The World Bank's Digital Progress and Trends Report 2025: Strengthening AI Foundations offers a timely, data-driven assessment of the global digital economy, with a particular emphasis on the role artificial intelligence can play in driving sustainable development. As countries accelerate their digital transformation, Africa finds itself at a critical juncture. Strategic investment in digital infrastructure, skills and policy frameworks could unlock significant opportunities for growth, innovation and inclusion across the continent.
Artificial intelligence is already reshaping the way societies learn, work and innovate. Its potential to boost productivity, widen access to knowledge and stimulate new industries is considerable. Yet for many low- and middle-income economies, realising these benefits remains difficult. Persistent gaps in infrastructure, skills and financial resources continue to limit widespread adoption.
Developed economies still dominate the AI landscape, accounting for the overwhelming majority of global AI models, start-ups and investment. However, the report highlights the emergence of so-called 'small AI" solutions in developing regions. These lightweight and affordable tools are designed to operate on everyday devices such as mobile phones, enabling tangible impact in areas including agriculture, healthcare and education without the need for extensive digital infrastructure. For African economies, this trend presents a practical pathway to harness AI despite structural constraints.