Nigeria Named One of The Best Countries For Online Business in Africa

Nigeria Named One of The Best Countries For Online Business in Africa

  • Nigeria has emerged as one of the best countries in Africa where online businesses thrive in a large scale
  • A recent report ranked the country in the 7th position as stated that the country's youth population is a boost
  • According a United Nation's report, Mauritius is a leading country in Africa where e-commerce thrives

Nigeria has been named one of the best countries in Africa to start an online business.

The booming youth population in the country, the presence of smartphones and improved internet access have placed Nigeria as one of the leading countries in Africa where online businesses thrive.

Africa, online
Nigeria one best countries in Africa for online Credit: Tara Moore
Source: Getty Images

Electronic commerce in Africa has witnessed great growth last year.

Massive growth of e-commerce in Africa

According to reports, there was a 55 per cent spike in online retail spending just as the volume of downloads and installations of e-commerce apps on both Android and iOS also went up sharply at 55 per cent.

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Top 10 African countries with lowest unemployment rates

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These portend positive indicators for the continent despite the nascent nature of the e-commerce space. Interestingly, the growth trajectory is expected to increase in the coming years, according to Statista.

The factors influencing the e-commerce ecosystem have been attributed to the tech-savvy population, the continent's growing internet access and widespread digital payment platforms.

According to the United Nations Conference on Trade and Development (UNCTAD) Business-to-Customer (B2C) E-Commerce Index of 2020, Mauritius tops the list of African countries where e-commerce thrives.

How the countries are ranked

The UNCTAD index ranks 152 nations based on their readiness for online shopping, worth an estimated $4.4 trillion globally in 2018. This is an increase of 7 per cent from the year before.

Countries are ranked based on access to secure internet servers, reliability of portal services and availability of infrastructure and the size of their population with access to the internet with accounts in financial institutions as well as mobile money providers.

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Top 5 businesses that are growing really fast In Africa

The countries saw their scores surge by at least five points, mostly because of significant improvements in the reliability of portal services.

The top 10 countries

  • Mauritius - 58.4
  • South Africa - 56.5
  • Tunisia - 54.6
  • Algeria - 52.2
  • Ghana - 51.9
  • Libya - 49.7
  • Kenya - 49.0
  • Nigeria - 46.2
  • Morocco - 44.8
  • Senegal - 44.1

Top 10 African countries with lowest unemployment rates

Legit.ng reported that unemployment remains a big challenge on the African continent. The most affected are the youths in the continent whose demography is the hardest hit.

According to recent reports, youth unemployment stands at about 60 per cent in Africa.

A report released in 2017 by UN’s Renewal Magazine cautioned that Africa’s Youth unemployment problem had cast a dark shadow over its economic growth.

Source: Legit.ng

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