The World Bank says artificial intelligence could help expand Nigeria’s digital economy and reduce poverty. The bank’s October 2026 Africa Economic Update warned that poor households risk being excluded from its benefits. AI could be a poverty-reducing platform in Africa. It is constrained by limited access to affordable internet, devices, electricity and digital skills.
Africa has been largely excluded from AI development. The major models are built in the US and China. They are trained on data that underrepresents Africa. They are deployed in African markets without local input. In 2023, the African Union developed a continental AI strategy. It emphasised local capacity and data sovereignty. Implementation has been slow. The World Bank’s report quantifies the gap.
The bank said Nigeria’s GitHub developer base has expanded tenfold since 2020. Ghana recorded nearly an eightfold increase. Registrations accelerated after free AI coding assistants became available. The growth shows what AI could deliver if access is broadened. It could create a larger digital services sector. It could strengthen regional collaboration. It could deliver productivity gains in agriculture, education, health and finance.
But access is constrained. Mobile internet in Sub-Saharan Africa remains the least affordable in the world relative to income. A basic data package costs about twice the UN affordability target. The cost of internet-enabled devices is a barrier. An entry-level handset costs the poorest fifth of the population about three-quarters of a month’s income. Across 19 African countries, only 12% of households in the poorest income quintile have both a phone and an electricity connection. That compares with 54% among the richest quintile. In many countries, fewer than 10% of adults in the poorest quintile are online. The bank warned that AI’s productivity gains could concentrate among those already better positioned to use the technology.
Winners: Tech-savvy developers, who gain opportunities. Urban professionals, who gain access. AI companies, which gain users. The digital economy, which grows. Losers: Poor households, who are excluded. Rural communities, which lack connectivity. Workers without digital skills. The economy, if AI widens inequality.
Bottom Line: AI can reduce poverty. It can also widen inequality. The World Bank says access is the constraint. Nigeria’s developer base is growing. The poorest are being left behind. Infrastructure is the bridge. Without it, AI will concentrate advantage.