Gov’t turns to private sector to build AI-ready infrastructure

ADDIS ABABA – As Ethiopia accelerates its digital transformation, the government is increasingly turning to private sector investment to establish critical data infrastructure that will support the country’s ambitions in Artificial Intelligence (AI).

Prime Minister Abiy Ahmed (PhD) has emphasized the need for robust data ecosystems to power Ethiopia’s AI-driven development. With over 100,000 digital content creators actively producing large volumes of data, he noted that organizing, storing, and analyzing this information is essential to harness AI’s full potential.

To address this, the Ethiopian government is now actively encouraging private companies to establish data centers, complementing public sector initiatives. The Prime Minister revealed that several local companies have already begun investing in proprietary data infrastructure to better serve customers and remain competitive in a digital-first economy.

Foreign investment has also played a pivotal role. Over 30 international firms have entered the Ethiopian market with large-scale data centers,  He acknowledged that while building data infrastructure demands significant capital and energy, Ethiopia has made remarkable progress during the past five years.

AI adoption, once met with skepticism, is now positioning Ethiopia as a continental innovator. The Prime Minister cited Ethiopian Airlines and Ethio Telecom as examples of institutions leveraging AI to enhance operational efficiency and customer experience. He praised the country’s youth for driving innovation and problem-solving through emerging technologies.

The government’s long-term strategy continues under the banner of the “Digital Ethiopia 2025” initiative, which is nearing completion. Building on its success, Ethiopia is now launching “Digital Ethiopia 2030” — a bold roadmap aiming to create a knowledge-based economy grounded in technology and innovation.

“By aligning infrastructure development with our digital goals, we are not just building facilities — we are building the future,” said the Prime Minister.

BY EYUEL KIFLU

THE ETHIOPIAN HERALD SUNDAY EDITION 11 MAY 2025

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