Innovation key to national success

A mobile subscriber withdraws money through M-Pesa in Nyeri on May 2, 2016. The success of M-Pesa is rooted in the fact that the innovators took time to understand the Kenyan market. PHOTO | JOSEPH KANYI | NATION MEDIA GROUP

What you need to know:

  • President Uhuru Kenyatta underscored how innovation is right at the core of Kenya’s transformation.
  • Kenya also has a key role in steering the pursuit for a single digital economy through the Smart Africa initiative.

Occasionally, I like completing the simple crossword puzzles.

A question that I have come across quite often is, “An active volcano in Sicily”, whose answer is “Etna”.

This had remained a mythical place to me and I had never given it any thought beyond it being an answer to a crossword puzzle.

VEGETATION

That is until I found myself recently taking in the breathtaking view and the silhouette of Mount Etna in Sicily, the largest island in the Mediterranean sea, located in the south of Italy.

Mount Etna is Europe’s tallest and most active volcano.

Its rich history through Arab, Greek, Viking, Muslim and Roman influences is evident in its culture, food, art, music and architecture.

The island has lush vegetation due to the rich volcanic soils from the nutrient-rich magma spewed by Mount Etna.

GLOBAL SUMMIT
However, I could not help but be more enthralled by the bigger mission that took me to Sicily — the 43rd G7 summit.

Kenya’s invitation to the summit alongside Ethiopia, Niger, Nigeria, and Tunisia was a proud moment and statement speaking to our visibility and relevance in the world, particularly in matters innovation.

In his address to the summit, President Uhuru Kenyatta underscored how innovation is right at the core of Kenya’s transformation.

The rapid technological innovations can be easily likened to Mount Etna’s eruptions, in that they are constantly disrupting traditional systems and processes once deemed solid.

ONLINE BANKING

Companies are competing relentlessly to offer innovative solutions aimed at enhancing customer experiences.

Such is the aggressive demand for innovation that the once solid banking sector is also adopting fintech, as evidenced through many recent product launches, which make it easier to offer services through mobile or online platforms.

The use of data to make wise business decisions is on the rise and there is an increasing awareness of the need for companies to set aside budgets to cater for data protection and cyber security.

MOBILE MONEY
The success story of M-Pesa in securing Kenya’s position as the global leader in mobile money has been retold over and over again in both local and global arenas.

The success of this innovation is rooted in the fact that the innovators took time to understand the Kenyan market.

Their simplistic Unstructured Supplementary Service Data approach, otherwise known as the USSD code, ensures service delivery to the common mwananchi based in the remotest part of the country, operating a feature phone that is probably powered by solar energy.

While the M-Pesa innovation continues to metamorphose to cater for smart devices, USSD has not been eliminated, as it is a reliable backup where Internet connectivity is lacking.

SOCIAL MEDIA

This provides an all-inclusive support mechanism that the fintechs and other companies are fast learning from.

Innovation, through social media also shapes topical conversations, particularly amongst youth.

An army of Kenyans on Twitter (Kot) can create a loud buzz and influence conversations that even find their way into the mainstream media locally and internationally, as we saw during former US President Barack Obama’s visit last year, with the hashtag “someonetellCNN”.

Through the Digital Literacy Programme, education has been equalised and children will be inspired to innovate from a tender age.

DIGITAL ECONOMY

Kenya also has a key role in steering the pursuit for a single digital economy through the Smart Africa initiative.

With a membership of 21 African countries, the Smart Africa initiative can be augmented as the innovation platform that will inch Africa closer to the dream of harnessing and tapping into its one billion market.

The delisting of Access Kenya from the securities market in 2013 saw Safaricom remaining as the only listed firm in the telecommunication and technology category.

The Smart Africa market will provide an avenue for local firms to innovate further and sustain themselves through large-scale penetration in the continent.

TECHNOLOGY

Once this happens, the success being witnessed by giant e-commerce and technology firms such as Alibaba and Wechat can be replicated.

There is no reason Kenya cannot be at the epicentre of all this.

Just as the mighty Mount Etna sizzles beneath before emitting its boisterous magma, so should Kenya continuously exude its might and stir up the docile energy that lies in Africa, and shape up global conversations on innovation.

Mr Mucheru is the Cabinet Secretary for Information, Communications and Technology.