Digital Transformation Key to Africa’s Inclusive Growth, AfDB Panel Concludes

At a high-level side event during the 2025 African Development Bank Group Annual Meetings in Abidjan, Côte d’Ivoire, African and global leaders came together to emphasize the transformative power of digital technologies in unlocking Africa’s economic potential, strengthening governance, and driving inclusive development.

The event, held on Tuesday, 27 May, was co-hosted by the African Development Bank Group (AfDB) and the Club de Madrid, and featured a distinguished panel of former heads of state, global corporate leaders, educators, and digital innovators. Themed “Driving Africa’s Economic Future: Digital Transformation for Inclusive Growth and Governance,” the event highlighted both the opportunities and challenges facing Africa’s digital future.

Digitisation Could Unlock $687 Billion in Revenue

Kevin Urama, AfDB’s Chief Economist and Vice President for Economic Governance & Knowledge Management, revealed the staggering economic potential that digital transformation can unleash. According to Urama, digitising Africa’s public sector systems could generate up to $687 billion in additional revenues, with $125 billion achievable through the digitisation of tax systems alone—without any increase in tax rates.

“These are not speculative numbers,” Urama said. “They reflect the real potential of leveraging digital technologies to transform public finance, transparency, and governance across the continent.”

Farmers, AI, and Financial Inclusion: Sectoral Highlights

Julia Duncan, Global Director for Development Finance at Bayer, drew attention to how digital tools are transforming agriculture—Africa’s largest employment sector. “Smallholder farmers who adopt digital platforms are seeing annual income gains of 40–45%, thanks to better agronomic advice, improved access to markets, and tailored financial tools,” she explained.

Dr. Obiageli “Obi” Ezekwesili, former World Bank Vice President and ex-Minister of Education in Nigeria, emphasized Africa’s historic opportunity: “We missed the agrarian and industrial revolutions, but the digital revolution is one we are not missing out on. We are participating—and increasingly, we are contributing to its architecture.”

She linked digital inclusion to education reform, stressing the dire need to address literacy. “Nine in ten African children are not reaching basic literacy benchmarks. That’s a systemic failure,” she said. “If we aim to lead in digital innovation, we must begin by radically overhauling how we educate—rethinking teacher training, curricula, and learning assessments.”

Africa in the AI Age: On the Cusp, But Not Left Behind

Pren-Tsilya Boa-Guehe, Head of Global Affairs for Africa at Google, noted that Africa is not far behind the rest of the world in artificial intelligence (AI), since AI remains globally nascent. “But we must act swiftly,” she warned. She announced a forthcoming AI sandbox initiative under the AfCFTA Secretariat, which will bring together policymakers, startups, and private enterprises to foster innovation with strong regulatory frameworks.

UNESCO’s Mame Omar Diop provided critical context, noting that Africa accounts for just 2.5% of the global AI market, which was valued at $130 billion in 2023 and is projected to exceed $1.9 trillion by 2030. “It is vital that Africa doesn’t just consume AI but actively shapes its development—ethically and equitably,” Diop said. He emphasized UNESCO’s leadership in creating the only global standard on AI that safeguards human rights, transparency, and inclusion.

Lessons from Tunisia: Political Will and Digital Strategy

Mehdi Jomaa, former Prime Minister of Tunisia and Club de Madrid member, shared insights from his country’s digital transformation. “Digitalisation is more than economic—it is about institutional reform, governance efficiency, and trust. Tunisia’s progress was anchored in a clear strategy: the Tunisia Digital 2020 Plan, and a strong political will to implement it.”

He reinforced that education remains the foundation of all digital progress. “Tunisia’s success in tech innovation is not accidental—it was built on years of investment in education.”

Strong Institutions and Pan-African Collaboration

Boa-Guehe concluded by underlining the importance of continental institutions in scaling digital solutions across borders. “For Africa’s digital innovators to thrive, we need institutional anchors. The African Union and the African Development Bank have the convening power and trust to guide and harmonize this transformation across the continent.”

Her call for unified action was echoed across the panel—urging governments, regional blocs, and development partners to invest in digital infrastructure, create conducive policy environments, and promote cross-border collaboration.

A Call to Action: Digitisation for Inclusive Growth

The panel concluded that digital transformation is not a luxury—it is a development imperative. With youth populations booming, innovation hubs rising, and mobile connectivity accelerating, Africa stands at a critical inflection point.

But seizing this opportunity will require more than ambition—it will demand smart policies, massive investments, education reform, and strong leadership.

As Dr. Ezekwesili aptly noted, “We may not control the origin of revolutions—but we can choose whether to lead or follow them. In this digital age, Africa must lead.”