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AI for Africa: Tackling the Readiness Divide

Thursday, 03 April 2025 20:39
AI for Africa: Tackling the Readiness Divide

(Ecofin Agency) - The Global AI Summit on Africa began today, April 3, 2025, in Kigali, Rwanda. Over 1,000 participants from 95 countries and more than 100 AI companies are taking part in this two-day meeting, organized by the Center for the Fourth Industrial Revolution and the Ministry of ICT & Innovation, in collaboration with the World Economic Forum. The inaugural event aims to explore how artificial intelligence can shape Africa’s economic future, particularly for the continent's burgeoning workforce, under the theme “AI and Africa’s Demographic Dividend: Reimagining Economic Opportunities for Africa’s Workforce.”

However, the question remains: Is Africa truly prepared to leverage the full potential of AI? The summit, the first of its kind in Africa, provides an opportunity to evaluate the current situation and explore ways to improve it.

“We stand at a pivotal moment of extraordinary possibility with the unprecedented pace of technology development. Artificial intelligence is estimated to unlock $2.9 trillion for Africa’s economy by 2030. However, this will not happen by chance. It requires bold, decisive leadership and collective action,” said Crystal Rugege (pictured), MD of Rwanda’s Center for the Fourth Industrial Revolution, during her opening speech.

It is no secret that the continent faces significant challenges when it comes to AI adoption. These include gaps in digital infrastructure, literacy rates, policy frameworks, and investment. According to the GSMA, Africa represents just 2.5% of the global AI market. The northern part of the continent is even performing relatively better. Most challenges lie in Sub-Saharan Africa. The region emerged as the worst performer globally for the 2023 Government AI Readiness Index by Oxford Insights with a score of 29.38 out of 100. Despite slight progress in 2024 with a score of 32.70, the position did not change.

Some experts believe that while artificial intelligence is expected to be a game-changer for the global workforce, workers in Sub-Saharan Africa may largely be left out. During a webinar on AI and its impact on global labor markets, organized by Fitch Solutions’ subsidiary BMI, Sayen Gohil, the company’s Sub-Saharan Africa Country Risk Analyst, projected limited AI adoption in the region. He cited factors such as low incomes, limited internet access, and the predominance of the informal sector. Indeed, nearly 85% of employment in Sub-Saharan Africa is informal according to data from the International Labor Organization (ILO).

According to official World Bank data, around 600 million people in Sub-Saharan Africa still lack access to electricity in 2024, about 45% of the population. For internet access, over 400 million people still do not have internet, which represents about 30% of the SSA population. In regions with limited access to these essential services, implementing and utilizing AI applications becomes significantly challenging.

Despite these challenges, Africa’s engagement with AI has accelerated over the past few years. Many African countries have launched national AI strategies, including Rwanda, Kenya, Nigeria, Senegal, and Egypt. Even less digitally developed countries like Benin are catching up the pace. At the continental level, the African Union's Continental AI Strategy sets the stage for a unified approach to AI governance across the continent. This strategy promotes ethical, responsible, and equitable AI practices, aligning with Africa’s Agenda 2063 goals to accelerate social and economic transformation.

AI-driven initiatives at both the national and continental levels have also emerged. For example, earlier this year, Microsoft announced plans to train 1 million South Africans in AI and cybersecurity by 2026. Before that, in October 2024, Google launched its AI Skilling Initiatives, committing $5.8 million to accelerate AI skilling initiatives across Sub-Saharan Africa. The African Development Bank (AfDB) also partnered with Intel last year to train 3 million Africans and 30,000 government officials in AI expertise. These are just a few examples among many others.

There is a positive dynamic on the continent, but progress is still slow. Addressing infrastructure and access challenges will be key to ensuring the continent can compete in the global AI economy.

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ECOFIN AGENCY offers a selection of articles translated from AGENCE ECOFIN. Founded in 2011, Agence Ecofin is a leader in Francophone Pan-African economic news, particularly in West and Central Africa. The agency publishes daily news on nine African economic sectors: Public Management, Finance, ICT, Agribusiness, Energy, Mining, Transport & Logistics, Communication, and Training.

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