Lagos: International Finance Corporation (IFC) has highlighted Africa’s demographic advantages as a catalyst for the expansion of the digital economy, with Nigeria positioned as a central hub for this growth. Dr. Dahlia Khalifa, Regional Director for Central Africa and Anglophone West Africa at IFC Nigeria, shared these insights during the Gulf Information Technology Exhibition (GITEX) Nigeria 2025 conference in Lagos.
According to News Agency of Nigeria, Dr. Khalifa emphasized that Africa’s digital economy is expanding rapidly, driven by increased internet adoption, mobile penetration, and a burgeoning generation of young innovators. She noted that Africa’s population is expected to grow from 1.5 billion to 2.5 billion over the next 25 years, with 600 million youths potentially entering the job market, positioning the continent for the fastest growth globally.
With over 60% of Africans under the age of 25 and rising smartphone adoption, Africa boasts one of the world’s largest pools of digital natives. Dr. Khalifa pointed out that Africa’s digital economy has been among the fastest-growing globally over the past decade and is projected to contribute approximately $180 billion to the continent’s GDP by 2030.
Dr. Khalifa further stated that Artificial Intelligence (AI) in Africa is not just about efficiency but about transformative potential. AI can help Africa surpass traditional growth barriers and accelerate progress in sectors like health, education, agriculture, finance, and business. However, she cautioned that investments in infrastructure, such as energy, broadband, digital connectivity, and skills development, are critical to ensure that AI benefits are not missed.
Citing IFC’s recent report titled ‘Digital Opportunities in African Businesses,’ she highlighted the potential benefits of digital transformation for over 600,000 formal businesses and 40 million micro-enterprises. This transformation could enhance productivity, increase wages, and create better-quality jobs and livelihoods across the continent.
Dr. Khalifa stressed the importance of private sector involvement and public-private dialogue. She advocated for reliable broadband, robust data centers, modern digital infrastructure, and sustainable clean energy to seize these opportunities. Additionally, she called for investment in skills and training programs to prepare Africa’s youth for future jobs and for partnerships between governments, the private sector, and international institutions to foster trust and mobilize capital.
The IFC has committed to supporting Africa’s digitalization journey, having financed over $6 billion in the continent’s digital infrastructure over the past decade, including data centers, fiber networks, and affordable broadband solutions. Dr. Khalifa asserted that with responsible AI and digital technology utilization and the right partnerships, Africa can develop an inclusive, innovative, and globally competitive digital economy.
Trixie Lohmirmand, Executive Vice President of the Dubai World Trade Center, praised the resilience and innovation of Lagos startup innovators, noting their success despite challenges like power issues and infrastructure development. She described Nigerian startups as some of the fastest-growing globally, surpassing those in cities like Mumbai and Sao Paulo.
Mrs. Olu Olufemi-White, CEO of Alami Capital, emphasized the importance of visionary leadership in creating spaces for innovation. She described GITEX as a launchpad for new ideas and innovations, adding that Nigeria is boldly embracing challenges and striving to advance its digital frontiers by addressing local demands.
