Geia sas,
Victoria from Techpoint here,
Here's what I've got for you today:
- DRC cancels $1.2 billion biometric ID project
- Are side hustles a trap?
- MTN Cameroon to push on amid legal battles
DRC cancels $1.2 billion biometric ID project
The Democratic Republic of Congo (DRC) recently pulled the plug on a $1.2 billion project to establish a national biometric ID system after concerns about financial irregularities came to light.
The project, which was supposed to be handled by French biometrics company Idemia, was cancelled on August 12, 2024, following discussions between various government agencies and the Idemia-Afritech partnership.
This decision came shortly after a Bloomberg and Lighthouse investigation revealed some shady financial dealings tied to the project.
Originally, the DRC’s National Office for Population Identification (ONIP) estimated the system would cost around $360 million, but the final contract with Idemia and Afritech was set at a whopping $1.2 billion—over three times the initial estimate.
The investigation suggested that the project’s pricing was massively inflated, raising fears that the whole thing could be a scam. Even the World Bank had refused to fund it earlier, citing concerns about the lack of a competitive bidding process, which only added to the doubts surrounding the deal.
The DRC has struggled with its national ID system for years. Before last year’s attempt to roll out biometric ID cards, the last time the country issued identity cards was back in the 1980s, but that effort was never fully completed. Consequently, many citizens have had trouble accessing basic services like opening bank accounts and registering to vote.
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Despite the project’s cancellation, ONIP announced on August 23, 2024, that they plan to start issuing National ID cards again soon. For many people in the DRC, these cards are their only form of official identification, as passports and driver's licenses are rare.
Are side hustles a trap?
Job security isn’t what it used to be. Gone are the days when sticking with one employer for life was the norm. Today, job stability feels like a distant dream, thanks to economic ups and downs, rapid tech changes, and fierce global competition for talent.
This uncertainty has fueled the rise of "hustle culture," which started in the early 2010s as a badge of honour for those grinding it out in the business world, especially in startups. But hustle culture has gone beyond just entrepreneurship. Nowadays, it's part of everyday life as people look for ways to make ends meet.
Side hustles have become the go-to solution for many, offering a way to boost income, gain financial independence (or at least the idea of it), and reduce the risk of relying on just one paycheck. Whether it’s freelancing, part-time gigs, or something else, side hustles are all about self-reliance and personal achievement. But at what cost?
In the latest episode of Modern Workplace Conversations, Oluwanifemi dig into whether people are truly winning with side hustles, or if they’re paying a bigger price than they realise.
She explores the impact on health, productivity, quality of work, and reputation. To find out who's really coming out on top in the hustle culture, and what it means for you, check Oluwanifemi’s latest story here.
MTN Cameroon to push on amid legal battles
MTN Cameroon is facing tough times as it battles a court-ordered freeze on its bank acc.ounts, but the company is determined to keep operating in the country.
The acc.ounts, holding over 14 billion CFA francs (about $23.72 million), have been frozen since September 2022 due to a legal dispute between South Africa's First National Bank (FNB) and Cameroonian business mogul Ahmadou Baba Danpullo.
How did we get here? The whole mess started when FNB liquidated Danpullo's properties in South Africa after he defaulted on a real estate loan. In response, Danpullo decided to go after other South African businesses in Cameroon, including MTN.
Danpullo argues that South Africa's Public Investment Corporation (PIC), which owns shares in FNB, also has significant investments in MTN Cameroon and Chococam. But MTN Cameroon has made it clear they have nothing to do with this dispute.
The company insists that PIC is not a shareholder in MTN Cameroon, and its shareholders are well-known in Cameroonian courts. MTN Cameroon's CEO, Mitwa Ng'ambi, expressed frustration over being dragged into a situation they had no part in, saying it has severely impacted their operations and distracted them from their mission of providing digital solutions in the country.
Ng'ambi highlighted that the frozen funds, vital for daily operations, have made it extremely challenging to keep up with payments to their 800 employees and 200,000 distribution agents.
The situation has forced MTN into multiple legal battles as they contest the court's decision. The case disrupts MTN's business and raises concerns about Danpullo's power, potentially putting other South African companies in Cameroon at risk of similar legal troubles.
Despite these challenges, MTN remains committed to seeking legal resolution and hopes to correct what they see as an "imminent miscarriage of justice."
For now, MTN Cameroon is staying the course, fighting to protect its interests while navigating the legal complexities in Cameroon.
In case you missed them
- South Africa’s Telkom to sell its over $350 million mast and tower business to UK-based Actis
- "Corporate governance should not be portrayed as a burden for startups" — Dotun Olowoporoku, Managing Partner, Ventures Platform
What I'm watching
- Zimbabwe: How NOT To Run an Economy
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Have a terrific Thursday!
Victoria Fakiya for Techpoint Africa.
