AFC’s 2025 State of Africa’s Infrastructure Report Highlights Digital Infrastructure as a Catalyst for Economic Transformation.

AFC

The Africa Finance Corporation (AFC), in collaboration with key partners, has released the State of Africa’s Infrastructure Report 2025, positioning digital infrastructure as a critical enabler of the continent’s inclusive growth and economic transformation.

The landmark report sheds light on the increasing investments flowing into Africa’s digital backbone—from subsea cables and terrestrial fiber networks to regional data centers and Internet Exchange Points (IXPs). These digital assets are foundational for building digital sovereignty, expanding cloud services, and elevating Africa’s participation in the global digital economy.


🚧 Bridging Africa’s Digital Divide

Despite progress, the report warns of a persistent rural–urban digital divide, where millions in rural communities remain unconnected or underserved. This gap in digital access restricts opportunities for education, entrepreneurship, healthcare, and civic participation.

Closing this divide is central to the report’s vision of a digitally inclusive continent.


🔑 Five Strategic Priorities to Advance Africa’s Digital Future

The AFC proposes five key actions to accelerate Africa’s digital transformation:

  1. 📡 Target Rural Connectivity Gaps
    Prioritize infrastructure in rural areas—especially where populations are 60–70% rural—to reduce the continent’s internet access deficit.
  2. 🏗️ Scale Infrastructure Investment
    Encourage public-private partnerships (PPPs) and shared infrastructure models to extend fiber backbones and last-mile connectivity to underserved regions.
  3. 📶 Liberalize Digital Markets Gradually
    Introduce phased telecom liberalization, as seen in Ethiopia, where market reforms boosted mobile coverage and competition.
  4. 🛡️ Harmonize Digital Policy Frameworks
    Align legislation across African nations on data sovereignty, interoperability, and cybersecurity to attract private capital and promote scale.
  5. 💻 Strengthen Digital Public Infrastructure (DPI) and Skills
    Invest in digital literacy, e-ID systems, and digital payment infrastructure to empower citizens, drive job creation, and boost productivity.

🌐 Aligning with Global Momentum

The report’s findings are in sync with major regional and global developments. Notably, the World Bank Group recently committed $100 million to support Raxio Group in expanding data centers across Ethiopia, Angola, and Uganda. These efforts aim to localize data, enhance cybersecurity, and lower cloud service costs, reinforcing the importance of regional digital infrastructure.


🚀 Africa’s Path to a Digitally Empowered Economy

The State of Africa’s Infrastructure Report 2025 underscores that digital infrastructure is no longer a luxury—it’s a strategic imperative for Africa’s competitiveness in the 21st century. By investing in connectivity, policy reform, and digital public goods, the continent can unlock innovation, economic resilience, and inclusive prosperity.

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