Why Africa is thriving in global entertainment, creative sectors

Why is Canal+ eyeing South African media giant MultiChoice? Why did Burna Boy win the Grammy Best Global Album award and was the first African artist to sell out an American stadium? What spurred Universal to a stake in Nigerian studio Mavin? And why are Disney and Netflix forging partnerships with African movie studios for animated content?

The answers lie in the undeniable surge of creativity and talent emanating from Africa, a movement that’s energizing creative industries. This is not just a fleeting moment; it’s the beginning of a digital and creative wave set to sweep across the 1.2 billion people continent and beyond. Africa is home to the world’s largest youth population, a demographic brimming with energy and inventiveness.

With a median age of 19, starkly younger than the US’s 38 or Europe’s 44, Africa’s youthful dynamism is unprecedented. By 2050, projections suggest a third of the world’s youth will be African, with Nigeria poised to outgrow the US as the third most populous nation, following China and India. Encouraged by improving internet infrastructure and declining data costs, African youth are increasingly empowered to share their narratives, be it through music, fashion, or film.

This blossoming of African creativity is being met with a growing demand for diversity in cultural content from Western audiences, who are increasingly seeking fresh, diverse perspectives and narratives. Fueled by improvements in internet infrastructure and plummeting data costs, African youth are empowered to share their narratives – in music, fashion, or film – like never before.

This blossoming of African creativity is being met with a growing demand for diversity in cultural content from Western audiences, who are increasingly seeking fresh, diverse perspectives and narratives. The African creative industry is poised for rapid growth with Nigeria, South Africa, and Kenya expected to reach an annual growth rate of over 6 per cent from 2021 to 2026, according to PWC.

In Nigeria, music streaming only is expected to grow at an annual pace of 24per cent. UNESCO predicts that Africa’s film and music industries have the potential to annually generate $20 billion, up from $5 billion today. This growth will transcend African borders, influencing global culture and enabling African stories to reach worldwide audiences.

African creativity is making its mark globally—from music and sports to art and fashion. Afrobeat has emerged as a major global trend, exerting a profound impact across the music industry globally, with streaming numbers on Spotify, jumping from eight billion to over 13 billion streams in 2022 alone. The recent Africa Cup of Nations held in Ivory Coast drew a massive global audience of nearly two billion viewers, sparking significant sponsorship interest.

Additionally, African countries received special recognitions at the latest Venice Architecture Biennale, and Burkinabè architect Diebédo Francis Kéré was honored with the prestigious Pritzker Prize in Architecture in 2022. Abdulrazak Gurnah was awarded the Nobel Prize in Literature in 2021, underscoring the literary world’s acknowledgment of African talent.
Ultimately, African fashion is seizing the global spotlight, as demonstrated by the success of Lagos Fashion Week, alongside showcases in Paris and Milan, and Chanel’s landmark debut show in Dakar in 2022.

Digital innovation, facilitated by platforms like YouTube, Spotify and other streaming services, is central to this creative wave, enabling millions to connect and share. This digital shift, alongside cheaper internet access, is revolutionizing how content is created and consumed, allowing African creators to directly engage with global audiences. Canal+’s pursuit of MultiChoice for 2.9 billion USD goes beyond a simple pay-TV acquisition.

They’re keenly focused on Showmax, MultiChoice’s promising streaming arm, highlighting a strategic focus on its potential. With 2 million subscribers, surpassing Netflix’s 1.8 million in the region, Showmax dominates the local streaming landscape. While the number of subscribers is still relatively small for a market of a billion people, it’s burgeoning and Showmax is on an ambitious path to hit 50 million subscribers in the next five years, supported by a hefty $177 million investment from Cromcast for expansion.

The partnerships between Kugali, a pan African entertainment company, and Disney + on “Iwaju” and Netflix release of “Supa Team Four”, two animated shows taking place in Africa, are clear indicators of the growing global interest in African stories. These strategic investments are spotlighting Africa’s digital content market’s vast yet untapped opportunities.

This trend extends beyond English-speaking Africa. Canal+’s investment initiatives in Ivory Coast, the launch of the Cameroonian production “Ewusu”, a Canal+ original series and a stake in Marodi TV, a leading Senegalese TV-show creator, underscore the interest in Francophone African content too.

Finally, Universal’s acquisition of a stake in Nigeria-based independent record label Mavin Records underscores the global resonance of Afrobeat and Amapiano.
This deal highlights Africa’s well-established creative influence, which continues to grow on the global stage. To keep Africa’s creative wave moving forward and unlock the industry’s full potential, governments find themselves at an essential junction.

Crafting a supportive policy framework is essential for Africa’s booming film industry. According to UNESCO, only 55 per cent of African countries currently have a film policy, and many existing policies hinder the industry instead of encouraging it.

By reducing internet costs through digital infrastructure investments and fostering new talent with improved educational initiatives, policymakers can empower up to 20 million individuals across the continent to turn their creative passions into sustainable careers, compared to just 5 millions currently.

As Africa’s entertainment and creative industries flourish, they serve as more than mere storytellers; they draw global attention, shining a spotlight on the continent and bolstering broader economic growth. This transformative cultural evolution not only showcases African talent but also positions Africa at the forefront of global creativity and innovation.

• Anagonou is a Wall Street investment banker, USA and Oitchayomi, a Consultant at BCG, France