African CEOs Reset for Growth: AI, Talent, ESG, and Cyber Lead the Agenda
African executives are pushing for growth with clear priorities. In KPMG's 2025 Africa CEO Outlook Survey, 78% reported strong confidence in their businesses - up 12 points from last year - and 98% expect short-term expansion. Nearly 86% plan to pursue acquisitions over the next three years, despite inflation and geopolitical risk.
AI Moves From Slide Decks to P&Ls
AI is now a board-level commitment. 71% of CEOs are investing to improve efficiency, decision-making, and resilience, and 26% plan to allocate more than 20% of their annual budgets to AI - almost double the global average of 14%. As KPMG East Africa CEO Benson Ndung'u put it, "Technology and AI - particularly agentic AI - are becoming central to how CEOs are shaping strategy. They're not waiting for the future; they're operationalising AI today."
Execution remains the hurdle. 96% cite data readiness as a barrier - unreliable infrastructure, limited broadband, and dated systems slow progress. Even so, leaders are moving: 45% are investing in cybersecurity and digital resilience, 40% are integrating AI into workflows, and 34% are prioritising scalable innovation. For context on the broader trends, see KPMG's CEO Outlook series here.
Talent and Upskilling: The Multiplier
AI outcomes depend on people. 81% of CEOs say AI upskilling will directly impact business performance. 67% are redeploying employees into AI-enabled roles, and 88% expect headcount to grow. KPMG Africa partner Gerald Kasimu stressed the guardrails: "You can't focus only on performance and innovation - AI must be implemented with security and ethics by design, not as an afterthought."
Africa's demographics are an advantage. Only 15% of CEOs report generational gaps in AI-related skills, compared to 30% globally, giving time to build pipelines. West Africa leads in redesigning roles for AI collaboration (65%) and redeploying staff to AI-enabled functions (70%), while East Africa leads in hiring new AI and tech talent (62%).
ESG: Still Firm, Even With Reporting Pressure
Commitment holds. 79% of CEOs feel confident dealing with ESG rules, though only 55% feel ready for new reporting standards (vs 77% globally). 74% are using AI to cut emissions and improve energy efficiency, and 46% have embedded sustainability into core strategy.
The sticking point is supply chains: 21% cite supply-chain decarbonisation as the primary blocker to net-zero goals. By region, West Africa leads in prioritising ESG compliance (60%), followed by East Africa (48%) and Southern Africa (35%).
What This Means for Your Strategy
- Commit real AI spend: ring-fence 10-20% of your tech budget for use cases with near-term ROI (forecasting, shared-services automation, risk analytics), not experiments.
- Fix data at the source: set ownership, standardise taxonomies, modernise pipelines, and move critical datasets to reliable, scalable infrastructure before scaling AI.
- Build security in: pair every AI rollout with controls for data privacy, model monitoring, and incident response; expand cyber testing across third parties.
- Redesign roles, then hire: map workflows, redeploy teams into AI-enabled roles, and upskill managers for AI-era leadership. For curated executive-focused programs, explore AI courses by job.
- Refresh M&A theses: prioritise targets with defensible data assets, practical AI adoption, and credible ESG plans; integrate cyber and AI risk into diligence.
- Operationalise ESG: align incentives, push Scope 3 progress with supplier scorecards, and use AI for energy optimisation and reporting automation.
Outlook: Pragmatic Growth, Built on Capability
KPMG Africa CEO Ignatius Sehoole summed it up: "We are leading through volatility - but also through opportunity. African CEOs are not just responding to global headwinds; they're reimagining growth through innovation, resilience, and purpose-driven leadership."
The signal is clear. With focused investment in AI, skilled teams, cybersecurity, and ESG, African businesses are setting up for durable, inclusive growth - not by waiting for conditions to improve, but by building the capabilities that create it.
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