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    You are at:Home»Africa Intelligence»Africa’s AI revolution: Artificial intelligence, the continent’s new growth engine
    Africa Intelligence

    Africa’s AI revolution: Artificial intelligence, the continent’s new growth engine

    Xsum NewsBy Xsum NewsJanuary 1, 2026No Comments4 Mins Read10 Views
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    Africa could become one of the major winners of the global artificial intelligence revolution. This is the central message of a report published by the African Development Bank on December 12, 2025, titled “Improving AI Productivity in Africa: A Path to Labor Efficiency, Economic Growth and Inclusive Transformation.” The study was developed within the framework of the G20 Digital Transformation Working Group and provides a strategic roadmap for harnessing the economic and social potential of AI on the continent.

    The analysis, produced by consulting firm Bazara Tech, estimates that comprehensive deployment of artificial intelligence could generate up to $1 trillion in additional GDP by 2035, equivalent to nearly a third of the continent’s current economic output. Although the forecast is ambitious, the AfDB believes it is credible given Africa’s demographic, digital and sectoral dynamics.

    Growth by major sectors

    The report shows that AI will not spread uniformly across the economy, but the benefits will be concentrated in a few high-impact sectors. The five priority areas alone will account for 58% of the expected benefits by 2035, or about $580 billion.

    Agriculture is number one, accounting for 20% of potential profits. AI is seen as a key tool for improving yields, optimizing irrigation, predicting climate risks, and enhancing food security. This is followed by wholesale and retail trade (14%), where AI will transform logistics, inventory management, and customer relationships. Manufacturing and Industry 4.0 accounted for 9% of profits, ahead of finance and financial inclusion (8%) and health and life sciences (7%).

    According to the report, these sectors combine three critical strengths. It has significant economic weight, a real ability to deploy AI technologies, and a strong potential to have an all-encompassing impact, especially in terms of employment and essential services.

    Invest now to reap AI dividends

    For the African Development Bank, this issue is no longer theoretical. “In this report, we have identified key actions and areas where implementation must begin on a priority basis,” explains Nicholas Williams, AfDB’s ICT operations division manager. “The Bank stands ready to mobilize investment to support these actions. We look forward to the private sector and governments leading these actions to generate confirmed productivity gains and create quality jobs.”

    This approach reflects a change in perspective. AI is no longer seen as a technological luxury, but as a strategic development tool that can support the structural transformation of African economies.

    Five pillars for a successful AI revolution

    The report emphasizes that the potential of AI cannot be realized without a solid foundation of prerequisites. Five interrelated factors have been identified as essential: data, computational power, skills, trust, and capital.

    Reliable and interoperable data forms the foundation of any high-performance AI solution. This must be complemented by a scalable computing infrastructure, which is essential for large-scale deployments. Developing local skills will also be central to designing, maintaining and adapting AI systems to African realities. Trust, built on appropriate governance and regulatory frameworks, is a condition for adoption by the public and businesses. Finally, access to capital is considered important for mitigating innovation-related risks and accelerating scale.

    Taken together, these measures should “foster a virtuous cycle of AI-driven growth,” according to the report.

    3-step roadmap

    To build on this scale-up, AfDB is proposing a three-stage trajectory. The first phase (2025-2027) aims to lay the institutional and technical foundations. The consolidation phase (2028-2031) requires fixing use cases and expanding sectoral deployment. Finally, the expansion phase (2032-2035) aims to fully diffuse the benefits of AI throughout the economy.

    “Reaching the first milestone as early as 2026 will set Africa’s AI flywheel in motion,” emphasized Usman Fall, Director of Industrial and Commercial Development at AfDB. “Africa’s challenge is that it no longer knows what to do, but to do it on time.”

    Competitiveness and sovereignty issues

    The report goes beyond numbers and raises strategic questions about Africa’s place in tomorrow’s global economy. By mastering artificial intelligence, the continent can not only increase productivity, but also strengthen its technological sovereignty, reduce certain dependencies, and provide tailored solutions to its own challenges.

    Africa’s AI revolution is therefore more than just a promise of growth. It is also a test of coordination between states, financial institutions, the private sector, and the innovation ecosystem. The possibilities are there. What remains is to turn this vision into a concrete reality.

    Africas Artificial continents engine growth intelligence revolution
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