Artificial intelligence is emerging as a transformative force across Africa, with the sector forecast to grow from around US$4.5 billion in 2025 to more than US$16 billion by 2030. The boom is attracting global investment and creating new opportunities, but experts warn that women in lower-wage sectors may face disproportionate risks from automation.
Investment fuels digital expansion
Venture capital is flowing into AI-focused companies across the continent, with South Africa drawing more than US$600 million, Nigeria over US$200 million, and Kenya about US$15 million in recent years. International tech firms are also stepping up: Google has pledged US$1 billion to support Africa’s digital transformation.
Research hubs such as the Artificial Intelligence Institute of South Africa and Morocco’s International Center for AI are complementing grassroots initiatives like Deep Learning Indaba and AI4D Africa, which aim to improve AI literacy and broaden participation. Together, these developments are creating the foundations for a fast-growing ecosystem.
Promise of digital jobs
According to projections, the AI surge could generate as many as 230 million digital jobs in Sub-Saharan Africa by 2030. From agriculture to healthcare, applications of AI are being piloted to improve efficiency and deliver services in areas where infrastructure is weak. Policymakers view the sector as critical to boosting productivity and addressing unemployment among Africa’s large youth population.
Gender concerns in automation
A new study presented at the Global AI Summit for Africa has highlighted risks to women in the outsourcing industry, warning they are about 10% more likely than men to see their jobs displaced by AI systems. With women concentrated in lower-paid and routine roles, the shift could deepen inequality unless governments and employers adopt inclusive training and upskilling strategies.
Outlook
Africa’s AI market is at a turning point: rapid growth and heavy investment are positioning the continent as a hub of digital innovation. Yet without careful policy interventions, the gains could come unevenly. Ensuring gender equity, expanding digital skills and strengthening local research will be crucial for AI to deliver long-term and inclusive benefits.
REFH – Newshub, 5 September 2025
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