Feature/OPED
Africa’s Data Centre Market Projected to Reach $7bn by 2028
By Divij Ruparelia
Africa’s data centre market is growing at an unprecedented rate, driven by increasing internet penetration, rapid adoption of cloud computing, and soaring demand for digital services. As the continent embraces the digital revolution, the data centre market is projected to reach over $7 billion by 2028, with an annual growth rate (CAGR 2024-2028) of 7%. This growth is not only transforming Africa’s digital landscape but also presenting significant opportunities for investors, technology companies, and local businesses.
The Rise of Internet Users and Cloud Adoption
There has been a significant surge in internet usage across Africa, with the number of users soaring to approximately 645 million in 2023, representing a remarkable 3.5-fold increase compared to 2014 figures. The upward trend is anticipated to persist, with estimates suggesting that by 2029, the African continent will boast an impressive online population exceeding 1.1 billion connected individuals. This rapid growth, coupled with the COVID-19 pandemic accelerating the shift to cloud computing and remote work, has intensified the need for robust data centre infrastructure. As more businesses and individuals rely on digital services, the demand for data storage, processing, and transmission continues to soar, fuelling the expansion of the African data centre market.
Navigating Challenges and Seizing Opportunities
The growth of data centres in Africa presents immense potential, but it also comes with significant challenges. Many current data centres are concentrated in crowded markets where supply outpaces short-term demand. These facilities, often built to hyperscaler specifications to suit the requirements of tech giants like Meta and Amazon, are prohibitively expensive and over-specced for local enterprises and SMEs. The costs associated with these hyper-scaler data centres are simply too high for the vast majority of African businesses, rendering them inaccessible and impractical. Consequently, the largest data centre providers find themselves competing for a limited number of hyperscalers, leading to revenue traction struggles.
To overcome this challenge, a plethora of local providers offering a true local product-market fit with appropriately sized data centres have emerged and are now uniquely well-positioned for success. These local providers understand the financial constraints and specific needs of African businesses and can offer tailored solutions at more affordable prices. By catering to the budgets and requirements of local enterprises and SMEs, these providers can tap into a much broader customer base and achieve more sustainable growth. Moreover, strategic positioning within core data corridors, connecting landlocked countries to sub-sea fibre cables and housing internet exchanges, presents a lucrative market opportunity for these local providers. This approach not only makes data centre services more accessible to African businesses but also contributes to the overall digital growth and transformation of the continent.
Innovating Amidst Power Instability
One of the most significant challenges facing African data centres is the issue of intermittent power and unreliable electricity supply. Many countries in Africa experience frequent power outages, which can be detrimental to the operation of data centres that rely on a constant and stable power supply.
To mitigate this issue, data centre providers are investing in backup power solutions, such as uninterruptible power supply (UPS) systems and diesel generators. However, these solutions can be expensive to operate and maintain, and they also contribute to carbon emissions. Some data centre providers are exploring alternative power sources, such as solar and wind energy, to reduce their reliance on the grid and improve their sustainability.
Another approach is to locate data centres in areas with more reliable power infrastructure, such as industrial zones or near power generation facilities. This strategy can help to minimise the risk of power outages and ensure a more stable power supply for the data centre.
Data Centres at the Crossroads of Connectivity
The growth of Africa’s data centre market is also contingent upon the availability and accessibility of high-speed internet connectivity. Undersea cables play a crucial role in connecting Africa to the global internet, and data centres that are located near these cables can benefit from faster and more reliable connectivity.
Currently, several major undersea cable systems connect Africa to the rest of the world, including the SEA-ME-WE 5, the Africa Coast to Europe (ACE), and the South Atlantic Cable System (SACS). These cables land at various points along the African coastline, such as Cape Town, Mombasa, and Djibouti, and provide high-capacity connectivity to the continent.
Data centre providers are strategically positioning their facilities near these landing points to take advantage of the available connectivity. For example, Wingu Africa with data centres in Djibouti has connections to SMW-3, EIG, EASSy, AAE-1, SEA-ME-WE-5, and Aden-Djibouti and Liquid Intelligent Technologies has established a data centre in Cape Town, which is near several undersea cable landing stations, including the WACS, SAT-3/WASC, and ACE cables.
In addition to undersea cables, the growth of Africa’s data centre market is also dependent on the availability of terrestrial fibre networks. These networks connect data centres to end-users and enable the delivery of high-speed internet and other digital services.
The development of fibre networks in Africa has been uneven, with some countries having more extensive coverage than others. However, there are several initiatives underway to expand fibre coverage across the continent, such as the pan-African fibre network being built by Liquid Intelligent Technologies.
Data centre providers are also investing in their fibre networks to improve connectivity and reduce their reliance on third-party providers. For example, Raxio’s 500-kilometre fibre network in Uganda which connects its data centres to key locations across the country.
Growth Contingent upon FTTx
The availability of fibre-to-the-x (FTTx) networks is critical for driving the adoption of digital services and applications, such as e-commerce, video streaming, and remote work. As more people and businesses in Africa gain access to high-speed internet through FTTx, the demand for data centre services is expected to increase.
However, the deployment of FTTx networks in Africa has been limited, with only a small percentage of the population currently having access to fibre connectivity. This is due to several factors, including the high cost of infrastructure development, regulatory barriers, and limited investment.
To address this challenge, governments and private sector players are investing in initiatives to expand FTTx coverage across the continent and data centre providers are also partnering with FTTx providers to improve connectivity and reach a wider customer base.
Embracing Sustainability and Green Energy Solutions
The issue of reliable power supply remains a persistent challenge for the African data centre market. Many data centres still grapple with fundamental power issues and remain heavily dependent on diesel generators due to grid unreliability. In response, data centre providers that prioritise renewable and sustainable energy solutions are likely to build company value faster and have ultimately more medium-term appeal for investors and acquirers.
Teraco are making significant investments in green data centres powered by renewable energy and employing advanced cooling technologies to reduce energy consumption. In 2021, Teraco raised $680 million in debt funding to finance what they claim will be some of Africa’s largest and most environmentally friendly data centres, adding 100MW in capacity, including a utility-scale renewable energy site. This move reflects the growing importance of sustainability in the data centre industry and the need for operators to align their practices with global ESG standards, which are increasingly becoming a fundamental requirement for many investors and strategics in the sector.
Other data centre providers in Africa are also exploring innovative solutions to address the power challenge. For example, Africa Data Centres, part of Cassava Technologies has announced plans to power its facilities with renewable energy, with a target of achieving carbon neutrality by 2030.
Key Players and Investment Landscape
The African data centre market is populated by a diverse array of players, from local start-ups to global technology giants. As the market has matured over the past three years, consolidation and international strategic interest have become more prevalent, with global entrants such as Digital Bridge and Equinix making their mark.
Equinix, a global leader in data centre services, has established a strong presence in Africa, while Teraco, majority acquired by Digital Bridge in 2022, continues to expand its footprint. Raxio Data Centre, having raised up to $170 million in debt and $46 million in equity financing in 2023, is another key player driving growth in the region. Wingu Africa, supported byAfrica Capitalworks, with data centres built or under construction in Djibouti, Somaliland, Ethiopia, and Tanzania, and IX Africa, supported by Helios Investment Partners, are also making significant contributions to the market’s development.
The influx of over $2 billion in funding for African data centre operators in 2021 alone underscores the immense growth potential and investor confidence in this sector. This surge in investment is driven by the recognition of the critical role data centres play in enabling digital transformation, supporting economic growth, and fostering innovation across the continent.
Emerging Markets and Future Growth
While Johannesburg, Cape Town, Lagos, and Nairobi currently have the most cumulative MW of leased data centre capacity in Africa, a 451 Research report from June 2023 highlights that the fastest-growing markets are Kinshasa, Luanda, Cairo, and Dar es Salaam, with 2022-25 CAGRs of 233%, 64%, 48%, and 45%, respectively. There is hardly anywhere else where such sustained growth is available in what otherwise is a globally maturing market.
This highlights the broadening of the market across the continent, with significant growth potential in previously underserved regions. These emerging markets present a unique opportunity for data centre operators to establish a presence early and capitalise on the growing demand for digital services in these areas. The rise of edge computing, the adoption of 5G networks, and the growing importance of data sovereignty will further drive the demand for localised data centre infrastructure across Africa.
Unlocking Value in the African Data Centre Market
The African data centre market is in the midst of a remarkable growth phase, presenting a wealth of opportunities for investors, technology companies, and local businesses. As local and international players continue to invest in the development of state-of-the-art data centres across the continent, Africa is poised to become a major player in the global digital economy.
The key to unlocking value in this market lies in addressing the unique challenges and opportunities present in Africa. Providers that offer appropriately sized data centres with a true local product-market fit, prioritise renewable energy solutions, and strategically position themselves within core data corridors will be well-positioned for success. As consolidation continues over the next three years, operators that achieve scale and market relevance will be best equipped to capitalise on the $7 billion+ market potential.
By investing in the right players, partnering with local businesses, and embracing sustainable practices, stakeholders can tap into the immense growth potential of this sector and play a pivotal role in shaping Africa’s digital future. As the continent continues to embrace the digital revolution, the African data centre market is set to become a key driver of economic growth, innovation, and social progress.
Divij Ruparelia is the COO at DAI Magister
Feature/OPED
The Hidden Workforce of the 2026 Access Bank Lagos City Marathon
When the final runner crossed the finish line at the 11th edition of the Access Bank Lagos City Marathon (ABLCM), the applause began to fade. But for hundreds of workers across Lagos, the real work was just beginning.
Major highways had been closed to facilitate the event. Tens of thousands of runners moved through the city in a coordinated surge of athletic endurance. Thousands of bottles of water and energy drinks were distributed, alongside sachets containing essential medical supplies and medication. The race route itself was meticulously prepared, lined with banners, barricades, medical tents and precision timing systems that ensured safety, organisation and accurate performance tracking from start to finish.
What followed was the part that a few cameras lingered on, yet it remains one of the clearest indicators of institutional progress.
Within minutes of the race conclusion, coordinated sanitation teams fanned out across the marathon corridor. Their work went beyond sweeping. Waste was systematically sorted. Plastic bottles were separated from general refuse. Sachets were gathered in bulk. Collection trucks moved along predefined routes, ensuring rapid evacuation of waste. Temporary race infrastructure was dismantled with quiet precision.
In a megacity like Lagos, speed is a necessity. Urban momentum cannot pause for long. The ability to restore order quickly after an event of this magnitude reflects operational discipline across interconnected systems, municipal authorities, environmental agencies, private waste management partners and event coordinators.
Globally, large-scale sporting events are no longer evaluated solely by participation numbers or prize purses. Sustainability has emerged as a defining metric. Environmental responsiveness is now a core measure of credibility. Cities seeking tourism growth, foreign investment and international partnerships must demonstrate that scale does not compromise responsibility. The 2026 marathon provided a compelling case study in this evolution.
The clean-up operation itself generated meaningful economic activity. Temporary employment opportunities emerged for sanitation workers and logistics personnel. Recycling partners engaged in material recovery, reinforcing circular economy value chains. What was once viewed as routine waste disposal has evolved into a structured ecosystem of environmental services, a sector of increasing importance in modern urban economies.
This level of sustainability was the result of deliberate planning. Effective post-event recovery requires route mapping, waste volume projections, coordination between sponsors such as Access Bank Plc and municipal bodies, contingency planning for congestion points and clear communication protocols.
Each edition of the marathon has built on lessons from the last. International participation has expanded. Accreditation standards have strengthened. Media visibility has grown. Most importantly, environmental management has become embedded in the marathon’s operational framework rather than treated as an afterthought.
Progress rarely arrives in dramatic leaps, it advances through incremental improvements, refined systems and institutional learning. Just as elite runners close performance gaps through disciplined training, cities strengthen their global standing through consistent operational excellence.
The 2026 marathon, therefore, tells a story that extends far beyond athletic achievement. It is a story of coordination, sustainability as strategy rather than slogan, and the often unseen workforce, sanitation workers, planners, volunteers, security officials and environmental partners, whose discipline sustains the spectacle.
Because in the end, global cities are judged by how well they host and how responsibly they restore. On the marathon day in Lagos, it was the runners who demonstrated endurance and the systems, and the people behind them, who ensured that when the cheering stopped, the city kept moving.
Feature/OPED
N328.5bn Billing: How Political Patronage Built Lagos’ Agbero Shadow Tax Empire
By Blaise Udunze
Lagos prides itself as Africa’s commercial nerve centre. It markets innovation, fintech unicorns, rail lines, blue-water ferries, and billion-dollar real estate. Though with the glittering skyline and megacity ambition lies a parallel state, a shadow taxation regime run not from Alausa, but from motor parks, bus stops, and highway shoulders. They are called “agberos.” And for decades, they have functioned as Lagos’ unofficial tax masters.
What began as loosely organised transport unionism mutated into a pervasive and often violent system of extortion. Today, tens of thousands of commercial buses, over 75,000 danfos according to estimates by the Lagos Metropolitan Area Transport Authority, ply Lagos roads daily. Each bus is a moving ATM. Each stop is a tollgate. Each route is a revenue corridor.
Looking at the daily estimate from their operations, at N7,000 to N12,000 per bus per day, conservative calculations show that between N525 million and N900 million is extracted daily from drivers. Annually, that balloons toward N192 billion to N328.5 billion or more, money collected in cash, unreceipted, unaudited, unaccounted for. This illicit taxation on an industrial scale did not emerge in a vacuum.
The reality today is that to understand the scale of the problem, one must confront its political history. It was during the administration of Bola Ahmed Tinubu as Lagos State governor from 1999 to 2007, who is now the President, that the entrenchment of transport union dominance and motor park patronage deepened.
Under his political machine, transport unions became not just labour associations but mobilisation structures, formidable grassroots networks capable of crowd control, voter turnout engineering, and territorial enforcement. In exchange for political loyalty, street influence translated into operational latitude.
Motor parks became power bases. “Area boys” became enforcers. Union leadership became politically connected. What should have been regulated associations morphed into revenue-generating franchises with muscle.
The system outlived his tenure. It institutionalised itself. It professionalised. It is embedded in Lagos’ political economy.
And today, it thrives in broad daylight. Endeavour to visit Ajah under bridge, Ikeja under bridge, or Mile-2 along Ojo at 6:00 a.m. Watch drivers clutching crumpled naira notes. Observe men in green trousers and caps marked NURTW weaving between buses, collecting what drivers call òwò àrò, or evening as òwò iròlè money taken from passengers.
A korope driver shouts, “Berger straight!” His bus fills. The engines rumble. But before he moves, he must pay. If he refuses? The side mirror may disappear. The windscreen may crack. The conductor may be assaulted. The vehicle may be blocked with planks, and if they resist, the conductor or driver may be beaten. Movement becomes impossible. It is not optional.
This is common across Lagos, especially amongst drivers in Oshodi, Obalende, Ojodu Berger, Mile 2, Iyana Iba, and Badagry, and describes a three-layered structure ranging from street collectors, area coordinators, and union executives at each location. Daily targets flow upward. Commissions remain below.
One conductor disclosed he budgets at N8,500 daily for louts alone, excluding fuel, delivery to vehicle owners, and official tickets. Another driver says he parts with nearly N15,000 in total daily levies across routes.
Of N40,000 collected on trips, barely N22,000 survives before fuel. Sometimes, drivers go home with N3,500. Working like elephants. Eating like ants. The impact extends far beyond drivers.
Every naira extorted is transferred to commuters. An N700 fare becomes N1,500. A N400 corridor becomes N1,200 in traffic, and this is maintained even after fuel prices fall; fares rarely decline. The hidden levy remains.
Retail traders reduce stock purchases because transport eats profits. Civil servants watch salaries stagnate while commuting costs climb. Market women complain that surviving Lagos costs more than living in it.
This is not just a transport disorder. It is inflation engineered by coercion. Economists call it financial leakage, money extracted from the productive economy that never enters the fiscal system. Billions circulate annually without appearing in government ledgers. No roads are built from it. No hospitals funded. No schools renovated.
It is taxation without development. Small and Medium Enterprises form nearly half of Nigeria’s GDP and employ the majority of its workforce. In Lagos, they are under assault from informal levies layered on top of official taxes. Goods delivered by bus carry hidden transport premiums. Commuting staff face higher daily costs. Inflation ripples through supply chains.
The strike by commercial drivers in 2022 exposed the depth of resentment. Under the Joint Drivers’ Welfare Association of Nigeria (JDWAN), drivers protested “unfettered and violent extortion.” Lagos stood still. Commuters trekked. Appointments were missed. Businesses stalled.
Drivers alleged that half of their daily income vanished into motor park collections.
Some who protested were attacked. Yet the collections continued.
Drivers insist daily collections at single corridors can exceed N5 million. Park chairmen allegedly control enormous cash flows. Uniformed collectors operate with visible confidence.
Meanwhile, the Lagos State Government denies sanctioning any roadside extortion. Officials describe the tax system as institutionalised and structured. They promise reforms through Bus Rapid Transit, rail expansion and corridor standardisation. Yet the shadow toll persists.
Contrast this with Enugu State, where Governor Peter Mbah introduced a Unified e-Ticket Scheme mandating digital payments directly into the state treasury. Paper tickets were banned. Cash collections outlawed. Revenue flows are traceable. Harassment criminalised.
Drivers in Lagos say openly that they should be given a single N5,000 daily ticket paid directly to the government, and end the chaos. Instead, they face multiple actors, agberos, task forces, and traffic officials, each demanding settlement.
The difference is in governance philosophy. One digitises and centralises revenue to eliminate leakages.
The other tolerates fragmentation that breeds shadow collectors. The uncomfortable truth is that the agbero structure is politically sensitive. Transport unions are not just labour bodies; they are political instruments. They mobilise during elections. They maintain territorial presence. They command street loyalty. In return, they are allegedly tolerated, protected, or absorbed into broader political structures as they turn into war instruments and a battle axe in the hands of the government of the day. The underlying reality is that the agbero who are the street-level power structures and the government authorities benefit from each other; the line between unofficial influence and official governance becomes unclear, making reform politically sensitive.
The issue is not merely about street disorder; it is about economic governance. Illicit taxation distorts pricing mechanisms, reduces productivity, discourages the formalisation of businesses, and weakens public trust. If citizens are compelled to pay both official taxes and unofficial levies, compliance morale declines. Why comply with statutory taxation when parallel systems operate unchecked?
Dismantling them is not merely administrative; it is political. Perhaps unbeknownst to the people, the cost of inaction is immense. Lagos aspires to be a 21st-century smart megacity under such an atmosphere. But investors notice informal roadblocks. Businesses factor in unpredictability. Commuters absorb unofficial taxes daily. Across Lagos roads, the script repeats “òwò mi dà,” meaning, give me my money.
Passengers plead with collectors to reduce levies so they can proceed. Conductors argue over dues before departure. Citizens feel hostage to a system they neither elected nor authorised.
Taxation, constitutionally, belongs to the state. It must be legislated, receipted, audited and deployed for the public good.
Agbero taxation is none of these. It is coercive. It is not transparent. It is extractive. Lagos has launched rail lines and BRT corridors. The Lagos Metropolitan Area Transport Authority continues transport reforms. Officials promise that bus reform initiatives will eliminate unregistered operators. But reform cannot be selective. You cannot modernise rail while medieval tolling persists on roads. You cannot preach digital governance while cash collectors flourish at bus stops. You cannot aspire to global city status while informal muscle dictates movement.
The solution is not episodic arrests. It is a structural overhaul: mandatory digital ticketing across all parks; a single harmonised levy payable electronically; an independent audit of union revenue; protection for drivers who resist illegal collections; and political decoupling of unions from patronage networks.
The agbero empire is not merely about bus fares. It is about how patronage systems, once empowered, metastasise into parallel authorities. What may have begun as strategic alliance-building two decades ago has matured into a shadow fiscal regime embedded in daily life.
The challenge is that Lagosians are left with no choice as they now pay twice, once to the government, once to the streets. And unlike official taxes, shadow taxes leave no developmental footprint. No bridge bears their name. No hospital wing testifies to their billions. No classroom is built from their collections. Only inflated fares. Broken windscreens. Frustrated commuters. And drivers who sweat under the sun, calculating how much will remain after everyone has taken their cut.
The agbero question is ultimately a governance question. Is Lagos governed by law, or by tolerated coercion? Is taxation a constitutional function, or a roadside negotiation? Is political convenience worth permanent economic distortion? What is absolutely known is that the structure has a political backing and what politics created, politics can dismantle.
Unless meaningful reform takes place, Lagos will continue to remain a megacity with a shadow treasury, where movement begins not with ignition, but with payment to men who answer to no ledger without any tangible returns. This is to say that every danfo that moves carries not just passengers, but the weight of a system that taxes without law, collects without accountability and punishes the very people who keep the city alive.
Blaise, a journalist and PR professional, writes from Lagos and can be reached via: bl***********@***il.com
Feature/OPED
How to Nurture Your Faith During Ramadan
Many Muslims grow up learning how to balance life carefully. Faith, work, and responsibility all sit on the same scale, and during Ramadan, that balance becomes even more delicate. Days start earlier than usual, nights stretch longer, and energy is spent with intention.
Over time, this rhythm shapes more than schedules; it quietly shapes how Ramadan is experienced.
Between getting ready for work, navigating long days, preparing meals for iftar, observing prayers, and trying to rest, moments for reflection are often pushed to the side. When there’s finally time to pause, many people assume meaningful Islamic content requires complete silence, full attention, and emotional space, things that can feel scarce during the month.
They scroll past channels they believe may be too formal, or not suited to their everyday routine. They stick to what feels familiar, even if it doesn’t quite align with the spirit of the season and without realising it, they limit themselves.
What many don’t know is that content designed for moments like these already exists on GOtv. The Islam Channel offers programming that understands Ramadan as it is truly lived.
On the Islam Channel, viewers can find thoughtful discussions that explore faith in a way that feels relevant to modern life, educational programmes that break down Islamic teachings clearly and calmly, and inspiring shows that encourage reflection without feeling overwhelming. There are conversations that can play softly in the background while you’re cooking, reminders you can catch while getting dressed for work, and programmes that help you unwind gently after a long day of fasting.
What sets the channel apart is how it personalises Islamic themes, making them accessible not just during prayer time, but throughout the day. Its content is created to inform, reflect, and inspire, whether you’re actively watching or simply listening as life continues around you. And while it speaks directly to Muslim audiences, it also remains open and welcoming to non-Muslims interested in understanding Islamic values, culture, and everyday perspectives.
During Ramadan, television often becomes part of the atmosphere rather than the focus. And having access to content that aligns with the season can quietly enrich those in-between moments, the ones that often matter most.
This Ramadan, the Islam Channel is available on GOtv Ch 111, ready to meet you wherever you are in your day.
And here’s the exciting part: with GOtv’s We Got You offer, you can enjoy your current package and get access to the next package at no extra cost. There’s never been a better time to hop on and get more shows, more suspense, and more entertainment, all for the same price!
To upgrade, subscribe, or reconnect, download the MyGOtv App or dial *288#. For watching on the go, download the GOtv Stream App and enjoy your favourites anytime, anywhere.
-
Feature/OPED6 years agoDavos was Different this year
-
Travel/Tourism10 years ago
Lagos Seals Western Lodge Hotel In Ikorodu
-
Showbiz3 years agoEstranged Lover Releases Videos of Empress Njamah Bathing
-
Banking8 years agoSort Codes of GTBank Branches in Nigeria
-
Economy3 years agoSubsidy Removal: CNG at N130 Per Litre Cheaper Than Petrol—IPMAN
-
Banking3 years agoSort Codes of UBA Branches in Nigeria
-
Banking3 years agoFirst Bank Announces Planned Downtime
-
Sports3 years agoHighest Paid Nigerian Footballer – How Much Do Nigerian Footballers Earn










