{"id":98768,"date":"2026-07-21T08:47:11","date_gmt":"2026-07-21T12:47:11","guid":{"rendered":"https:\/\/tvdelmarva.com\/wp\/imf-ai-could-grow-sub-saharan-africas-economy-4-with-better-power-and-internet\/"},"modified":"2026-07-21T08:47:11","modified_gmt":"2026-07-21T12:47:11","slug":"imf-ai-could-grow-sub-saharan-africas-economy-4-with-better-power-and-internet","status":"publish","type":"post","link":"https:\/\/tvdelmarva.com\/wp\/imf-ai-could-grow-sub-saharan-africas-economy-4-with-better-power-and-internet\/","title":{"rendered":"IMF: AI Could Grow Sub-Saharan Africa&#8217;s Economy 4% With Better Power and Internet"},"content":{"rendered":"\n<figure class=\"wp-block-image size-large\"><img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" width=\"450\" height=\"300\" src=\"https:\/\/i0.wp.com\/tvdelmarva.com\/wp\/wp-content\/uploads\/2026\/07\/news-1784638031413.jpg?resize=450%2C300&#038;ssl=1\" alt=\"\" class=\"wp-image-98767\" srcset=\"https:\/\/i0.wp.com\/tvdelmarva.com\/wp\/wp-content\/uploads\/2026\/07\/news-1784638031413.jpg?w=450&amp;ssl=1 450w, https:\/\/i0.wp.com\/tvdelmarva.com\/wp\/wp-content\/uploads\/2026\/07\/news-1784638031413.jpg?resize=300%2C200&amp;ssl=1 300w\" sizes=\"auto, (max-width: 450px) 100vw, 450px\" \/><\/figure>\n\n\n<p>Artificial intelligence holds the potential to grow Sub-Saharan Africa&#8217;s economy by approximately 4% over the coming decade \u2014 but that growth depends heavily on improvements to the region&#8217;s power grid, internet infrastructure, and digital workforce training, according to a new paper released Tuesday by the International Monetary Fund.<\/p><p>As nations and corporations worldwide scramble to harness the economic advantages of AI, investment in data centers, energy systems, and digital networks is accelerating globally. However, Sub-Saharan Africa \u2014 which sits at the very bottom of the IMF&#8217;s AI Preparedness Index \u2014 could miss out on most of those gains if critical infrastructure gaps are not addressed, the paper warns.<\/p><p>Martin Schindler, Deputy Division Chief and Mission Chief in the Fund&#8217;s African Department and the paper&#8217;s lead author, stressed that government action will be decisive. &#8220;Policy changes will be key to whether further growth can be unlocked from AI,&#8221; he said. Without bold steps, many countries in the region could see productivity and growth gains of just 0.2% over the next decade. &#8220;Frankly, that&#8217;s a rounding error,&#8221; he told Reuters.<\/p><p>Africa continues to lag behind in the global AI surge. Sub-Saharan Africa has one of the lowest AI adoption rates of any region on Earth, trailing every part of the world except South Asia. The IMF attributes this gap to weak digital infrastructure, a shortage of technical expertise, and limited regulatory capacity \u2014 factors that not only slow AI adoption but also leave the region more exposed to labor market disruption.<\/p><p>&#8220;For Sub-Saharan Africa, the central concern is not the risk of technological disruption, but whether countries will be able to adopt, adapt, and scale AI quickly enough to capture its benefits and avoid falling further behind,&#8221; the paper states.<\/p><p>A major obstacle is electricity. About half of the region&#8217;s population does not have reliable access to power. The report suggests that focused investments in electrical grids and smaller-scale mini-grids \u2014 particularly around schools, clinics, and other community facilities \u2014 could help establish local digital hubs. Co-author Andrew Tiffin put it plainly: &#8220;It&#8217;s hard to have anything without electricity.&#8221; He noted that the rise of AI has added a new dimension to Africa&#8217;s longstanding energy challenges, since data centers could become financially viable projects that actually help speed up electrification efforts.<\/p><p>Internet access is also a significant barrier. Only 38% of people in Africa used the internet in 2024, compared to 68% globally. The IMF paper calls for greater investment in fiber-optic networks and open-access systems to bring down costs and widen connectivity.<\/p><p>Some private investors are already moving in. Microsoft and G42 have announced a $1 billion, 100-megawatt geothermal-powered data center campus in Kenya. Separately, Cassava Technologies and NVIDIA have reached a $700 million agreement to deploy 12,000 graphics processing units across South Africa, Nigeria, Kenya, Egypt, and Morocco.<\/p><p>Despite this activity, Africa is home to only about 160 data centers \u2014 roughly 5.5% of the world&#8217;s total \u2014 with nearly half of those concentrated in just three countries: South Africa, Nigeria, and Kenya. The IMF paper warns that this concentration raises the risk that AI investment could actually deepen economic inequality across the broader region.<\/p>","protected":false},"excerpt":{"rendered":"<p>A new International Monetary Fund paper finds that artificial intelligence could boost Sub-Saharan Africa&#8217;s economy by roughly 4% over the next decade \u2014 but only if the region improves its electricity supply, internet access, and digital skills. Without those improvements, the economic benefit could amount to just 0.2%, which one IMF official called &#8216;a rounding error.&#8217; The region currently ranks at the bottom of the IMF&#8217;s AI Preparedness Index.<\/p>\n","protected":false},"author":4,"featured_media":98767,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[832],"tags":[],"class_list":["post-98768","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-world-news"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"https:\/\/i0.wp.com\/tvdelmarva.com\/wp\/wp-content\/uploads\/2026\/07\/news-1784638031413.jpg?fit=450%2C300&ssl=1","jetpack_shortlink":"https:\/\/wp.me\/pbtNqq-pH2","jetpack-related-posts":[{"id":95239,"url":"https:\/\/tvdelmarva.com\/wp\/how-african-shoppers-are-ordering-from-amazon-and-walmart-without-a-bank-card-or-address\/","url_meta":{"origin":98768,"position":0},"title":"How African Shoppers Are Ordering from Amazon and Walmart Without a Bank Card or Address","author":"Admin","date":"July 14, 2026","format":false,"excerpt":"Millions of shoppers across Africa are now purchasing goods from major international retailers like Amazon and Walmart, even though those companies have little to no physical presence on the continent. 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