General
Decline in Africa’s Business Environment Index Worrying–Report
By Modupe Gbadeyanka
A new report released on Monday by the Mo Ibrahim Foundation has expressed serious concerns about the declining Business Environment index in Africa, which it said runs counter to the growing working age population of the continent.
The 2018 Ibrahim Index of African Governance noted that the African average score for Business Environment went down by almost -5.0 points over the last 10 years, emphasising that “this is a worrying trend given that the number of working age Africans (15-64 years old) is expected to grow by almost another 30 percent over the next 10 years.”
According to a statement made available to Business Post on Tuesday, “This will increase demand for jobs in an environment where on average progress in Sustainable Economic Opportunity is almost non-existent. Such demographic figures create a further striking contrast with the drop of -3.1 points in Satisfaction with Employment Creation since 2008.”
The report further said, “Additionally, the indicator measuring Promotion of Socio-economic Integration of Youth registers an average continental decline of -2.3 over the last decade.”
The 2018 Ibrahim Index of African Governance pointed out that public governance progress in Africa was lagging behind the needs and expectations of a growing population, composed mainly of young people.
For example, the report said over the last decade, Overall Governance has on average maintained a moderate upward trajectory, with three out of four of Africa’s citizens (71.6%) living in a country where governance has improved.
African governments have struggled to translate economic growth into improved Sustainable Economic Opportunity for their citizens
Since 2008 the African average score for Sustainable Economic Opportunity has increased by 0.1 point, or 0.2%, despite a continental increase in GDP of nearly 40% over the same period.
There has been virtually no progress in creating Sustainable Economic Opportunity, meaning it remains the IIAG’s worst performing and slowest improving category.
Defined as the extent to which governments enable their citizens to pursue economic goals and prosper, the almost stagnant Sustainable Economic Opportunity trend strikes a concerning contrast with demographic growth and youth expectations. Africa’s population has increased by 26.0% over the last ten years and 60% of the continent’s 1.25 billion people are now under the age of 25.
A diverging picture across Africa
African countries show increasing divergence in Overall Governance performance. Continental progress is mainly driven by 15 countries that have managed to accelerate their pace of improvement over the last five years.
Progress is most striking in Côte d’Ivoire, Morocco and Kenya. Divergence is also reflected in Sustainable Economic Opportunity trends. While 27 of Africa’s countries have shown some improvement, in 25 countries, accounting for 43.2% of Africa’s citizens, Sustainable Economic Opportunity performance has declined over the last ten years.
There is no strong relationship between the size of a country’s economy and its performance in Sustainable Economic Opportunity. In 2017, four of the ten countries with the highest GDP on the continent score below the African average score for Sustainable Economic Opportunity and sit in the lower half of the rankings, namely: Algeria, Angola, Nigeria, and Sudan. Meanwhile two of the smallest economies on the continent, Seychelles and Cabo Verde, reach the 5th and 6th highest scores in providing Sustainable Economic Opportunity for their citizens.
Education outcomes are worsening
Further cause for concern is Education. While Human Development is one of the bigger success stories of the 2018 IIAG, driven by improvements in Health, the stalling progress in Education seen in last year’s IIAG has now turned to decline.
For 27 countries, Education scores registered deterioration in the last five years, meaning that for more than half (52.8%) of Africa’s youth population, education outcomes are worsening. This drop is driven by a fall in the indicators measuring whether Education is meeting the needs of the economy, education quality, and citizens’ expectations of education provision.
Civil society space is shrinking
Progress in Participation & Human Rights has been made on average. Almost four out of five of Africa’s citizens (79.6%) live in countries that have progressed in this dimension over the last decade. However, ‘free and fair’ executive elections do not always translate into a better participatory environment. Alarmingly, citizens’ political and civic space in Africa is shrinking, with worsening trends in indicators measuring Civil Society Participation, Civil Rights & Liberties, Freedom of Expression and Freedom of Association & Assembly.
By Modupe Gbadeyanka
A new report released on Monday by the Mo Ibrahim Foundation has expressed serious concerns about the declining Business Environment index in Africa, which it said runs counter to the growing working age population of the continent.
The 2018 Ibrahim Index of African Governance noted that the African average score for Business Environment went down by almost -5.0 points over the last 10 years, emphasising that “this is a worrying trend given that the number of working age Africans (15-64 years old) is expected to grow by almost another 30 percent over the next 10 years.”
According to a statement made available to Business Post on Tuesday, “This will increase demand for jobs in an environment where on average progress in Sustainable Economic Opportunity is almost non-existent. Such demographic figures create a further striking contrast with the drop of -3.1 points in Satisfaction with Employment Creation since 2008.”
The report further said, “Additionally, the indicator measuring Promotion of Socio-economic Integration of Youth registers an average continental decline of -2.3 over the last decade.”
Business Post reports that the 2018 Ibrahim Index of African Governance pointed out that public governance progress in Africa is lagging behind the needs and expectations of a growing population, composed mainly of young people.
The report said over the last decade, Overall Governance has on average maintained a moderate upward trajectory, with three out of four of Africa’s citizens (71.6%) living in a country where governance has improved.
African governments have struggled to translate economic growth into improved Sustainable Economic Opportunity for their citizens
Since 2008 the African average score for Sustainable Economic Opportunity has increased by 0.1 point, or 0.2%, despite a continental increase in GDP of nearly 40% over the same period.
There has been virtually no progress in creating Sustainable Economic Opportunity, meaning it remains the IIAG’s worst performing and slowest improving category.
Defined as the extent to which governments enable their citizens to pursue economic goals and prosper, the almost stagnant Sustainable Economic Opportunity trend strikes a concerning contrast with demographic growth and youth expectations. Africa’s population has increased by 26.0% over the last ten years and 60% of the continent’s 1.25 billion people are now under the age of 25.
A diverging picture across Africa
African countries show increasing divergence in Overall Governance performance. Continental progress is mainly driven by 15 countries that have managed to accelerate their pace of improvement over the last five years.
Progress is most striking in Côte d’Ivoire, Morocco and Kenya. Divergence is also reflected in Sustainable Economic Opportunity trends. While 27 of Africa’s countries have shown some improvement, in 25 countries, accounting for 43.2% of Africa’s citizens, Sustainable Economic Opportunity performance has declined over the last ten years.
There is no strong relationship between the size of a country’s economy and its performance in Sustainable Economic Opportunity. In 2017, four of the ten countries with the highest GDP on the continent score below the African average score for Sustainable Economic Opportunity and sit in the lower half of the rankings, namely: Algeria, Angola, Nigeria, and Sudan. Meanwhile two of the smallest economies on the continent, Seychelles and Cabo Verde, reach the 5th and 6th highest scores in providing Sustainable Economic Opportunity for their citizens.
Education outcomes are worsening
Further cause for concern is Education. While Human Development is one of the bigger success stories of the 2018 IIAG, driven by improvements in Health, the stalling progress in Education seen in last year’s IIAG has now turned to decline.
For 27 countries, Education scores registered deterioration in the last five years, meaning that for more than half (52.8%) of Africa’s youth population, education outcomes are worsening. This drop is driven by a fall in the indicators measuring whether Education is meeting the needs of the economy, education quality, and citizens’ expectations of education provision.
Civil society space is shrinking
Progress in Participation & Human Rights has been made on average. Almost four out of five of Africa’s citizens (79.6%) live in countries that have progressed in this dimension over the last decade. However, ‘free and fair’ executive elections do not always translate into a better participatory environment. Alarmingly, citizens’ political and civic space in Africa is shrinking, with worsening trends in indicators measuring Civil Society Participation, Civil Rights & Liberties, Freedom of Expression and Freedom of Association & Assembly.
Welcome progress in Rule of Law and Transparency & Accountability, which are key to sound governance performance
Although Personal Safety and National Security continue to show average decline over the last decade, Rule of Law and Transparency & Accountability have begun to register welcome progress. Rule of Law is the most improved sub-category in the IIAG over the last five years. African average performance in Transparency & Accountability has also improved, though more needs to be done as it remains the worst performing sub-category.
The IIAG highlights that citizens’ rights and welfare are key to progress in public governance. Overall Governance scores are strongly correlated with citizen-centred measures, including property rights, civil rights & liberties, government accountability and social welfare policies.
The IIAG results also confirm that Rule of Law and Transparency & Accountability are key pillars of good governance. These two sub-categories show the strongest relationships with Overall Governance scores in Africa, with strong performance in these areas being the most common components of countries that perform well. Transparency & Accountability is also strongly related to the Sustainable Economic Opportunity category and Business Environment sub-category, indicating that improvements in these areas will support progress and economic opportunity in Africa.
Commenting on the report, Chairman of the Mo Ibrahim Foundation, Mr Mo Ibrahim, stated that, “We welcome progress in Overall Governance, but the lost opportunity of the past decade is deeply concerning. Africa has a huge challenge ahead. Its large and youthful potential workforce could transform the continent for the better, but this opportunity is close to being squandered.
“The evidence is clear – young citizens of Africa need hope, prospects and opportunities. Its leaders need to speed up job creation to sustain progress and stave off deterioration. The time to act is now.”
Although Personal Safety and National Security continue to show average decline over the last decade, Rule of Law and Transparency & Accountability have begun to register welcome progress. Rule of Law is the most improved sub-category in the IIAG over the last five years. African average performance in Transparency & Accountability has also improved, though more needs to be done as it remains the worst performing sub-category.
The IIAG highlights that citizens’ rights and welfare are key to progress in public governance. Overall Governance scores are strongly correlated with citizen-centred measures, including property rights, civil rights & liberties, government accountability and social welfare policies.
The IIAG results also confirm that Rule of Law and Transparency & Accountability are key pillars of good governance. These two sub-categories show the strongest relationships with Overall Governance scores in Africa, with strong performance in these areas being the most common components of countries that perform well. Transparency & Accountability is also strongly related to the Sustainable Economic Opportunity category and Business Environment sub-category, indicating that improvements in these areas will support progress and economic opportunity in Africa.
Commenting on the report, Chairman of the Mo Ibrahim Foundation, Mr Mo Ibrahim, stated that, “We welcome progress in Overall Governance, but the lost opportunity of the past decade is deeply concerning. Africa has a huge challenge ahead. Its large and youthful potential workforce could transform the continent for the better, but this opportunity is close to being squandered.
“The evidence is clear – young citizens of Africa need hope, prospects and opportunities. Its leaders need to speed up job creation to sustain progress and stave off deterioration. The time to act is now.”
By Adedapo Adesanya
The federal government has issued a data protection compliance circular to all Ministries, Departments and Agencies (MDAs) to promote public trust through data-driven governance.
The compliance directive is contained in Circular No. 59805/S.I/74, dated 27 July 2026, and signed by the Secretary to the Government of the Federation, Mr George Akume, according to a statement by the Head, Legal, Enforcement & Regulations, Mr Babatunde Bamigboye.
The initiative forms part of a continuum of regulatory measures that will be vigorously pursued as Nigeria advances towards the decisive frontiers of the Fourth Industrial Revolution.
The circular drew the attention of MDAs to a statement of President Bola Tinubu, where he said: “Data is the new oil”.
Mr Akume then directed all Ministries, Extra-Ministerial Departments and Agencies to capture the information rigorously and safeguard it under the Nigeria Data Protection Act, 2023 (NDP Act).
The circular also directed MDAs to ensure full compliance with the NDP Act, Regulations, Guidelines, and Directives issued by the Nigeria Data Protection Commission (NDPC) in relation to the processing of personal data.
To this end, the Circular directs MDAs to, designate suitably qualified officers as Data Protection Officers (DPOs) to oversee data protection compliance and advise management on all matters relating to the lawful processing of personal data, ensure that the names and contact details of their designated DPOs are communicated to the NDPC for registration and official records; engage licensed Data Protection Compliance Organisations (DPCOs), where required, to facilitate compliance with the NDP Act and support the conduct of statutory compliance audits.
It also directed them to provide adequate budgetary allocation for data protection compliance activities, including capacity building, awareness programmes, deployment of appropriate technical safeguards, and periodic compliance audits; and submit all mandatory Data Protection Compliance Audit Returns and other statutory returns to the NDPC within the timelines prescribed by law.
The circular further states that “Permanent Secretaries, Accounting Officers and Chief Executive Officers of all MDAs shall be personally responsible for ensuring institutional compliance with the Circular and the provisions of the NDP Act.”
The National Commissioner/Chief Executive Officer of the NDPC, Mr Vincent Olatunji, expressed the commission’s commitment to supporting data-driven governance.
Mr Olatunji maintained that data accountability is pivotal to achieving the eight Presidential Priorities. To provide full technical support to MDAs for the purpose of achieving compliance, the commission has constituted a regulatory clinic.
By Adedapo Adesanya
Yellow Card, a global stablecoin infrastructure provider, has raised $40 million in a strategic funding round to accelerate its international expansion and strengthen its digital payment infrastructure.
The funding round attracted investments from SC Ventures, the innovation and investment arm of Standard Chartered, Sony Innovation Fund, Polychain Capital, Blockchain Capital, and other strategic investors. With the latest raise, Yellow Card’s total equity financing has now exceeded $120 million.
The company said the fresh capital will be used to scale its Global US Dollar Accounts, an end-to-end dollar account designed for businesses, while expanding the stablecoin payment rails that connect businesses to markets around the world.
Yellow Card’s chief executive, Mr Chris Maurice, described the investment as a strong endorsement of the company’s long-term vision, noting that the company has spent years building infrastructure that allows businesses to move money globally without relying on traditional correspondent banking systems.
He added that the next phase of growth will focus on helping banks connect directly to stablecoin payment rails, enabling faster and more efficient cross-border transactions while expanding access to US Dollar services for businesses.
SC Ventures chief executive, Mr Alex Manson, said stablecoins are becoming an important part of global payments, but noted that widespread adoption will depend on reliable infrastructure and practical use cases.
He said Yellow Card has built the payment rails businesses across Africa need to move money efficiently across borders and expressed confidence in the company’s ability to expand both within Africa and internationally.
The investment also marks growing interest from global institutions in stablecoin-based payments. Sony Innovation Fund said its backing reflects confidence in Yellow Card’s ability to build digital payment infrastructure for emerging markets.
Mr Austin Noronha, Managing Director at Sony Ventures-US, said the company believes Yellow Card is creating the technology needed to help banks, financial technology firms and enterprises move money faster and more securely.
He added that the company looks forward to supporting Yellow Card as it expands beyond Africa into Latin America, the Middle East, Europe and the Asia-Pacific region.
Yellow Card said the funding will also support the wider rollout of its Global USD Accounts, which allow businesses to hold U.S. dollars, manage treasury operations, swap stablecoins, and collect or make payments in local currencies across more than 50 countries.
The company noted that the platform is already being used by major customers, including Visa and Western Union.
Founded to simplify cross-border payments through digital assets, Yellow Card has processed more than $10 billion in transactions across its network. The company supports over 50 currencies and holds licences, authorisations and registrations in 22 jurisdictions across North America, Europe and Africa.
Yellow Card has also established strategic partnerships with global payment companies including Visa, Mastercard, PayPal and Coinbase as it positions itself as a key infrastructure provider for international digital payments.
By Adedapo Adesanya
The National Economic Council (NEC) has approved a $4.5 billion arrangement for the Nigerian National Petroleum Company (NNPC) Limited aimed at strengthening the country’s external reserves and freeing up funds for infrastructure.
This is part of the refinancing of the $3.3 billion Project Gazelle Pre-Export Finance Facility through a new $4.5 billion facility named “Project Gazelle 2”.
The approval allows NNPC Limited to refinance the outstanding balance of approximately $1.5 billion under the original 2023 facility, while unlocking an additional $3 billion in liquidity to strengthen the country’s external reserves and support ongoing fiscal and infrastructure priorities of the government.
NEC’s approval followed a presentation by the Minister of Finance, Mr Taiwo Oyedele, which was presented by the Chairman of the Council, Vice President Kashim Shettima, underscoring the importance of the project.
NEC observed the significance of unlocking additional liquidity to the federation, among other benefits, pledging its support for the actualisation of the initiative.
The Finance Minister explained that the refinancing has been structured on more favourable terms than the original facility, including a reduction in the volume of pledged crude oil from 90,000 barrels of oil per day to approximately 78,750 barrels of oil per day – a 12.5 per cent reduction.
He noted that under the new arrangement, an additional 11,250 barrels of oil per day for the federation will be released, while there will be a reduction in the pledged crude volumes by the state oil company.
Mr Oyedele added that while accessing additional liquidity on improved terms, the arrangement is freeing up resources for strategic national priorities while strengthening the country’s financing structures.
“The arrangement is freeing up resources for strategic national priorities while strengthening the country’s financing structures,” he said.
VP Shettima called for a responsive, scalable, and data-driven social protection policy to tackle multidimensional poverty in Nigeria.
According to Mr Shettima, government policies are often heard before they are seen, speak through the price of food, condition of hospitals, records in schools, strain on families, the confidence of those who invest their labour in the nation’s future, and, very importantly, the ambitions of state governments.
He implored members of Council to ensure that every decision they make assure the citizens “that their government is paying attention to the pulse of the nation and is resolved to respond with competence, compassion and purpose.”
