Digital trust now central to survival of African SMEs – Expert

2026-03-04 - 00:57

By Juliet Umeh Technology expert and Country Head, Zoho Nigeria, Kehinde Ogundare, has stressed that digital trust has become a strategic necessity for small and medium-sized enterprises, SMEs, across Africa as Artificial Intelligence, AI, adoption deepens. Ogundare noted that security concerns for SMEs have evolved significantly over the years. “For years, security for small and medium-sized enterprises meant metal grilles and alarm systems. Today, the most dangerous threats are invisible. As Artificial Intelligence becomes embedded in everyday business tools, African SMEs must confront a new reality: digital trust is now central to survival,” he said. According to him, AI is no longer a futuristic concept but a core component of modern business operations. “From chatbots responding to customers at midnight to software forecasting inventory and flagging suspicious transactions, AI is no longer experimental. It is standard,” he stated. However, he warned that the rapid adoption of AI has also accelerated cyber risks. Citing global projections, Ogundare said cybercrime costs are expected to reach $10.5 trillion this year, driven by generative AI and increasingly sophisticated attacks. He added that across Africa, businesses face thousands of attempted cyberattacks weekly, with the continent losing an estimated 10 per cent of its GDP annually to cybercrime. Beyond external threats, Ogundare highlighted the risks posed by fragmented digital systems within SMEs. “In a bid to remain agile and affordable, many businesses adopt multiple disconnected applications for accounting, payroll, customer management and inventory. Each tool comes with separate logins and security protocols, creating blind spots. The more complex the system, the harder it becomes to monitor risks and enforce consistent protection,” he explained. He advocated for privacy-first, responsible AI embedded within unified digital platforms. “SMEs must prioritise systems that collect only necessary data, store it securely and remain transparent about how AI-driven decisions are made. Unified, cloud-based platforms that integrate core functions under a single security framework reduce vulnerabilities and improve oversight,” he said. Ogundare further observed that consumers are becoming more aware of their data rights and increasingly willing to disengage from brands that mishandle information. “In a digital economy where reputation travels fast, trust is currency. For African SMEs, secure and responsible AI deployment is not merely a technical choice; it is a strategic business imperative that determines resilience, growth and long-term relevance,” he added.