Africa stands as a continent of nearly 1.3 billion people, with 27 nations having a poverty rate of over 30%. As COVID-19 spreads through the region, falling demand and break down of supply chains threaten to further slow already-sluggish growth rates. Ever the land of great resilience and innovation, hundreds of enterprising individuals have excelled in Africa, enriching themselves and their countries. Increasingly more Africans are seeking out entrepreneurial and small business opportunities to combat poverty. One such businessman helping in this effort, multimillionaire Tony Elumelu, is using his wealth to fuel entrepreneurship in Africa and transform the continent into a booming commercial hub and providing hope for the future.
Roadblocks to Economic Growth in Africa
Africa’s economy has long suffered stubborn development setbacks. Government inaction, fragile infrastructure and widespread instability have hindered the region’s industrialization and economic growth. Many countries grapple with deficient infrastructure, including inadequate means of transportation, limited access to electricity and water and poor telecommunications systems. The World Bank estimates that the resolution of these structural shortcomings would increase the region’s productivity by as much as 40%.
Politicians have been reluctant to bolster manufacturing despite an international consensus on Africa’s need for industrialization. Such apprehension can be partially attributed to Africa’s unique position in the world economy: a pre-industrial continent already aspiring to post-industrialism. This misguided ambition has discouraged lawmakers from implementing protectionist policies. Without tariffs that benefit domestic manufacturing industries, larger international corporations choke out Africa’s budding factories and discourage entrepreneurship in Africa.
Ongoing fiscal and political instability serves to magnify these already difficult issues. Mounting debt levels divert money from investment to reimbursement and waste significant capital on unproductive endeavors. For example, sub-Saharan Africa’s aggregate debt-to-GDP ratio doubled from 2008 to 2017. Additionally, frequent leadership turnover has deterred international companies from entering African countries.
Working to mitigate these hurdles is Tony Elumelu, the founder of Heirs Holdings Ltd, a private investment corporation that operates in the energy sector. Beyond oil and gas, Elumelu is investing in a far more valuable asset: Africa’s future innovators. His nonprofit organization, the Tony Elumelu Foundation (TEF), empowers young entrepreneurs with the resources they need to build meaningful businesses.
How The Tony Elumelu Foundation Advances Entrepreneurship in Africa
The Tony Elumelu Foundation fosters entrepreneurship in Africa to alleviate poverty and spark economic gains. The TEF Entrepreneurship Programme offers grants and mentorship to innovative African businesspeople, allowing them to transform their ideas into profitable corporations. Endowed with a generous $100 million, the program has already assisted 9,000 individuals in creating businesses that invigorate their entire communities.
The broad scope of TEF’s investments cultivates economic diversification, a key tenet of development and stability. Some of the organization’s recent beneficiaries include:
- Stars From All Nations (SFAN): Headed by Tom-Chris Emewulu, SFAN nourishes young minds through informative programs and workshops. Aimed at augmenting and supplementing children’s schooling, the company is helping to resolve Africa’s undereducation crisis.
- Doctoora: Jubril Odulana, a Nigerian doctor, created Doctoora as a solution to Africa’s limited healthcare access. The platform collaborates with medical professionals to open private practices and ensures patients receive the care they need. In the face of COVID-19, Doctoora plays an essential role in promoting public health across the region.
- Ufinix.com: The brainchild of Nnodim Uchenna, Ufinix.com offers aspiring developers comprehensive coding courses and guidance, preparing them for future careers in computer science. By equipping students with technological knowledge, the website is propelling Africa into the digital age.
- Light Salone: Light Salone founder Mohammed Akamara aims to redress Sierra Leone’s severe energy shortage. In pursuit of this goal, Akamara engineered affordable hybrid solar-wind power sources to electrify rural areas and boost development. Manufactured using recycled supplies, these Sowind Technologies provide a mindful solution to Sierra Leone’s electrical desert.
By supporting young visionaries, the Tony Elumelu Foundation is generating hope, ambition and entrepreneurship in Africa. Its passionate beneficiaries are launching innovative and impactful companies that not only empower their creators but also their communities. The foundation has employed the continent’s most creative, altruistic minds, initiating a cycle of philanthropy that portends Africa’s future prosperity.
– Rosalind Coats