Artificial intelligence could contribute up to $1.5 trillion to Africa’s economy by 2030, if the continent secures just 10% of the projected global AI market. That’s according to the Africa AI Skills Readiness Revealed report published by SAP, the German enterprise software company.
The report, unveiled in Johannesburg and based on research conducted across Kenya, Nigeria, and South Africa, forecasts significant job growth driven by digital transformation. By the end of the decade, 230 million new digital roles are expected to emerge across the continent. In parallel, more than 650 million people in Africa will need to be trained or retrained in digital skills to keep pace with evolving workforce demands.
Africa’s digital economy, currently representing about 5.2% of GDP, is projected to reach 8.5% by 2050.
SAP’s latest findings build on research initiated in 2022 and concluded in late 2024, conducted in partnership with research firm Vanson Bourne. The study gathered written responses from 100 individuals in both public and private sector organisations to assess the readiness of AI talent across the three focus countries.
“In our latest report, we find a world transformed by powerful AI and cloud technologies,” a SAP executive said.
The report highlights an intensifying demand for AI competencies in African organisations. “Our latest research reveals a universal need for more AI skills among African organisations this year,” said Cathy Smith, SAP Africa’s Managing Director.
The skills shortage is evident: nine out of ten companies surveyed cited a lack of AI expertise as a challenge. In response, two-thirds of organisations have rolled out professional development programs focused on AI upskilling or reskilling.
In response to how SAP is addressing the skills gap at the university level, Smith said the company is committed to supporting African academic institutions. “SAP is ready to assist local institutions in preparing the continent for AI integration by ensuring that they produce approved experts into the market,” she said.
The African AI market is expected to be valued at approximately $4.92 billion by 2025, accounting for 2.5% of the global industry. SAP’s research also identified more than 2,400 AI-focused firms on the continent, including 726 in South Africa, 456 in Nigeria, and 204 in Kenya.
As Africa’s digital economy accelerates, industry leaders are urging increased investment in education and workforce development to ensure the continent can fully capitalise on AI’s economic potential.
