In combining all of the salient features of each of the above facets of
the IT industry in Senegal, a multi-dimensional view o
Strengths and Weaknesses
In
combining all of the salient features of each of the above facets of the IT
industry in Senegal, a comprehensive view of Senegal’s comparative advantages
as an international provider of IT products and services begins to emerge.
Strengths
The first and, in
my opinion, the most important strength is the strong support of the President
of the Republic of Senegal.Indeed, the President has
strongly supported the development of ICTs in Senegal, and continues to do so via its political
agenda.I believe the reason for his
support is based on the fact that ICTs represent a
strong component of the New Partnership for Africa’s Development (NEPAD) (http://www.touchtech.biz/nepad/).This initiative has been of the highest
importance for the President.The second
most important factors are the politically and socially stable environments the
country has benefited from.
Thirdly, research
has shown that Senegal has one of the most advanced telecommunications
infrastructure in Africa (see “Telecommunications in Senegal”).A strong
infrastructure is a sine qua non condition
to a strong ICT sector.Indeed, this
strength will facilitate the development of wireless and similar technologies,
which rely heavily on the telecommunication infrastructure.
Fourthly, the
geographic location of Senegal makes the country a perfect port of entry to the
African continent.Indeed, Senegal is located of the Western African coast, and the
government plans on building a better equipped port in the future.Also, an international airport, which will
meet international standards, is currently under construction.However, there is a lot of controversy
surrounding the construction of the airport (add sources).
Fifthly, Senegal labor rates are very competitive, and make Senegal an attractive country to invest in.Finally, my research has shown that Senegal consistently ranked among the top five countries in
Africa in terms of development in Information and
Communications Technologies.
I believe that Senegal would be a good pilot-test for multinationals which
wish to set a foot on the African continent.In addition to its infrastructure, Senegal benefits from a very diverse population.Indeed, I consider that one can find most of
the African nationalities in the Senegal.This is due
to, in part, to the Senegalese concept of “Teranga”.The
concept centers on a philosophy that welcomes other nationalities to share the
Senegalese culture.The Senegalese individual
is known to be very welcoming.
This section
reinforces the fact that Senegal presents the basic factors necessary to guaranty a
successful investment, however the country also presents weaknesses that any
investor would like to be aware of.
Weaknesses
The lack of education and support systems to support
the development of competitive IT companies is one of the flaws that the
country presents.Even though the
education system has started to produce a competent IT workforce, and gears the
education at lower level towards the use of computers and the Internet, the
supply is still insufficient.
Secondly, the Internet is still a product for the
“rich” in Senegal.The price
and availability of Internet technology and services is still out of the range
of a large part of the population.I
believe this is due in part to the monopoly Sonatel
has in the country until 2007.Related
to the previous weakness is the diffusion of Internet technologies in the rest
of the country.A problem lies in the
outreaches of the city limits, where connectivity to the Internet is not as
easy to achieve.Senegal is a country where most businesses that would need
connection to high speed Internet connectivity or advanced information and
technology services and or products would reside in or around Dakar. Its capital is by far its main economic
force. It is a hub of businesses ranging from financial services to
information technology.IT penetration
in government ministries is also relatively low, in general, with several
specific exceptions such as Defense.
Finally, the high tariffs on locally produced goods
are definitely a turn-off to investors who wish to invest directly in the
country.The tariffs hinder the
country’s ability to host multinational manufacturing firms that attempt to
outsource their labor in under-developed countries.In other words, they (the tariffs) take away
the opportunity to create jobs in the country.
The weaknesses presented above have allowed me to
identify some opportunities, among many others, that would help Senegal bridge the gap with more developed countries such
as India, and therefore increase the competitiveness of Senegal in Africa and in the world.
Opportunities
In terms of education, I believe that new Internet
technologies such as E-learning, or E-training initiatives should be encouraged
to be able to provide the Senegalese population with access to Western skills.Programs such as the collaboration with
American universities (see IT Labor) will allow individuals to gain foreign
diplomas from the comfort of their own countries.Along with Internet technologies, Foreign
Direct Investments should be encouraged to benefit from foreign technical
expertise.As a result, Senegaleses will gain significant technical skills marketable
on the world job market.
Secondly, the Senegalese government should work
towards providing increasing access to Internet in households at advantageous
prices.We will not know until 2007 the
effects that a potential opening of the telecommunication industry will have on
the local demand for Internet and wireless services.
Finally, with the development of local manufacturing
facilities in Senegal such as “Cati”, I believe
that the Senegalese population will have access to affordable PCs, and
consequently increase the market penetration of PCs in homes and businesses,
which is still very low.
Conclusion
It is unrealistic at this stage of the game to
consider Senegal as a potential competitor to economies such as India, Russia, or China for instance.However, it is realistic to consider the country to be a potential
leader on the African continent in the Technologies of Information and
Communication arena, and an active participant in the achievement of a panafricanist ideology which aims to bring all the African
countries to a higher level of cooperation and economic development.
As in most of the African countries, the government
can be both a catalyst and an inhibitor of development.I hold the strong belief that the government
should encourage the development of the ICTs sector,
while taking into consideration the realities of the country.Indeed, agencies that are created to protect
the consumers should be given enough power to intervene in the event of an
abuse by the government or local firms.Moreover,
they should be free from any political pressure.I also believe that the ICTs
sector should be protected in Senegal because of its infancy, to allow enough time to
develop.However,
protection initiatives should be well thought of because too much protection
would go against the principles of the WTO, which aims to increase trade
between its member countries.
Finally, it is important to recognize the role of
NGOs in Senegal, because of the considerable help they have already
provided in the development of the ICT sector.
