October 21, 2024

IT Governance framework,  AI parameters to be tabled

and so far, no political interference …..

As the IT world prepares for the World Summit AI conference in Amsterdam, it’s refreshing to see that the Department of Governance (DOG) and the Department of Communications & Digital Technology (DCDT) have both stepped up their efforts and joined in on the digital race.   In the coming weeks, Parliament will receive a Digital Governance Policy Framework and a National AI Policy Framework enabling South Africa to gain a foothold in digitalized trade.

There is little doubt that such frameworks promote interoperability among digital systems and by setting standards for data exchange, this could facilitate smoother trade across borders in Africa.   By having such guidelines with stated policies for digital governance and the use of AI, it will no doubt create a more predictable environment for businesses generally.   Such is needed, say IT industry leaders, in order to deliver more investment in digital trade and investment and to encourage innovation.

Setting the stage

Both frameworks, currently in draft form, have been gazetted and are open for public comment and input, which will be reviewed by the relevant Ministers.     Once finalized, both IT Bills will be introduced to Parliament by these same Ministers, after which the appropriate parliamentary portfolio committee will invite submissions and hold personalized public hearings.

Without such tools, industry leaders have agreed in meetings that South Africa’s economic recovery will remain a distant dream.

Trade to the North

As background to this legislative push, the Trade Law Centre (tralac) recently reported a preliminary trade balance surplus of R5.6 billion in August 2024. This surplus is attributed to exports of R165.6 billion against imports of R159.9 billion, which includes trade with our BELN neighbours—Botswana, Eswatini, Lesotho, and Namibia.

Tralac, which reports to major international players operating in Africa, quoted Deputy President Paul Mashatile during an interview with Bloomberg in London.  He stated, “We think that by next year we could be growing the SA economy by about 1.5%.”   While it may not seem like much of a breakthrough, coming from where we are and given our economic history, it is a positive indicator, say financial gurus.

 Digital Ground Rules

The South African government’s dual approach to soliciting contributions for both an IT Governance Framework and AI Framework reflects a forward-thinking strategy to harness the potential of technology while addressing its inherent challenges. Industry stakeholders have been encouraged to actively participate in this process, contributing their expertise to shape a future where technology serves as a catalyst for sustainable development.

The elephant in the room

Meanwhile, the Department of Home Affairs has been grappling for ten years with the need to improve trading facilities in Africa by upgrading South African customs at border posts.  Prodded, perhaps, by his new DA deputy minister, the Minister of Home Affairs has finally tabled in Parliament  the One Stop Border Post Bill, which will adopt a digital approach to dual-nation immigration/emigration procedures and common excise and duty collection.

This Bill, set to be debated soon, aims to facilitate cooperation between bordering nations in a single venue on technically neutral ground.  From the start, the South African digital systems will form part of  SARS, Home Affairs, Border Management Force, SAPS and Treasury networks. Networking outreach has to follow.

Basics

Looking at the Governance Framework, its aim is to clearly establish a comprehensive policy architecture governing the use of all digital technologies, ensuring alignment with South African national objectives and global standards wherever possible. Key focus areas include:

• Building guidelines for compliance with existing South African law and international regulations, including data protection and cybersecurity standards.
• Developing necessary protocols to protect national infrastructure from cyber threats, including risk assessment methodologies and incident response strategies.
• Creating plans for technology access for currently underserved communities and promoting standards that facilitate seamless integration and interoperability among various digital systems and platforms.

Working Together

It appears the South African government is changing its tune, finally turning to the private sector to gain traction.   Trade with Africa presents an obvious opportunity for early digitalization. However, STI-driven initiatives in a continental sense remain on the drawing board for the moment, it seems, rather than becoming part of a larger investment story of common communications.

Tralac notes that IT innovation hubs and tech ecosystems have emerged in cities like Nairobi, Lagos, and Cape Town, with a total of 618 active tech hubs across Africa. However, their reach remains limited. This highlights that while the technology is present in South Africa, the economy—and government—are now calling for industry contributions to the operational framework.

Similarly, the draft Artificial Intelligence Framework, developed by the DCDT, calls for industry input in a parallel process, with both drafts distinctly separated yet deeply integrated. Industry input will provide insights that inform governance policies for regulating AI technologies in schools, hospitals, and office environments, particularly regarding ethical considerations and accountability mechanisms.

Big Brother

The European AI Act, signed into law in July 2024, took over four years to develop.   The EU IT Commission states that a long road lies ahead, with many milestones to be achieved before the substantive provisions of the AI Act take effect.   In South Africa, experts from major IT firms emphasize that contributions from IT professionals are crucial to crafting a document that can enhance public trust in AI systems and foster greater acceptance and utilization of these technologies in both the private and public sectors.

Additionally, the DCDT says it aims to address specific needs and opportunities across various industries—such as healthcare, education, and finance—while developing their sectoral strategies to contribute to the broader African narrative.

Patrick McLaughlin 

editor