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23-10-2026
By Bob Koigi | Channel: artificial-intelligence
| Tags: Africa
Artificial Intelligence
Economy
Market Research
African CEOs prioritize AI, resilience and skills
African business leaders remain optimistic about economic growth, but converting that confidence into sustained profitability will depend on investment in resilience, artificial intelligence (AI), workforce capabilities and sustainability, according to the 2026 KPMG Africa CEO Outlook.
The report finds that 79 percent of African CEOs are confident in their organisations’ growth prospects, while 72 percent are confident in their domestic economies. However, only 58 percent expect annual earnings growth of at least 2.5 percent over the next three years, compared with 68 percent of global CEOs.
African CEOs prioritise resilience amid economic uncertainty
Although 66 percent of African CEOs are confident in the global economy, businesses continue to face geopolitical tensions, supply-chain disruptions, energy-market volatility and changing trade relationships.
Cybersecurity and data security, alongside supply-chain resilience, rank as the leading threats to growth, each cited by 31 percent of respondents. The integration of AI into operating models and workflows follows at 27 percent.
Investment plans reflect these concerns, with 45 percent of African CEOs increasing investment in cybersecurity and digital-risk resilience, 36 percent prioritising regulatory compliance and reporting, and 31 percent investing in AI integration.
Tola Adeyemi, Senior Partner and CEO of KPMG One Africa: “African businesses are demonstrating confidence in their ability to grow, but the next phase of growth will require more than ambition. Leaders must make deliberate choices about where to invest, how to strengthen resilience and how to build organisations that can adapt to disruption. The opportunity is to translate the continent’s resources, markets and entrepreneurial capacity into more productive, competitive and sustainable businesses.”
AI investment outpaces organisational readiness
AI remains a strategic priority, with 72 percent of African CEOs identifying it as a leading investment area, compared with 79 percent globally. However, only 14 percent believe their organisations are keeping pace with or moving ahead of AI developments, against 66 percent of global CEOs.
African business leaders also anticipate longer timelines for returns. Some 48 percent expect AI investments to deliver returns within one to three years, compared with 71 percent globally, while 42 percent expect returns to take more than three years.
The findings point to challenges in building the data infrastructure, governance frameworks and technical skills required to deploy AI effectively. Businesses will need to connect technology investment to measurable outcomes, including productivity improvements, stronger competitiveness and the development of products and services suited to African markets.
Workforce development remains central to growth
Despite increasing AI adoption, 84 percent of African CEOs expect their organisations’ headcounts to grow over the next three years. Meanwhile, 86 percent plan to retain and retrain high-potential employees, 82 percent are redesigning roles and team structures to support human-AI collaboration, and 74 percent are hiring AI and technology specialists.
Skills shortages remain a constraint. Workforce skills gaps were cited by 59 percent of respondents, while 58 percent highlighted AI upskilling and training and 52 percent pointed to challenges in attracting and retaining talent.
The findings underline the importance of aligning technology investment with workforce development. For African businesses, building relevant skills and expanding access to technology capabilities will be essential to translating digital transformation into productivity gains and broader economic participation.
Sustainability increasingly linked to business performance
African CEOs are also adjusting their sustainability strategies to focus on commercial performance, operational resilience and reporting requirements.
Some 48 percent said they were embedding sustainability more deeply into core business strategy, compared with 63 percent globally. Another 40 percent are concentrating on sustainability issues most relevant to business performance, against 21 percent of global respondents.
Energy management is another priority. Some 41 percent of African CEOs prioritise energy demand optimisation, while 40 percent plan to diversify towards renewable or lower-carbon external energy supplies. A further 15 percent intend to add dedicated energy generation or storage capacity.
Reporting preparedness has improved, with the proportion of African CEOs who believe their organisations can meet new sustainability reporting requirements rising from 55 percent in the previous year to 65 percent in 2026.
Revenue growth does not guarantee higher earnings
The report finds that 86 percent of African CEOs recorded revenue growth in their most recent financial year. However, the lower proportion expecting annual earnings growth of at least 2.5 percent over the next three years highlights the challenge of converting higher revenue into sustained profitability.
For African businesses, this requires balancing immediate operating pressures with investment in infrastructure, reliable energy, technology, skills and local value chains. The continent’s critical mineral refer opportunities, but realising them depends on stronger capabilities and competitive business environments
Adeyemi added: “Africa’s growth opportunity will depend on how effectively businesses work across markets, develop talent and build the capabilities needed to compete in a changing global economy. The priority is to move from recognising the opportunity to executing against it, with investment decisions that strengthen resilience today while building capacity for long-term growth.”
The 2026 KPMG Africa CEO Outlook concludes that confidence remains an important foundation for business growth, but sustained performance will depend on how effectively organisations manage uncertainty, deploy technology, develop talent and translate investment into measurable results.
The full report can be accessed here
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