Manao ahoana,
Victoria from Techpoint here,
Here's what I've got for you today:
- CBK grants 7 digital lenders licences
- Most developing countries lag in AI readiness
- MTN to challenge Vodacom's lawsuit over spectrum pooling
CBK grants 7 digital lenders licences
The Central Bank of Kenya (CBK) has licensed seven new Digital Credit Providers (DCPs), bringing the total to 58. This follows earlier batches, with 19 licensed in March 2024 alone.
Since March 2022, the CBK received 550 applications, showing a growing interest in the sector.
The CBK emphasised rigorous reviews of applicants, collaborating with regulators like the Data Protection Commissioner to ensure compliance with laws and protect consumer interests. They focused on business models and the suitability of shareholders, directors, and management.
Some applicants are still in the pipeline, pending the submission of the required documents. This hints at more licences to be issued soon if they meet all criteria, as the CBK awaits documentation to complete their assessments.
The move to regulate DCPs stems from public concerns over high costs, unethical debt collection practices, and misuse of personal data by unregulated operators. Tanzania and Nigeria are also tightening regulations on loan apps, responding to similar issues.
Beyond DCPs, Kenya's central bank is looking to expand its payment market by issuing licences to fintech startups like Flutterwave and Chipper Cash, which are eyeing opportunities in the country's growing fintech space.
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MTN to challenge Vodacom's lawsuit over spectrum pooling
Remember this? Vodacom sues MTN for “spectrum pooling”
Yesterday, MTN South Africa announced plans to contest Vodacom's lawsuit, which claims that MTN's spectrum pooling agreements with Cell C and Liquid Intelligent Technologies are illegal.
What happened? In May 2024, Vodacom sought an interdict against the communications regulator, Icasa, to stop MTN's "secret" spectrum pooling deals. Vodacom argued that these arrangements, which allegedly gave MTN a competitive edge, were approved in secret by Icasa, violating the law.
MTN’s response? The South African regulatory framework allows such agreements.
Per a statement from the telco, MTN and its partners followed the Electronic Communications Act procedures and received Icasa's approval. MTN has also filed a response in the high court in Pretoria against Vodacom's lawsuit.
So, MTN dismissed Vodacom's claims of secrecy, stating that it was transparent about its decision to pursue pooling agreements with other mobile network operators.
However, Vodacom's suspicion about MTN's network speed advantage led them to investigate, according to an affidavit filed by Andrew Barendse, Vodacom's managing executive for regulatory affairs.
Vodacom concluded that MTN was using spectrum beyond what it was licensed for by allegedly sharing spectrum with Cell C and Liquid, giving MTN an unfair advantage.
In response, MTN confirmed its spectrum-sharing practices but argued that Vodacom's interdict, if successful, would degrade MTN's network quality, affecting a significant portion of the population.
MTN contends that Vodacom has not provided sufficient evidence for the interdict and believes the request should be dismissed. Meanwhile, Cell C has also announced plans to oppose Vodacom's interdict, asserting that the regulator followed the correct legal processes.
Most developing countries lag in AI readiness
The latest International Monetary Fund (IMF) report says Nigeria and other developing countries aren't set up for AI despite Nigeria's new strategy and launching its first Multilingual Large Language Model in April 2024.
The report tracks 174 economies, showing most aren't ready due to weak digital infrastructure.
Most African countries, except Namibia, Botswana, and South Africa, are flagged in yellow on the map, showing they're not ready for AI. The IMF says richer nations are leading in AI and cautions it could widen global inequality if not managed properly.
AI could enhance skills, productivity, and opportunities, but the IMF warns older workers might struggle to keep up. It advises developing economies to invest in digital infrastructure and training to get ready for AI.
Policymakers in advanced economies are encouraged to expand social safety nets, invest in worker training, and prioritise AI innovation. Additionally, global coordination is needed to strengthen AI regulations, protect people from potential risks, and build trust in the technology.
In April 2024, Nigeria's Ministry of Communications, Innovation, and Digital Economy enlisted 120 AI experts to craft Nigeria's National AI Strategy. They also launched the country's first Multilingual Large Language Model (LLM) with partners like Awarritech, DataDotOrg, NITDA, and NCAIR.
Meanwhile, Zambia is working on establishing its AI framework. The government is teaming up with the Tony Blair Institute to develop an AI Strategy aimed at boosting technological advancements in the country.
In case you missed it
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What I'm watching
- the NEED for Acceptance Will Make You INVISIBLE - Jim Carrey
- Why People Prefer More Pain
- A Brief (Scientific) History of Butts
Opportunities
- Paystack is hiring for several roles in Kenya, South Africa, Nigeria, and Ghana. Apply by July 7, 2024 here.
- Techpoint Africa is looking for three editorial assistants. Apply here.
- Ventures Platform has over 100 job openings across its portfolio companies. Apply here.
- Earna is looking for a Product Marketing Manager. Apply here.
- Moniepoint is hiring for 70 positions in the United Kingdom and several Nigerian states, including Lagos, Abia, and Anambra. Check them out here to apply.
- Explore this website to find multiple job opportunities in Data that align with your preferences.
- If you are a software engineer, creative designer, product manager, design researcher, or a techie looking for an internship role, please, check out this website.
Have a fun weekend!
Victoria Fakiya for Techpoint Africa.
