Sarah works night shifts in Nairobi, fielding customer complaints from American consumers while others sleep. Her colleague James processes legal documents for a London law firm. Down the corridor, another team moderates social media content that would leave most people traumatized.
This is the new face of Africa’s business process outsourcing (BPO) boom, a sector that employs over 1.2 million people across the continent and is projected to create another 1.5 million jobs by 2030.
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When Kenyan entrepreneur Steve Wasilwa co-founded his IT outsourcing company, Stelden East Africa,11 years ago, the country’s BPO sector was operating in what he describes as a “regulatory vacuum”.
“There was no infrastructure or policy to regulate the industry,” he told DevelopmentAid. “Now that we have robust fiber-optic infrastructure, government policy is catching up, and artificial intelligence is reshaping operations.”
His journey mirrors Africa’s broader emergence as a serious player in the global BPO ecosystem.
Beyond the call center stereotype
BPO involves hiring third-party providers to handle functions that are not central to a company’s core operations, such as investment research, data entry, customer service, and IT support.
While often associated with call centers, the sector actually spans three categories – back-office services, front-office customer support, and knowledge-based tasks such as legal research, Wasilwa explained.
“Call centers make up the largest share, which often leads to misconceptions about the scope of the BPO industry,” he further noted.
Africa BPO landscape
Africa’s BPO market is valued at US$8.85 billion in 2025 and is anticipated to reach US$14.75 billion by 2033, according to Cognitive Market Research. South Africa leads the way with a 42.5% market share (US$3.76 billion), followed by Nigeria with 25.2% (US$2.23 billion). The rest of Africa accounts for 32.3% of the market, with a value of approximately US$2.86 billion.
Meanwhile, the BPO market in Kenya is forecast to reach US$309.78 million in 2025. Ghana is expected to generate US$243 million, Tunisia’s BPO sector is projected to reach US$19.24 million, and Egypt’s market is forecast to be US$461.26 million. Statista further estimates that the total BPO market for Eastern Africa will reach US$1.41 billion in 2025. Globally, the sector is valued at US$276.5 billion this year and is expected to reach US$491.67 billion by 2033. Africa currently represents 3.2% of the global BPO market, but its share is rising steadily.
The African advantage
Africa is emerging as a preferred outsourcing destination, offering cost efficiency, skilled talent, language versatility, and growing investment benefits that traditional BPO hubs in India and the Philippines are beginning to lose.
Cost remains a key advantage. While wages have increased in the Philippines and India, labor in Africa remains more affordable. A Ledgeris report indicates African outsourcing offers 15–75% savings compared to traditional hubs. Labor costs in Africa are also up to 80% lower than in the U.S. and Europe.
“Human resources in Africa are cheaper, but the quality can be better,” Steve Wasilwa told DevelopmentAid.
But price isn’t everything. Africa also offers a young, educated workforce with Kenya producing over 130,000 university graduates annually, and Nigeria has more than 53 million people aged 18–35.
Language skills are another strength. Anglophone and Francophone countries serve English- and French-speaking markets, while Egypt and Morocco provide multilingual services in French, Spanish, German, and Arabic.
“Having a neutral accent has helped Eastern African countries to attract international clients, compared to other countries in Asia,” Wasilwa commented.
Perhaps more importantly, many African professionals possess what Wasilwa describes as “cultural affinity” – an intuitive understanding of Western business practices and consumer preferences.
Digital infrastructure is also expanding quickly. Kenya now has six submarine fiber cables with a seventh on the way. Ghana is connected to Meta’s 2Africa cable, while South Africa stands out as a Tier-1 tech hub, enhancing digital efficiency.
Africa also benefits from favorable time zones, especially East Africa, which overlaps with Europe and the Middle East offering a competitive edge over Asia in real-time collaboration.
Governments are fueling the growth. Kenya’s first BPO policy, launched in July, offers subsidies and promotes expansion beyond Nairobi. Nigeria’s 2024 “Outsource to Nigeria” initiative and South Africa’s cash grant program are attracting investors through tax incentives and employment-linked benefits.
The dark side of digital progress
While the BPO sector promises economic transformation, the reality for many workers reveals a more troubling picture. Employees often face contractual uncertainty, which discourages long-term career building.
“You’re on contract for two months, then you’re out,” one call center worker at a US-based firm told DevelopmentAid.
The demanding nature of the work, particularly customer-facing roles, can lead to grueling schedules as workers accommodate different time zones.
The most disturbing revelations have emerged from content moderation roles. A feature by the Times exposed how workers at Sama, subcontracted by Meta, were routinely exposed to traumatic content, violence, child abuse, and graphic imagery without sufficient psychological support. Many developed depression and anxiety, with more than 140 workers suing Meta and Sama under Kenyan labor laws.
Following the lawsuits, Meta quietly moved its moderation work to Ghana, as revealed by the Bureau of Investigative Journalism, where the cycle is reported to have continued.
AI reshaping the sector
According to research backed by the Mastercard Foundation, over 40% of tasks currently performed in Africa’s BPO sector could be automated by artificial intelligence by 2030. AI is revolutionizing traditional processes, enabling companies to automate routine tasks and dramatically reduce operational costs.
The impact is already visible. Last year, Stelden closed a call center employing 300 people, replacing them with “a server and 1,000 AI agents that are easier to maintain than human beings,” according to Wasilwa.
While AI eliminates some roles, it also creates demand for higher-skilled positions in AI training, quality assurance, and complex problem-solving.