New evidence points to DPI as a catalyst for Africa’s entrepreneurial boom
Leaders across six African markets are being urged to accelerate the adoption of digital public infrastructure (DPI) after a comprehensive survey found that secure digital payment and identification systems could dramatically power trade, reduce startup barriers, and help small ventures scale. The study, released as regional and global discussions about financial inclusion intensify, highlights DPI as a practical driver for economic growth by enabling trusted, seamless interactions between citizens, businesses, and government services.
What DPI means for African businesses
Digital public infrastructure refers to government-backed platforms that securely coordinate digital identity, payments, and data sharing. In the African context, DPI can enable a unified digital identity for individuals and businesses, streamlined Know Your Customer (KYC) processes for financial service providers, and interoperable payment rails that lower the cost and risk of trade. The survey’s six-market scope showcases how these elements work in concert to remove traditional bottlenecks—from registering a business to accessing working capital and integrating with supply chains.
Identity security as a foundation
Reliable digital identification helps entrepreneurs prove who they are quickly, legally, and securely. This reduces delays in licensing, bank onboarding, and cross-border trade. For startups with limited documentation, a digital ID creates a credible profile that can be referenced by lenders, suppliers, and regulators. The survey notes that when identity verification is robust yet accessible, it unlocks a broader pool of participants in the formal economy, especially among first-time business owners and informal traders transitioning to formal markets.
Paying and getting paid securely
Digital payments are central to the DPI argument. The research indicates that interoperable payment systems—supported by trusted digital identity—lower transaction friction, increase transactional security, and reduce the costs of accepting payments from a diverse customer base. For merchants, this translates into faster settlement times, improved cash flow, and greater resilience against fraud. Consumers benefit from safer, simpler experiences that encourage online and offline trade, particularly in regional hubs where informal networks intersect with formal channels.
Trade and growth: the macro benefits
The six markets studied show how DPI can expand trade by enabling easier cross-border logistics, compliant customs processes, and standardized digital records. When businesses can generate verifiable digital footprints, they gain access to credit, insurance, and export markets previously out of reach. The researchers emphasize that DPI is not a silver bullet; it requires strong data governance, privacy protections, and transparent regulatory frameworks. However, with careful design and implementation, DPI can reduce entry costs for new firms and support the scaling of existing small and medium-sized enterprises (SMEs).
Policy implications and next steps
Experts recommend a phased approach to DPI rollout, prioritizing the components with the highest impact—digital identity, secure payments, and data interoperability—while building inclusive ecosystems for fintechs, banks, and government agencies. Collaboration among policymakers, private sector players, and civil society is essential to ensure standards, interoperability, and user trust. Investment in digital literacy and customer protection is also highlighted to maximize the inclusive benefits of DPI across diverse communities and regions.
What this means for aspiring entrepreneurs
For tomorrow’s business founders, the DPI framework could mean easier business registration, access to formal financial services, and more predictable pathways to scale. With secure digital identities and payment rails in place, a budding entrepreneur can focus more on product development, market fit, and job creation rather than navigating cumbersome gatekeepers. The survey’s bottom line is clear: when digital public infrastructure is designed with users in mind, it can unlock a faster, more inclusive path from idea to enterprise in Africa.
