Kenya could increase its Gross Domestic Product (GDP) by nearly US$2 billion over the next decade through artificial intelligence (AI), although shortcomings in digital skills, infrastructure and employment opportunities could hinder its ability to realise the full benefits, a new study has found.
The 2026 Commonwealth Youth AI Readiness Index, published by Ayre Think Tank, ranked Kenya 22nd out of 56 Commonwealth countries, with a score of 48.7 out of 100. The ranking places the country ahead of its East African Community (EAC) counterparts, Uganda, Tanzania and Rwanda.
The report estimates that AI could raise Kenya’s GDP by US$1.97 billion after 10 years under a moderate growth scenario. The potential increase could rise to US$2.99 billion under optimistic projections, but drop to US$952 million if growth remains conservative.
Kenya’s projected economic gains are the third highest among 41 Commonwealth countries that scored below the index’s readiness benchmark of 53 points. Bangladesh and Pakistan recorded larger projected opportunities.
Despite leading the East African region, Kenya remains below the recommended threshold, indicating that improvements in digital infrastructure and technology adoption have not yet translated into sufficient economic preparedness.
Uganda ranked 23rd with 47 points, followed by Tanzania in 25th position with 45.5 points. Rwanda was placed 47th with a score of 38.1. Only 15 Commonwealth countries achieved or surpassed the readiness benchmark, with Singapore topping the rankings at 77.6 points.
Kenya’s digital infrastructure and AI skills development
The study assessed conditions affecting approximately 732 million young people aged between 15 and 29 across Commonwealth countries.
It found that 55.5% of Kenyan 15-year-olds reported evaluating AI-generated content as part of their classroom activities, pointing to growing exposure to the technology among learners.
Kenya also performed relatively well in digital connectivity, with 4G network coverage reaching 97.3% of the population. However, electricity access remains at 77%, while some businesses continue to experience internet connectivity interruptions.
Several initiatives are already seeking to equip Kenyans with practical AI skills and improve the use of technology in business.
In 2025, more than 55,000 Kenyan micro-entrepreneurs completed AI training through a partnership between entrepreneurship platform MESH and Microsoft. The programme was designed to help small business owners improve their operations and expand their enterprises.
In June 2026, UNESCO reported that its AI and digital skills initiative had reached more than 5,300 beneficiaries in Kenya, most of them students. The programme was also being rolled out across 23 technical and vocational education and training institutions.
Skills and employment gaps threaten AI gains
The findings highlight the need to ensure that increased access to AI translates into job creation, business growth and improved incomes, rather than leaving young people dependent on technologies developed outside the country.
Researchers recommended expanding access to affordable digital technologies, strengthening practical education and establishing clearer pathways connecting skills training to employment opportunities.
They also called for the development of AI tools suited to local needs and safeguards that allow users to question and challenge decisions made through automated systems.
The index draws on 1,128 research sources and evaluates seven areas of AI readiness, including access to technology, education, employment, enterprise development and digital rights.
