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ADC, DFC to establish $300m Data Hub in Accra, Ghana

Ibukunoluwa Bankole by Ibukunoluwa Bankole
October 17, 2023
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ADC, DFC to establish $300m Data Hub in Accra, Ghana
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The Africa Data Centres (ADC) and the US International Development Finance Corporation (DFC) have joined forces to establish a Data Hub in Accra, Ghana, aimed at fostering digitalization and economic growth on the continent.

Empowering Digital Innovation

The Accra Data Hub is poised to become a magnet for data-driven enterprises seeking to enter or expand their footprint in the burgeoning economies of Africa. Scott Nathan, CEO of the DFC, announced that $50 million, 15% of the total $300 million commitment from DFC for such hubs in Africa, will be allocated to the facility in Ghana.

Nathan highlighted the vital role that safe, secure, and open information technology networks play in creating the foundation for vibrant and innovative economies. These networks are an essential part of the infrastructure that fosters the growth of a dynamic private sector, ultimately driving prosperity.

The Data Hub’s design focuses on adhering to social and environmental standards, ensuring financial sustainability, and offering a supportive environment for businesses, all while generating employment opportunities.

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Read also: Zambia tech minister announces readiness to be Africa’s next major tech hub

The Data Deluge and the Power Challenge

Finnhai Munzara, Chief Financial Officer of ADC, representing the Centre, emphasized the sheer scale of digital data generated daily: 500 million tweets, 294 billion emails, 4 million gigabytes of Facebook data, 65 billion WhatsApp messages, and 720,000 hours of new content on YouTube.

Africa’s current data centre capacity is around 200 megawatts (MW), but the continent requires up to 1,000 MW and 700 facilities to meet growing demand.

Fostering a Digitally Connected Future

Having already supported ADC’s infrastructure development efforts in Kenya and South Africa, the DFC is now extending its partnership to accelerate digital transformation in Ghana. Ghana’s increasing prominence as a regional digital hub, with a significant share of West Africa’s internet traffic, makes it an ideal location for this project.

ADC’s plans include delivering up to 30MW of IT capacity in multiple phases within the Ghana Trade Fair site. This site was selected due to its unique position offering secure hyperscale Information Technology infrastructure within the city limits, close to key connectivity infrastructure.

Accra Technical University Obtains $152,869 For Health Research Innovation 

The Transformative Power of Digitalization

Madam Virginia Palmer, the U.S. Ambassador to Ghana, emphasized the transformative power of technological advancement and digitalization. These elements are the lifeblood of innovation and progress, fueling economic growth, entrepreneurship, and the collective ability to tackle global challenges.

She underscored the impact of digitalization on improving access to education, healthcare, and government services. The Digital Transformation with Africa initiative, launched by President Joe Biden during the 2022 Africa Leaders’ Summit, seeks to expand digital access and literacy across the continent. This initiative aims to invest over $350 million and facilitate more than $450 million in financing for Africa, aligning with the African Union’s Digital Transformation Strategy and the U.S. Strategy Toward Sub-Saharan Africa.

Madam Palmer explained how USAID’s support in streamlining and digitizing customs processes and business development services is bolstering revenue collection, reducing losses, and driving investment in high-value agricultural goods.

United for Digital Transformation

The U.S. government, in collaboration with Ghana, is dedicated to fostering digital transformation. Together, they aim to build a brighter, more connected, and prosperous future for all.

Tags: AccraADCData HubDFCGhanaTech Hub
Ibukunoluwa Bankole

Ibukunoluwa Bankole

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