Google services drive $900m economic impact in Kenya

The Ministry of ICT, Google and other stakeholders have unveiled the findings of The Digital Opportunity of Kenya, an independent report conducted by Public First. The report explores the transformative impact of digital technology on Kenya’s economy, revealing that Google’s products and services helped provide an estimated $900 million of economic activity for businesses, nonprofits, publishers, creators and developers in Kenya during 2023.

Economic counselor of the US Embassy Nairobi James Potts at Google Report launch

The insights underscore Kenya’s standing as a digital leader in Africa and the immense potential of continued investment in the digital economy.

Key findings from the report

  • Economic contribution: Google’s products and services, such as Search, Workspace, YouTube, Cloud, and Ads, generated $900 million in economic value in Kenya in 2023, empowering businesses, creators, and individuals across sectors.
  • Productivity gains: Knowledge workers saved 5.5 million hours annually using Google Search and Workspace, resulting in a $98 million improvement in productivity.
  • Digital skills development: 300,000 young adults acquired new digital skills through Google Search in 2023, highlighting the positive impact of these tools on employment and productivity.
  • AI potential: Artificial intelligence could add $2.4 billion to Kenya’s economy by 2030, underscoring its potential to reshape industries and create new opportunities for growth.

“Our research shows that tech investment will be a powerful catalyst for further growth and development across Kenya, especially if there is a focus on connectivity, cloud computing, and artificial intelligence,” said director & head of technology policy at Public First, Amy Price.

“Kenya’s digital transformation is a testament to the resilience, creativity, and entrepreneurial spirit of its people. At Google, we are deeply committed to building on this momentum by continuing to provide tools, skills, and infrastructure that enable individuals and businesses to innovate, thrive, and compete on a global scale. The insights from this report reaffirm the power of technology to drive sustainable growth and inspire us to continue working with partners to unlock Kenya’s full digital potential,” stated Google Kenya country director, Agnes Gathaiya.

Kenya’s digital economy is poised for accelerated growth through initiatives that prioritise connectivity, cloud-first policies, and digital infrastructure. The report provides actionable recommendations for policymakers to enhance these efforts and prepare the workforce for the AI-driven future, emphasising the need for strengthened STEM education and AI fluency.

ICT Authority Kenya CEO Stanley Kamanguya during the Google Report launch.

“Google’s significant contributions to Kenya’s digital economy demonstrate the power of technology to drive economic prosperity. Our ongoing collaboration with Google aims to unlock further opportunities for growth and innovation,” said CEO of ICT Authority Kenya, Stanley Kamanguya.

Artificial intelligence holds immense potential to transform Kenya’s economy. The report highlights its capability to drive innovation, optimise processes, and create opportunities for businesses and individuals. As AI adoption grows, Kenya has the chance to establish itself as a leader in AI-enabled industries, leveraging this technology to address local challenges and drive inclusive economic development.

In 2021, Google committed $1 billion to accelerate Africa’s digital economy through initiatives that enhance internet access, support entrepreneurs, and foster innovation. This investment has already made a tangible difference in Kenya, as illustrated by the report’s findings.

Programs like the Hustle Academy and the Black Founders Fund, coupled with critical infrastructure projects such as the Umoja subsea cable, highlight Google’s commitment to advancing Kenya’s economic growth and technological capabilities.

Kenya’s position as a digital leader in Africa is reinforced by this report, which offers strategic recommendations to unlock the country’s full potential. By expanding partnerships, scaling digital skills programs, and enhancing infrastructure, Kenya can continue to lead in leveraging technology for inclusive and sustainable growth.

For more information and access to the full report click here.

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