Industries

AI & DPI

Artificial Intelligence & Digital Public Infrastructure

The development of Artificial Intelligence (AI) and Digital Public Infrastructure (DPI) presents both immense potential to transform economies and societies, and complex, formidable challenges. The risks span governance, sovereignty, and social equity — and each one is addressable with the right structure.

$16.3Bprojected size of Africa's AI market by 2030, from $4.5B in 2025
40%+compound annual growth in Africa's AI data center market to 2031
90,000 kmof fiber network in Nigeria's AfDB-backed BRIDGE Project

Fragmented Governance and Regulation

There is currently no unified regional framework. Although ECOWAS adopted a landmark digital roadmap in early 2026 aimed at establishing a regional digital single market and an AI governance framework, national policies remain uncoordinated.

National AI and DPI strategies are often incomplete or immature. Senegal's AI ecosystem is dynamic but fragmented, lacking a coordinated national framework, with existing laws containing gaps and leaning toward protectionism. Ghana and Burkina Faso are in the earliest stages of adoption, having only recently released their National Digital Strategies. Governance failures are the most frequently cited reason for delays or outright failure in digital projects, leading to low adoption rates and wasted resources.

Digital Sovereignty and Data Security

The primary challenges here are the absence of data sovereignty, the security of data infrastructure, and what is increasingly described as data colonialism. AI systems deployed in critical sectors are frequently not developed using local or regional data, producing decisions and outcomes that lack a local basis.

The failure to adequately secure national data carries potentially catastrophic consequences for citizens, businesses, and governments alike — which makes sovereignty a structuring question, not merely a technical one.

Information Disorder and Geopolitical Threats

Information disorder, including state-sponsored disinformation, has been identified as a key threat to regional peace. Of particular concern is the emergence of platform-driven authoritarianism in the region, with military governments using AI tools and algorithms to shape public opinion and suppress dissent.

Digital Divide and Social Inclusion

The urban–rural digital divide widens as AI expands rapidly. Addressing brain drain and bridging that divide requires immediate investment in Centers of Excellence and strengthened STEM education, with a deliberate focus on inclusivity.

In West African clinical practice, key concerns regarding AI integration include clinicians being unfairly blamed for AI errors (76.5%), excessive provider control (72.8%), and a lack of clear reporting pathways (69.9%).

Investment Opportunities in AI & DPI

Despite the challenges, Africa's AI and digital infrastructure market is attracting global capital and demonstrating significant investment potential. Africa's AI market is projected to grow from $4.5 billion in 2025 to $16.3 billion in 2030. Mordor Intelligence projects that Africa's AI data center market will grow from $99 million in 2026 to $572 million by 2031 — a compound annual growth rate exceeding 40%.

Data centers. MTN Group plans to develop 150 megawatts of AI data centers in Nigeria and South Africa in partnership with UAE-backed investors. A separate partnership with Dubai investors plans to invest $6 billion in an AI data center network.

National fiber. The African Development Bank approved a $200 million loan supporting Nigeria's BRIDGE Project, deploying approximately 90,000 km of fiber network, with total project financing estimated at $2 billion.

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