Financial literacy, the ability to understand and effectively manage financial matters, is essential for individual prosperity and national economic growth. However, in Kenya, financial literacy levels are alarmingly low, with only 38% of adults demonstrating basic financial understanding. This deficiency has far-reaching implications, including increased poverty rates, limited financial inclusion, and economic inequality.

Global and Regional Financial Literacy Comparisons

A global survey revealed that many Kenyans struggle with fundamental financial concepts such as risk diversification, interest calculations, and transaction costs. In contrast, European countries boast high financial literacy rates, with Denmark, Norway, and Sweden at 71% and Canada at 68%. Globally, only 33% of adults are financially literate, leaving 67%or 3.5 billion people lacking basic financial knowledge.

In Africa, Botswana leads with a financial literacy rate of 52%, followed by South Africa at 42% and Kenya at 38%. Somalia ranks lowest in the region, with a rate of just 15%. This disparity underscores the urgent need for comprehensive financial education initiatives in Kenya and beyond.

The Impact of Mobile Loans and Debt Management

The rise of mobile loan applications has made borrowing more accessible, but many users lack an understanding of interest rates and repayment terms. By May 2023, approximately 19.97 million loan accounts were blacklisted by the Credit Reference Bureau, reflecting widespread challenges in debt management. This financial instability limits access to future credit and exacerbates economic hardships for many Kenyans.

Savings Behaviors and Investment Awareness

While 74% of Kenyans reportedly engage in saving behaviors, most rely on mobile money wallets, which offer minimal interest and lack long-term growth potential. This trend highlights the need for increased awareness of diversified savings and investment instruments that can yield better returns and promote financial security.

The Role of Education in Financial Literacy

Kenya’s education system lacks a standardized curriculum focusing on personal finance, leaving graduates unprepared to navigate financial challenges. Integrating financial education into schools could equip students with essential skills for financial well-being. Gender disparities in saving behaviors also persist, with 74% of men saving compared to 73% of women in 2021. Targeted interventions are needed to promote financial inclusion for all.

The Influence of Informal Financial Systems

Many Kenyans rely on informal financial systems like chamas (savings groups), which, while beneficial, may not provide comprehensive financial tools and knowledge. Factors such as high banking fees, strict loan requirements, and long distances to bank branches push many toward these informal systems. However, this reliance can limit exposure to formal financial education, structured investments, and modern banking services.

Including financial education within chamas and encouraging members to engage with formal financial institutions could help bridge the financial literacy gap.

Initiatives to Enhance Financial Literacy

Organizations like the Kenya Bankers Association have launched campaigns to improve public understanding of financial matters. Collaborative efforts between financial institutions, educational bodies, and the government can amplify these initiatives, ensuring they reach diverse populations, including those in rural areas.

Regulating Mobile Loan Providers

The government should enforce stricter regulations on mobile loan providers to ensure transparency in interest rates and lending terms. Such measures can protect consumers from predatory lending practices and promote responsible borrowing.

Bridging the Financial Literacy Gap

Addressing Kenya’s low financial literacy levels is crucial for fostering individual financial stability and national economic development. By implementing comprehensive education programs, promoting inclusive financial practices, and regulating lending platforms, stakeholders can work together to bridge the financial literacy gap. Empowering Kenyans with the knowledge and tools to manage their finances effectively will pave the way for a more sustainable and prosperous society.

Morocco’s Value Added Tax (VAT) rate stands at 20%, making it the second highest in Africa after Djibouti’s 33%. Madagascar shares the same VAT rate as Morocco, followed by Cameroon at 19.25%, while Nigeria has the lowest VAT rate in Africa at 7.5%. Globally, Bhutan leads with the highest VAT rate of 50%. Morocco’s high VAT rate is attributed to government policies aimed at managing the budget deficit and its reliance on exports.

US Tariff Proposal and Its Implications

In February 2025, President Trump proposed imposing equal tariffs on countries using VAT systems to protect US domestic producers. This policy would directly impact Morocco, whose exports to the US include motor vehicles, semiconductors, chemical fertilizers, and mixed minerals. In 2023, Morocco exported automobiles worth $8 billion globally, with goods valued at $1.98 billion imported by the US. The proposed 20% tariff on Moroccan goods could make them less competitive in the US market compared to domestic products and imports from countries with lower VAT rates.

Economic Consequences for Morocco

The imposition of equal tariffs could lead to several economic challenges for Morocco:

Strategic Restructuring for Morocco

To counter the anticipated policy changes, Morocco should consider the following strategies:

Preparing for Change

The proposed US tariff policy presents significant challenges for Morocco’s economy and trade relations. By implementing strategic restructuring, diversifying trade partnerships, and strengthening domestic markets, Morocco can mitigate the impact of these changes and foster sustainable economic growth. Proactive measures will be essential to navigate the anticipated policy shifts and ensure long-term stability.

America has long been a cradle of innovation. Notable past inventions include the electric light bulb (1879) by Thomas Edison, which revolutionized modern-day lighting; the airplane (1903) by the Wright brothers, which transformed global travel; the digital computer (1937) by George Stibitz, contributing to the digital age; the Internet Protocol (IP) (1970s) by Vinton Cerf and Bob Kahn, leading to today's internet; and the Global Positioning System (GPS) (1994), developed by the U.S. Air Force and Department of Defense, now essential for global navigation.

Entrepreneurial Hubs Driving Transformation

Entrepreneurs, scientists, and business leaders across bustling metropolises like New York, São Paulo, Toronto, Buenos Aires, and Mexico City are shaping the future with groundbreaking ideas and transformative solutions.

Silicon Valley and Beyond: Tech Giants and Startups

From the tech giants of Silicon Valley to the rapidly growing startup ecosystems in Latin America, the Americas have established themselves as a global force in innovation. Companies like Apple, MercadoLibre, Nubank, and Shopify are redefining industries, while AI research labs (Google AI, Vector Institute, LG AI Research Centers, Microlit AI Research Centre), fintech disruptors (Stripe, Plaid, Robinhood, Dailypay, Parafin, Nubank, Creditas, Kavak, Ualá, Konfío), and biotech pioneers (Genentech, Amgen, Gilead Sciences, Biogen, CRISPR Therapeutics, Bioceres, Instituto Butantan, Tecpar, Biomanas, Grupo Insud) push the boundaries of what’s possible.

Fintech, AI, and Biotech: Pushing Boundaries

These sectors are leading the charge in transforming how we live and work. Fintech startups are making banking more inclusive, AI labs are advancing machine learning and automation, and biotech firms are tackling critical health and agricultural challenges.

Government Initiatives and Educational Powerhouses

One of the driving forces behind this innovation is the region’s entrepreneurial spirit, supported by strategic government initiatives such as:

Strong educational institutions such as the University of São Paulo (USP), Pontificia Universidad Católica de Chile (UC), University of Campinas (Unicamp), Stanford University, and Massachusetts Institute of Technology (MIT) are creating fertile ground for startups to thrive.

Startups Thriving in a Technology-Driven Economy

Programs like Start-up Chile, Brazil’s SoftBank Latin America Fund, and Canada’s AI research centers, Vector Institute for AI, Mila - Quebec AI Institute, and Alberta Machine Intelligence Institute (Amii), demonstrate how the region embraces a technology-driven growth economy.

Real-World Problem Solvers: Innovation with Impact

What makes innovation in the Americas particularly unique is its focus on solving real-world problems. Fintech startups are revolutionizing banking for unbanked populations, edtech platforms are bridging educational gaps, and sustainable energy projects are tackling climate change, from wind farms in Argentina to solar initiatives in the southwestern U.S.

Smart Cities: The Future of Urban Living

Cities like Bogotá, Santiago, and Austin are becoming testing grounds for smart city technologies. These cities integrate data-driven urban planning, AI-driven transportation systems, and green infrastructure to create more habitable and sustainable environments.

Seamless Digital Economies: E-Commerce and Digital Payments

E-commerce platforms such as Amazon, eBay, Walmart, Etsy, MercadoLibre, B2W Digital, and Linio continue to grow, while digital payment services like PayPal, Venmo, PagSeguro, MercadoPago, PicPay, and Square are making cross-border business transactions more seamless than ever before.

Challenges to Innovation: Inequality, Infrastructure, and Regulation

Despite the progress, innovation in the American region is not without its challenges. Issues such as digital inequality, infrastructure limitations, and talent shortages still pose barriers. Rural areas struggle with access to funding, while regulatory hurdles slow down growth and adoption of new technologies.

Turning Barriers into Opportunities

However, these challenges also present significant opportunities. Governments, private investors, and academic institutions are increasingly working together to bridge gaps by providing funding for startups, improving digital literacy, and fostering international collaboration.

A Collaborative Future for Business and Technology

With increased cooperation, knowledge sharing, and investment, the Americas are poised to strengthen their position as a global innovation hub. A unique blend of established tech powerhouses (Apple, Facebook, IBM, Google, OLX, Glubotant, Nubank) and emerging innovators (Creditas, Savvi AI, Hohonu, Telepath, Mujin, Simplex Wireless) ensures continuous momentum.

Innovation Without Borders

As we move further into the 21st century, the American region stands at the forefront of business transformation and technological breakthroughs. The future isn't just about competition, it’s about collaboration, creativity, and resilience. Whether it’s in AI, fintech, clean energy, or e-commerce, the Americas are proving that innovation knows no borders.

Malaysia has been a leader in Southeast Asia’s technology sector, particularly in electronics manufacturing, automotive production, and renewable energy. It produces 13% of the world’s back-end semiconductors while housing the third-largest automotive sector in Southeast Asia. Malaysia is rapidly emerging as a key player in Asia’s digital economy with global tech leaders such as Google, Microsoft, and AWS investing in setting up data centers in the country.

Based on strategic advantages like cheap electricity, government incentives, and digital infrastructure, Malaysia is positioning itself as a regional cloud computing and digital services hub. However, this exponential growth also raises pressing issues of sustainability, particularly the tremendous consumption of electricity and water resources.

Why Malaysia is Attracting Global Tech Giants

Various factors make Malaysia a desirable data center destination. Malaysia’s strategic location provides a well-connected digital ecosystem that allows for seamless exchange of data across the region. The Malaysian government is very supportive as it has devised policies and incentives such as tax exemptions and grants that draw investment into the sector.

Between 2021 and 2023, Malaysia approved total data center investments worth RM114.7 billion (about $25 billion) demonstrating its commitment to growing the industry. Additionally, the government allows 100% foreign ownership of data center businesses.

There have also been massive investments by foreign companies. In May 2024, Google announced a $2 billion investment in Malaysia’s first data center and cloud region followed by Amazon’s $6.2 billion and Oracle’s $6.5 billion investments in August and October 2024 respectively.

The low energy costs in Malaysia compared to Singapore provide a better place for energy-guzzling data centers. As of June 2024, electricity prices for businesses were 81.99% of the global average and 112.63% of the average in Asia. With the growth in digital marketing in areas such as cloud computing, artificial intelligence, and Fintech solutions demand, the need for secure data infrastructure grows.

Sustainability Challenges in the Data Center Boom

Despite such economic benefits, there are a few imperative sustainability concerns that arise. Cooling systems in data centers demand large amounts of water to regulate the high temperatures; this places additional pressure on Malaysia’s water supply, particularly in areas facing resource scarcity. Data centers consume large amounts of electricity as they require constant power to operate the servers and the cooling systems.

Without proper energy management, this could strain Malaysia’s power grid and increase reliance on fossil fuels. Through the anticipated expansion of data centers and ongoing consumption of non-renewable resources, their carbon footprint would compromise Malaysia’s climate change agendas and environmental sustainability commitments.

Sustainable Solutions for a Green Digital Future

There are a few solutions that can be done so as to align Malaysian growth in data centers with long-term sustainability goals. Integrating renewable sources of energy such as solar, wind, and hydroelectric power will rein in the consumption of non-renewable sources of energy. Adopting energy-efficient technologies such as AI-driven cooling systems and liquid cooling technology can efficiently reduce power and water consumption.

Introduction and implementation of regulations that mandate sustainability measures such as carbon-neutral certification and stricter resource management requirements can oversee the environmental impact. Developing green data centers with smart energy solutions can position Malaysia as a leader in sustainable digital infrastructure.

Balancing Growth and Environmental Stewardship

As Malaysia continues its quest to become Asia's digital hub, policymakers and businesses must collaborate to take sustainable initiatives that will result in long-term prosperity. The integration of green technology, reduction of carbon footprints, and investment in renewable energy are essential in building a strong and sustainable data infrastructure. By doing so, Malaysia can solidify its position as a world-class eco-friendly data center and green cloud computing infrastructure destination in Southeast Asia while keeping its natural resources intact for future generations.

The African continent is facing political instabilities, conflicts, and revolutions, which have created discussions among most African countries and continue to brew revolutions and resentment from citizens and the military.

Mahmoud Ali Youssouf: A Leadership Transition Amid Crisis

Mahmoud Ali Youssouf succeeded Chadian Moussa Faki as the African Union Chairperson (AUC) at a very interesting time when most Africans are crying for help due to injustices and political instabilities from their own countries and their neighbours. In his past capacities, Mahmoud has served from 2005 to 2024 marking a 19-year tenure as Djibouti’s minister of foreign affairs. In addition, he has served in other capacities in regional and national foreign affairs policies, enhancing complex international relations.

Challenges Facing African Governance

Among African countries currently experiencing political and economic surges and revolts include DRC Congo, Sudan, South Sudan, Uganda, Niger, Gabon, Burkina Faso, and other African countries. Despite most of these countries claiming to have democratic constitutions, Freedom House (2023) claims that most African countries are led by dictators who collaborate with the West to terrorize and grab from the Africans.

Human Rights Violations and Displacement in Conflict Zones

Although the new chair claims to be knowledgeable about diplomatic principles, he is likely to offer less just like his predecessor, Moussa Faki. With just a few days in office, Ugandan opposition leader Kizza Besigye is facing trials at the hands of Ugandan President Yoweri Museveni and the military, which is led by his son.

Over to their neighbours, the Eastern DRC is facing unending violations of human rights and deaths due to the long-ongoing conflicts. According to BBC (2024), in Burkina Faso, though the country claims to have a democratic leadership, the military led by Ibrahim Traore seems to have done great work transforming and liberating the country, which is celebrated by the Burkina Faso citizens and other Africans.

The Role of External Influences in African Conflicts

These ongoing African conflicts and instabilities claim the lives of Africans. Many Africans are statistics to death, and others are displaced. A country like Sudan is facing the worst displacement in the African region, with more than 7.3 million people displaced in the country and an estimated 200,000 individuals killed due to war between government forces and opposition forces.

Despite countries like Niger, Burkina Faso, and Mali being in the African continent, they are distancing themselves from their association with the AU and ECOWAS, which tests the AUC chairperson's ability to integrate the continent and re-align the government through the promotion of democratic leadership from the existing military law. This also tests the ability to respect the will of the people and their sovereignty of choice of their preferred form of governance.

Africa’s Untapped Potential and the Path to Transformation

The “RICH POOR” Africa is almost in shambles, which needs urgent and intentional reshaping by African governments and their people. The opportunities and unexploited minerals leave the continent exposed from within and in the world. While Mahoud Ali is entrusted with turning around the situation in 4 years, the big question remains on the approach to the African issues and his effectiveness and abilities to bring solutions. While the African presidents are instrumental in bringing the desired changes by Africans, they have stood as the perpetrators of injustices faced by Africans.

Therefore, to transform Africa, the AUC leadership can only facilitate Africans to have a say in their governance, issues, and resources. This is a test on who the AUC chairperson chooses to listen to: Africans or their head of states. African history always informs of Africans' commitment to their liberation and continuous revolutions to freedom and sovereignty. Therefore, the choice of approach shall guarantee either a prosperous Africa or a legacy of unending revolutions with poverty and continued exploitation.

The European Union will unveil the Clean Industrial Pact on February 26, 2025, to ensure European industries are second to none amid stiff competition worldwide. The EU is set to implement various strategies that will not only result in the development of clean technology but also generate jobs and revolutionize the green business.

Europe’s Transition from Fossil Fuels to Clean Energy
The European Union has relied heavily on fossil fuels as part of the energy mix for more than two decades since 1990 in supporting the energy infrastructure in Europe. Some of the examples of fossil fuels that Europe has relied on are coal, oil, natural gas, and lignite. However, reliance on fossil fuels in Europe as of the year 2024 has dropped by 11.5% since 1990 due to more innovations in clean energy.

Strengths of Europe’s Clean Industrial Pact
One of the package strengths of Europe’s clean industrial pact is a vision for lower energy and a deal with the European Investment Bank to fund small and medium-sized enterprises. Its new emissions-cutting strategy will address six priority areas: energy price and security, financing, recycling, and raw materials essential to the energy industry, labor and skills, lead markets, and international action.

Emissions Reduction Goals and Sustainability
The strategy aims to reduce significantly greenhouse gas emissions to meet its target of a 55% reduction in net greenhouse gas emissions by 2030 as compared to the targets of 1990. A reduction in greenhouse gas emissions would ensure a more sustainable economy and a transition to a low-carbon economy in the quest to avert climate change and improve environmental well-being.

Collaboration for Innovation and Competitiveness
Besides economic gain, the clean industrial deal centers on governments, industries, and research institutions collaborating to trigger innovation and good practices in sustainability to ensure European industry competitiveness in transitioning to a cleaner economy.

Historical Programs Enhancing Europe’s Industrial Base
The EU has, over the years, implemented numerous programs that worked to enhance its industrial base. For example, the Accelerating Clinical Trials in the EU (ACT EU) initiative, launched in January 2022, granted a wholesome environment for life sciences research and development. It aimed to harmonize and update clinical trials, promoting the development of high-quality, safe, and efficient medicines.

The ACT EU program capitalized on the momentum of the Clinical Trials Regulation (CTR) and the launch of the Clinical Trials Information System (CTIS) in early 2022, which transformed the initiation and conduct of clinical trials. Besides, the European Green Deal to make Europe the world's first climate-neutral continent by 2050 includes provisions for reducing greenhouse gas emissions, clean energy, and green growth of the circular economy.

Financing Clean Energy Innovations
Financing is at the core of the clean energy deal with emphasis on the Innovation Fund, which started operations in 2020 to support innovations in clean energy aimed at net zero emissions. Europe could also rely on The World Trade Organization (WTO) to provide finance for clean energy innovations that require heavy investments.

Europe in its industrial clean pact would continue to rely on its plan of RePowerEU which has mobilized around €300 billion in saving energy, diversifying energy supplies, and producing clean energy. The modernization fund through the Emissions Trading System in Europe has set around $14 billion to support clean energy systems and modernize such systems, especially in countries with a low GDP in the region.

Challenges Facing Europe’s Clean Industrial Pact
However, despite the strength of the Clean Industrial Pact, several issues can arise. Compared to the rest of the world, Europe experiences the highest energy prices with countries such as Germany, Italy, and Denmark being hit the most. This would highly impact the competitiveness of European industries compared to the rest of the global industries. Europe must therefore identify avenues geared toward reducing the high energy cost, to encourage clean energy solutions that would accelerate targets of net zero emissions. 

The investment environment could be insensitive enough not to induce intensive clean technology development, with state funding lagging behind market needs. European industries will continue to face brutal competition from China, which provides huge subsidies ($675 billion in 2024 alone) to innovations in clean energy and the United States ($97 billion through Bipartisan Infrastructure Law and the Inflation Reduction Act, each with its policies and incentives for clean technology.