AfDB Unveils Landmark AI Report for Africa’s Economic Transformation
The African Development Bank (AfDB) has released a new analysis that says that using artificial intelligence may contribute up to $1 trillion to Africa’s GDP by 2035. The G20 Digital Transformation Working Group and the consultancy firm Bazara Tech worked together to write the paper, which is called “Africa’s AI Productivity Gain: Pathways to Labor Efficiency, Economic Growth, and Inclusive Transformation.”
The paper says that using AI in a way that includes everyone may boost the continent’s economy by about a third of its present GDP. This is because of good demographics, better digital infrastructure, and faster policy changes in important areas.
High-Impact Sectors Will Get Most of the AI Gains
The report finds five important industries that would profit the most from AI-driven innovation. These sectors will account for 58% of all productivity gains, worth about $580 billion by 2035:
- Agriculture (20%) – using smart agricultural technologies to increase yields and efficiency
- Wholesale and retail (14%) – improving logistics and digital commerce platforms
- Manufacturing and Industry 4.0 (9%) – improving automation and making factories more efficient
- Finance and inclusion (8%) – making it easier for more people to use digital banking and fintech services
- Health and life sciences (7%) – improving telemedicine, diagnostics, and public health systems
These sectors are at the center of Africa’s AI-driven economic agenda because they have a large economic scale, are ready for AI, and have great potential for inclusive growth.
Five Enablers for Sustainable AI Growth Across Africa
The research lists five foundational enablers for AI to reach its full potential across the continent:
- Data – reliable and interoperable systems that allow data to flow securely
- Computing power – infrastructure capable of processing large-scale datasets efficiently
- Skills – a digitally trained workforce to sustain and expand AI systems
- Trust – developed through strong governance, regulation, and ethical standards
- Financing – sustained capital investment to mitigate innovation risk and scale early ventures
These elements together create a cycle of AI-driven growth that fuels economic transformation.
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AfDB Calls for Coordinated Investment and Policy Action
Nicholas Williams, who leads the AfDB’s ICT Operations Division, said that the study serves as a strategic guide for both governments and private investors. He remarked, “This report lists the main things we need to do and shows where we should start. The Bank is willing to give money to support these initiatives.”
He emphasized that the goal is to bridge the gap between innovation and inclusive development by ensuring that AI adoption supports both new industries and rural regions.
Three-Phase Roadmap Toward Africa’s AI Readiness
The roadmap outlines three key stages for full AI integration across Africa:
- Ignition (2025–2027): develop foundational digital and data infrastructure
- Consolidation (2028–2031): expand pilot projects and regional initiatives
- Scale (2032–2035): deploy technology continent-wide and realize measurable GDP growth
Each phase is designed to accelerate adoption while maintaining fairness and equitable access to technology for all Africans.
Early Milestones to Drive Momentum by 2026
Ousmane Fall, the AfDB’s Director of Industrial and Trade Development, stressed the importance of achieving early results. He said, “Reaching early goals by 2026 will get Africa’s AI flywheel going. Africa’s problem isn’t what to do anymore; it’s doing it on time.”
This highlights the urgency for governments to implement digital policy reforms so that AI projects can advance before opportunities narrow.
Toward an Inclusive, AI-Driven African Future
The AfDB’s AI roadmap envisions a future where technology makes work easier, reduces inequality, and promotes inclusive growth. By investing in education, infrastructure, and innovation, Africa could become a global hub for ethical, human-centered AI.
If executed successfully, the continent could achieve its $1 trillion GDP target by 2035 — creating a new model of digital transformation that combines growth, equity, and sustainability across every sector of society.
