Although there are notable disparities in the adoption of artificial intelligence (AI) in Africa, the drive to embrace it is at its peak among the top economies on the continent.

Kenya, Nigeria and South Africa are among the countries showing enough aggression to make AI part of their economies.

Responding to questions from CAJ News Africa, to Systems Applications and Products (SAP), the German headquartered software developer, which forecast AI would help stimulate development mainly in the areas of agriculture, fintech, healthcare and logistics. The majority of these sectors are already AI-driven.

“Africa is making significant progress in adopting emerging technologies, though the level of adoption varies across the continent,” said Dumisani Moyo, SAP Africa Marketing Director, in an interview with CAJ News Africa.

The executive noted that despite disparities in AI adoption, embracing of AI was taking shape in parts of the continent including Kenya, Nigeria and South Africa.

“This disparity is largely driven by differences in the maturity of tech ecosystems, particularly in relation to the adoption of Business AI technologies,” Moyo added.

He cited key areas in the fields of fintech, healthcare, agriculture and logistics as having already benefited from AI driven innovations.

“For example, AI is being used to improve financial inclusion, enhance crop yields, and optimize supply chains across the continent,” Moyo said.

He said the main reasons Africa is adopting emerging tech was because of the growing ecosystems in above-mentioned countries that have already emerged as hubs for innovations.

Moyo commended mobile penetration and connectivity as creating a foundation for AI applications, particularly in areas like mobile banking, which now includes those that were unbanked or financially excluded before.

He also indicated that AI was instrumental in supporting government policies.

“Some African governments are implementing policies to promote AI research and development,” he said.

“For example, here in Kenya AI has been identified as a key thematic focus by the Kenya National Innovation Agency’s Strategic Plan 2023-2027, especially its application in developing innovative solutions for use in biotech, urban planning and climate change efforts.”

He also noted the importance of international partnerships, which he said had seen African countries benefit from ties with global tech companies, fostering the growth of Business AI capabilities.

However, the official noted challenges that also hindered adoption. These include infrastructure limitations

While some regions have good connectivity, many rural areas still suffer from limited access to reliable internet, electricity and the necessary infrastructure.

There are also data accessibility issues. The cost of AI adoption in infrastructure and expertise could be expensive.

“AI relies on large datasets, and in many African countries, data collection and management systems are either underdeveloped or fragmented,” Moyo said.

“Many African businesses, particularly small and medium-sized enterprises, face these challenges. However, with consumption-based models in the cloud, this is becoming less of a challenge,” he said.

Regulatory concerns also hinder adoption.

“For many African countries, regulatory frameworks surrounding AI are still evolving, and there are concerns about data privacy, job displacement and ethical use of AI,” Moyo stated.

This article first appeared on Techno Africa.