital Tunisia point of view.
Tunisia has always encouraged the establishment of foreign companies, is committed to opening up to the international market and has proven to be a reference partner, considers Serge Degallaix, who heads the Perspective and Innovation Foundation.
Which organized, in the middle of the summer, an online meeting to highlight Tunisian potentials in the technology, digital and digital sectors. “Its skills are great opportunities for African countries in search of development on the scale of the continent“, summarizes Serge Degallaix.
Badreddine Ouali, chairman of the Vermeg group has explained that, for a long time, Tunisia, has wedged between two regional powers and has not had the will to spend a lot on military matters. But has been lucky, being able to develop other budgets, such as in recent years, technology equipment.
Tunisia has weathered the Covid-19 period rather well, thanks to its medical system. Companies that could have adopted telecommuting. While the completion of the democratic process has only highlighted the country’s strengths.
Tunisia has spread to other countries, just as companies from the South have come to Tunis, such as Jumia. Many African successes could benefit Tunisia! “African experiences are sometimes more interesting than Western solutions,” continues the man who also heads the SmartTunisia platform. He cited as examples the means of payment, the bank.
Mohamadou Hayatou (director of the AfDB Private Sector, African Development Bank) recalls the context. It is becoming evident that African countries cannot develop without strong participation from the private sector. The question is what device should be put in place to support them. Today in Africa 90% of new jobs, 70% of investments, more than 80% of wealth created, are by the private sector.
In this context, the AfDB is refining its strategy to help improve the business environment. Which also involves institutional strengthening, also applying in the digital field. Whether it is a boost to socio-economic infrastructure to the creation ex-nihilo of special development zones.
Relaunching South South cooperation!
The institutions aim “at formalization, access to markets, access to finance, support for innovation”. For its part, the ADB can directly finance private companies, for a minimum, it is true too high for most SMEs, at $20 million.
Because the AfDB must find a balance between the cost of transactions and profitability. “Unfortunately, on our side, the ticket is necessarily high. Gradually, we are helping investment funds that are responsible for finding innovative start-ups with lower financing needs.”
International organizations help digital entrepreneurship by facilitating ecosystems (incubators, etc.). Finally, they encourage the creation of value chains, so that there is no break between the different players and customers.
This, both through public funding and direct aid to the private sector, in order to generate synergies. South-South cooperation is at the heart of the AfDB strategy. And it is at the heart of that of Tunisia.
Martin Labbé, digital coordinator at the Center for International Trade, a United Nations body based in Geneva, intervenes on this point. He explains that his organization, within the WTO, works for multilateralism.
“At the moment, it is not easy to promote international trade!”, he observes, alluding to the health crisis and border closures. “We support SMEs in all sectors. In Africa, our partners have a pan-African will, essentially. They are not yet aimed at leaving the continent.”
Regional integration is not easy, we see it with the debates on the Continental Free Trade Area, the FTAFC. And in Tunisia, “a small country, companies find it difficult to move to the continental scale”.
However, we see some initiatives emerging, such as the Citic platform, which allows entrepreneurs to meet, once a year, and compare their experiences.
“Tunisian expertise is recognized. It serves as an example for less advanced start-ups in Africa,” said the UN specialist. In terms of the business environment, “the Tunisia Start-up Pact is very interesting”.
African countries are following its results very closely. The country retains a pioneering role in the place of ICT in development. “It was true ten years ago, it remains so.”
Faced with the crisis, partnerships are crucial!
In terms of education, Africa does not have enough human resources to go into these high-growth sectors. The education system is not yet adapted to the needs of the market.
Initiatives such as École 42 in Paris, MOOCs, make it possible to train young people at a lower cost. In Tunisia, the capacities developed further improve the Soft Power of Africa.
The context is difficult, of course, in the short term. Young shoots are ultimately few to have succeeded during the pandemic. Three-quarters saw their activity decrease; only 10% progressed, particularly in e-commerce, online payment, and e-education.
As a result, “the need for partnerships is more than ever present to develop in Africa”. However, companies need to trust each other, which is not won. Often within countries, potential partners distrust each other.
Tunisia is ranked fifth among the numerically advanced countries in Africa, according to the NRI index of the World Economic Forum Its reservoir of skills, its financial and geographic attractiveness “place it as a real technological hub capable of meeting the needs of Africa sub-Saharan on many points”, observes Serge Degallaix. Which recalls that 1,800 technology companies are located in Tunisia.
Emma Kharouf (Deloitte) supports companies in French-speaking Africa. In his view, the geographical barriers are being reduced, thanks to the development of digital exchanges, exchanges of talents and expertise. “The pandemic has accelerated the process.”
Talents in the digital domain are not linked to a geographic location. Digital solutions are international, they can develop without too much national resistance. The professions are more and more agile. Indeed, experience feedback (Senegal to Tunisia, for example) remains essential.
Synergies are to be sought in the training of digital professions. The specialist cites classic engineering courses, as well as second chance courses. The Smart Tunisia tool, also, allows training to improve skills in the digital field.
Very material advantages for digital!
Another pillar is digital in health. In the recent context, the needs are being felt. “Tunisia has the skills and the infrastructure, it is necessary for the whole continent to benefit from it. A lot of collaboration is to be created.”
As in the structuring of entrepreneurship. And indeed, confirms the Deloitte analyst, the Start-up Act “has created environments that can serve as a model for South-South development”.
It sums up the three promising challenges: training in the digital profession (the average age in Africa being 17), digital in health (in order to fill the infrastructure gaps) and finally the structuring of the entrepreneurship ecosystem in terms of financing, labeling and support.
Ilyes Bdoui is responsible for Tunisie Creative. After ten years in London, he returned to work in Africa (Côte d’Ivoire in particular) and then in Tunisia, where he invested in his business. Today, he intervenes on behalf of the AfDB in various cultural issues.
He considers that Tunisia “has very material assets, in order to develop digital technology”. Indeed, this industry also needs buildings, equipment, airports, ports, passable roads … everything is not virtual!
It is also important for African countries to have continuous electricity. Too many countries are affected by untimely cuts, which affect profitability. From this point of view, Tunisia is rather spared.
If Tunisia has assets, how can we characterize and identify the fabric of entrepreneurs? Asked on this point, Badreddine Ouali blurted out: “There is no single center of dialogue, in a sense all the better! Tunisia has, in fact, several structured gateways.”
He cites SmartTunisia for everything that is regulatory, institutional, to open the right doors. To know the companies, he advises the colleges of start-ups and associations of young companies. Without forgetting the incubators, of course.
Faced with protectionist temptations, Martin Labbé considers that there are still various avenues to explore in order to accelerate continental integration. ZLECAf is one of them, “but we see reluctance, due to competition between African countries and the fear that international operators will take certain markets even more easily”.
This is essential for our young people!
The UN specialist recognizes that Africa is “still very far” from pan-African integration, including at the sub-regional level. Thus, West Africa, for example, has the appropriate texts and the political will, but the reality on the ground is not there.
There are transport problems, in part, but also the application of texts, particularly at borders. There are still too many non-tariff barriers. “We need to identify them before we reduce them. This requires dialogue with actors such as Chambers of Commerce.”
Countries need to improve their business climate. Some countries boast of improving online business registration, for example, but the reality on the ground is sometimes quite different. It is up to mid-sized players to set an example.
Badredinne Ouali returns, in conclusion, to the case of Tunisia. The country has a very solid base, its resources, its infrastructure, its regulatory framework. All this is essential but not sufficient, it requires the cooperation of all stakeholders, including major international groups.
Tunisia, like Africa, “has specific problems which it must resolve with its means”. Besides, in almost all industries, Africa is lagging behind.
Except, specifically, in the digital domain, where there is simply a lack of “otherwise inexpensive” infrastructure. This area is therefore crucial, there is no difficulty, no complex, to be African. “This is essential for our young people!” Concludes the CEO of Vermeg.
Finally, Serge Degallaix discusses the role of Smart Tunisia, a PPP project that follows this logic by offering a one-stop shop for foreign investors in the technology and Nearshoring Tech sector.
It facilitates, thanks to its dedicated team, all administrative procedures for foreign investors as well as access to Tunisia’s many incentive mechanisms.
Reference: https://www.espacemanager.com/la-tunisie-centre-de-service-numerique-pour-lafrique.html
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