African Development Bank Maps Out AI-Driven Growth Potential For Africa

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The African Development Bank (AfDB) has released a report outlining a strategic roadmap for unlocking the economic and social potential of artificial intelligence (AI) across Africa. Titled Africa’s AI Productivity Gain: Pathways to Labour Efficiency, Economic Growth and Inclusive Transformation, the report was developed under the G20 Digital Transformation Working Group and highlights the potential of AI to drive development on the continent.

The study, carried out by consulting firm Bazara Tech, finds that inclusive AI deployment could generate up to $1 trillion in additional GDP by 2035, equivalent to nearly one-third of Africa’s current economic output. This potential is supported by the continent’s growing digital capacity, favorable demographics, and ongoing sectoral reforms.

The report identifies five priority sectors expected to capture the majority of AI-driven gains. Agriculture is projected to contribute 20% of the total, followed by wholesale and retail at 14%, manufacturing and Industry 4.0 at 9%, finance and inclusion at 8%, and health and life sciences at 7%. Together, these sectors could account for approximately $580 billion, or 58% of total AI gains by 2035.

According to AfDB, realizing AI’s potential will depend on five interlinked enablers: data, compute, skills, trust, and capital. Reliable and interoperable data forms the foundation for AI insights, while scalable computing infrastructure supports efficient deployment across the continent. A skilled workforce is essential to develop, implement, and maintain AI systems, and trust—built through governance and regulatory frameworks—underpins adoption. Adequate capital investment is also needed to de-risk innovation and accelerate deployment, fostering a cycle of AI-driven growth.

The report further outlines a three-phase roadmap for Africa’s AI readiness, beginning with the ignition phase from 2025 to 2027, followed by consolidation between 2028 and 2031, and culminating in a scale phase from 2032 to 2035. AfDB officials note that achieving early milestones by 2026 will be critical to establishing Africa’s AI growth trajectory.

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