Africa's artificial intelligence sector anticipates $16.5 billion in expansion by 2030, with Mastercard investigating avenues for digital makeover
Mastercard Whitepaper Highlights AI Opportunities and Challenges in Africa
In a groundbreaking report, Mastercard has outlined the significant potential of Artificial Intelligence (AI) in transforming Africa's critical sectors, from finance and healthcare to agriculture, education, and energy. The whitepaper, titled "Harnessing the transformative power of AI in Africa", underscores the continent's AI opportunity, with the market projected to grow from USD 4.5 billion in 2025 to USD 16.5 billion by 2030.
The report highlights Africa's unique strengths, such as its youthful demographics, mobile-first infrastructure, and entrepreneurial ethos, which position it to be an active architect of AI-driven digital transformation rather than a passive adopter. One key finding is AI's transformative economic impact, reshaping industries across the continent and driving financial inclusion, healthcare delivery improvements, and educational access, particularly in remote areas.
However, the report also warns of potential challenges, including data fragmentation, language exclusion, and regulatory inconsistency, which could deepen the digital divide in Africa. To overcome these hurdles, the whitepaper emphasizes a responsible, inclusive, and context-sensitive approach to AI adoption.
Key recommendations include multi-stakeholder collaboration and investment, aligning AI strategies with Africa's social, cultural, and economic contexts, prioritizing digital infrastructure development, investing in human capital and local talent development, establishing governance frameworks and ethical AI policies, and leveraging AI for inclusive social impact.
Several countries are already embracing this approach. For instance, South Africa aims to develop up to 300 AI start-ups and train 5,000 AI professionals by 2030. The country attracted USD 610 million in AI-focused venture capital in 2023 and is projected to have total AI investment of USD 3.7 billion by 2030. South Africa is also home to the Artificial Intelligence Institute of South Africa, serving as a gateway for students and professionals to access world-class education, research, and industry news.
Other countries, such as Morocco and Kenya, are also making strides in AI adoption. Morocco's AI market is projected to reach USD 1.4 billion by 2025, and the country aims to attract USD 1.1 billion in investment and create 240,000 digital jobs by 2030 under its Digital 2030 strategy. Kenya's National AI Strategy (2025-2030) aims to position the country as a regional leader in AI research and development, innovation, and commercialization for socioeconomic development.
The whitepaper also underscores the importance of pan-African cooperation, citing the Africa AI Fund ($60 billion) and the creation of the Africa AI Council as key steps toward coordinated AI governance, policy harmonization, and cross-border collaboration.
In Nigeria, the country ranks second in the number of AI startups and secured USD 218 million in VC investment in 2023. The whitepaper suggests that AI can accelerate job creation, with up to 230 million digital jobs projected by 2030. Mastercard believes that responsible, locally rooted AI can drive inclusive growth and connect more people to opportunity.
Examples of AI applications in Africa include platforms like Tala using mobile data for credit scoring and Jacaranda Health's UlizaLlama providing maternal health support in five local languages. AI can also increase access to formal finance through AI-enabled credit scoring and fraud prevention.
In conclusion, Mastercard's whitepaper advocates for a responsible, inclusive, and context-sensitive approach to AI adoption in Africa, underpinned by investment in infrastructure, people, and governance to unlock AI's transformative benefits while mitigating risks and inequalities.
- The Mastercard whitepaper suggests that Artificial Intelligence (AI) can increase access to formal finance through AI-enabled credit scoring and fraud prevention in Africa.
- In South Africa, the country aims to develop up to 300 AI start-ups and train 5,000 AI professionals by 2030, as highlighted in the Mastercard whitepaper.
- The report also emphasizes the importance of African countries leveraging AI for inclusive social impact, such as platforms like Tala using mobile data for credit scoring and Jacaranda Health's UlizaLlama providing maternal health support in five local languages.
