We’re Lagging On AI, Say African CEOs

Most African CEOs rank AI among their top investment priorities. Very few say their companies are keeping up with it.

KPMG’s 2026 Africa CEO Outlook, published in late October, found that 72 per cent of African CEOs name AI a top investment priority, against 79 per cent globally. Only 14 per cent say their organisations are keeping pace with or ahead of AI developments. Globally, the figure is 66 per cent. KPMG surveyed 176 African CEOs between 11 August and 21 September, as part of a global sample of 1,400.

The CEOs are not pessimistic about their own businesses. 86 per cent reported revenue growth in their last financial year, and 79 per cent are confident in their organisation’s growth prospects. KPMG also reports that 86 per cent are confident or cautiously optimistic about keeping pace with AI, against 95 per cent globally. That sits beside the 14 per cent figure, though the survey words the two questions differently.

Waiting For The Payoff

African CEOs also expect AI to take longer to repay. 48 percent expect returns within one to three years, against 71 per cent globally. 42 percent expect them after three years, against 12 per cent globally.

The report points to what has to be in place first. “Without dependable data, clear ownership and accountable delivery, pilots can struggle,” it says. Joelene Pierce, Managing Partner for Technology And Innovation at KPMG One Africa, said the shift from ambition to value “demands trusted data, capable people and disciplined execution.”

Tola Adeyemi, Senior Partner and CEO of KPMG One Africa, said “the next phase of growth will require more than ambition.” He added, “The priority is to move from recognising the opportunity to executing against it.”

The People Problem

The CEOs’ own answers on staffing suggest where the work lies. 59 per cent cite workforce skills gaps and 58 per cent cite the need for AI upskilling. 52 per cent say they struggle to attract and retain talent. At the same time, 74 per cent are hiring AI and technology talent, 86 per cent plan to retain and retrain high-potential staff, and 82 per cent are redesigning roles and teams for human-AI collaboration. 56 percent anticipate reductions in selected areas of their workforce.

Their other worry is security. 31 per cent of African CEOs cite cybersecurity and data security as a threat to growth, and 45 per cent are increasing spending on cyber and digital-risk resilience. That is the largest share of any investment area. 31 per cent are increasing spending on AI integration.

What The CIOs Say

A separate survey shows how this looks from the CIO’s desk. ITWeb’s 2026 Brainstorm CIO Survey drew 108 CIO responses between mid-September and mid-October. Its preliminary findings were presented on 23 October at a banquet in Johannesburg.

The biggest pressure point CIOs named was operationalising AI, at 26 per cent. 67 per cent cited budget constraints as an obstacle and 59 per cent cited change management and organisational culture. AI and automation tied with cybersecurity and resilience as top strategic priorities, at 67 per cent each.

Many have started building. 51 per cent have traditional AI, including machine learning, in production to some degree, and 49 per cent have generative AI. For agentic AI, 37 per cent report some deployment, but only 4 per cent say it is widely deployed. CIOs gave themselves an average of 6.9 out of 10 for demonstrating returns on technology investment.

Adrian Hinchcliffe, ITWeb’s Editor-in-Chief, who presented the findings, said “the primary friction CIOs face today is defining a clear business case and proving the value.”

Hiring reflects the same push. AI was the most sought-after skill, with 65 of 108 CIOs listing it as a hiring priority. The survey found 74 per cent of technology “leaders” were actively seeking AI talent, against 28 per cent of “late adopters.” The respondents classified themselves into those groups.

Beyond The Company Walls

Some of the gap sits outside any company’s control. In July, the IMF estimated that AI could lift Sub-Saharan Africa’s economy by about 4 per cent over a decade, but only if gaps in electricity, connectivity and digital skills are closed. Without that, the gain could be as low as 0.2 per cent.

“Frankly, that’s a rounding error,” said Martin Schindler, the paper’s lead author. About half the region’s population lacks reliable power, and only 38 per cent of Africans used the internet in 2024, against 68 per cent globally. “It’s hard to have anything without electricity,” said co-author Andrew Tiffin.

PwC’s global CEO survey, reported in February, found a similar pattern. 41 per cent of African CEOs have a clear AI roadmap, 37 per cent have formal responsible-AI processes, and 37 per cent are confident they can source and keep AI talent. Christiaan Nel, PwC South Africa’s AI Africa leader, said, “AI adoption in Africa is real, but scaling it across the enterprise remains a challenge.”