Kenya’s digital economy is projected to contribute KES 662 billion to GDP by 2028, driven by strategic policy reforms and digitalization in agriculture, manufacturing, transport, and trade.
This growth is expected to create 300,000 jobs and increase tax revenues by KES 150 billion.
The GSMA’s Digital Africa Index discusses Kenya’s mobile broadband adoption and innovation leadership. The index supports policymakers in identifying areas for improvement to accelerate digital transformation.
Digitalization in critical sectors is expected to significantly contribute to GDP, create jobs, and generate tax revenues. In 2023, the mobile ecosystem contributed KES 1.2 trillion to Kenya’s GDP and KES 212 billion in government revenues.
Policy initiatives are needed to close the internet usage gap to stimulate demand, reduce supply costs, and encourage investments in mobile money services, telecom infrastructure, and digital services.
Smartphone affordability and access are key barriers to digital inclusion. Policy measures such as tax reductions and device financing options can help millions more Kenyans access mobile internet services.
Policy recommendations include reducing sector-specific taxes, streamlining license renewals, improving device affordability, and supporting digital skills development.