Kenya’s entertainment and media (E&M) sector is on track for impressive expansion over the next five years, with its internet advertising market tipped to become the fastest-growing globally, according to a new report by PwC.
The PwC Africa Entertainment & Media Outlook 2025–2029 reveals that Kenya’s E&M industry grew by 7.1 percent in 2024, bringing in slightly above $4 billion (KSh 515.96 billion), up from $3.7 billion (KSh 477.26 billion) the previous year. This made Kenya the second-fastest-growing market in Africa, trailing only Nigeria’s 11.2 percent growth and surpassing South Africa’s 6.2 percent.
PwC forecasts that the sector will reach $4.26 billion this year and expand at a compound annual growth rate (CAGR) of 5.2 percent to $5.15 billion by 2029. This growth will be largely fuelled by digital innovation, rising mobile penetration, and a youthful population that heavily consumes online content.
The report identifies Kenya’s internet advertising segment as the standout performer, projected to grow at a remarkable CAGR of 16 percent — the fastest rate worldwide — thanks to increasing mobile-first internet use.
Although traditional television currently leads the pack with $293 million in revenue as of 2024, PwC expects internet advertising to generate around $470 million by 2029. The shift is being driven by social media marketing, influencer partnerships, and e-commerce advertising, which are steadily diverting ad budgets from conventional media to digital channels.
Kenya’s over-the-top (OTT) streaming services are also booming, with anticipated growth of 11.2 percent, boosted by smartphone adoption, better 4G and fibre connectivity, and more affordable data packages.
The gaming industry continues to gain momentum as well. Social and casual gaming is expected to rise by 10.1 percent, while traditional gaming grows by 5.1 percent. PwC attributes this to Kenya’s strong mobile money ecosystem, particularly platforms like M-Pesa, which seamlessly integrates with entertainment and digital content services, enabling creative monetisation models.
However, the report warns that infrastructural shortcomings, such as unstable internet access and inconsistent power supply, still constrain growth in some regions.
Regionally, Nigeria, Kenya, and South Africa remain Africa’s top E&M markets. While South Africa boasts a mature and formalised ecosystem with established pay TV and hybrid media consumption patterns, PwC says Kenya and Nigeria embody “the continent’s high-growth, mobile-driven future.”
(Exchange rate: $1 = KSh 128.99)
