Making Africa’s Creative Sector Bankable

Creative Economy Developments in Africa

African artists are increasingly integral to the global economy , from topping international music charts to influencing global fashion and film industries. However, translating this cultural influence into sustainable income and financial access has been challenging.

Recent developments indicate potential change. New policy initiatives, including G20 declarations and legal reforms in Nigeria, are paving the way for a more robust creative economy. Central to these reforms is the recognition of intellectual property—such as music catalogues, film rights, and brand equity—as viable financial assets.

By allowing creators to use their intellectual property as collateral, these policies aim to unlock financing, attract institutional investment, and ensure sustained financial growth for artists and creative entrepreneurs.

Creative industry expert Audu Maikori highlights ongoing challenges. Africa's diverse legal systems pose difficulties in establishing a unified copyright framework, suggesting regional approaches may offer better protection. Additionally, African artists often face risks in international contracts due to insufficient legal protections.

Beyond policy changes, experts advocate for practical solutions such as improved contract literacy, stronger collective management organizations, and enhanced access to legal and financial advisory services to help creators monetize their work effectively.

While creativity unlocks new economic opportunities, Africa's urban areas face challenges from rapid growth. Dar es Salaam, Tanzania's commercial hub with nearly six million residents, is expanding rapidly. However, its transport infrastructure is struggling to match this growth, leading to severe traffic congestion that impacts productivity and increases business costs.

The World Bank projects that Dar es Salaam will become a megacity with over ten million residents in the near future. Without substantial investments in transport systems, urban planning, and congestion management, the city's economic pressures could intensify, affecting trade, labor mobility, and competitiveness.

Africa's financial landscape is undergoing significant transformation, largely driven by mobile money platforms. MTN's recent financial results highlight that mobile money has evolved from a supplementary service to a fundamental component of Africa's financial system.

In 2024, Sub-Saharan Africa reached a milestone with over 1.1 billion registered mobile money accounts , representing more than half of the global total. Telecom operators, once considered peripheral to the finance sector, now surpass traditional banks in terms of customer reach, transaction volumes, and financial inclusion.

Mobile money services are reshaping financial access and usage across the continent, covering payments, savings, credit, and insurance. As telecommunications companies solidify their dominance, regulators and banks face increasing pressure to adapt to this technology-driven financial landscape.

Based on reporting by Africanews.