Microsoft is teaming up with M-PESA Africa to help entrepreneurs running MSME businesses learn new skills and improve their businesses through the Capability Development Academy. The Academy will use online tools from Microsoft to teach the small and medium-sized business owners in Africa prodent business management skills. The skills include money management, customer service, and use of technology in streamlining business processes.
Through the Microsoft Community Platform and SME Skilling Programs, M-PESA Africa will facilitate the digital transformation of MSMEs. This means helping these businesses become more tech-savvy, improve their business models, financial management, and customer service through the use of Microsoft’s resources.
M-PESA Africa is a significant fintech and payment service provider in Africa, connecting millions of customers and businesses across multiple countries. It processes a substantial number of daily transactions, making it a crucial player in the African financial landscape.
Africa has one of the youngest working populations globally, which presents an opportunity for substantial economic growth. However, there’s a challenge: a growing gap in skills. Small and Medium Enterprises are pivotal in driving inclusive economic growth across African nations. They are key contributors to the economy, creating jobs and opportunities for people.
In emerging economies, SMEs contribute significantly to GDP and employment, but many African SMEs face challenges and have a high rate of failure, primarily due to limited access to resources like business tools, finance, and digital skills.
Microsoft is determined to address this digital skills gap. The company’s Africa Transformation Office aims to empower 10 million SMEs in Africa with digital tools and relevant skilling content. This includes teaching them essential skills like basic accounting, financial planning, and cash flow management. These skills not only improve their chances of accessing formal financial services but also make their business operations more efficient.
By adopting digital tools, SMEs can streamline their operations, save time, and reduce the costs associated with manual transactions. Additionally, Microsoft’s skilling programs focus on nurturing entrepreneurial skills to help start and grow successful businesses.
The ultimate goal of this program is to enhance the livelihoods of MSME entrepreneurs and their communities. It also aims to create opportunities for these businesses to compete in the global market. At its core, the program strives to reduce inequalities and empower marginalized groups, aligning with the United Nations’ Sustainable Development Goal 10.
This initiative will be rolled out in various M-PESA Africa markets, including Kenya, Lesotho, Mozambique, the Democratic Republic of Congo, and Tanzania.
In the words of Sitoyo Lopokoiyit, Managing Director of M-PESA Africa, “Micro, Small, and Medium businesses are the backbone of African economies. Empowering them to succeed creates a significant impact for their communities due to their substantial economic contribution.”
Gerald Maithya, Managing Director of the Africa Transformation Office at Microsoft, emphasizes the importance of digitalization and financial inclusion for MSMEs in Africa, highlighting their commitment to driving MSME development and financial inclusion across the continent.
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