Experts Call for Next-Generation AI Skills and Policy Alignment to Drive Inclusive Growth in South Africa

South Africa must prioritize next-generation artificial intelligence (AI) skills, accelerate implementation of its national AI strategy, and strengthen public procurement policies to drive inclusive economic growth, experts said at the fourth Annual Future of Work Dialogue hosted by the Tshwane University of Technology (TUT).

Held under the theme “The Intersection of Policy and Technology: Opportunities for Inclusive Growth,” the two-day event convened leaders from government, academia, and industry to chart pathways for digital transformation and sustainable development.

Investing in Frontier AI Skills

Lloyd Chego, Chief Information Officer at Telkom Corporate, urged South Africa to focus on “frontier” or next-generation AI skills to remain globally competitive. He noted that traditional digital skills — such as data engineering, cloud computing, cybersecurity, and machine learning — will soon reach saturation, while emerging areas like quantum computing, AI-driven material science, semiconductors, and microelectronics will define the next wave of innovation.

“Unlocking these opportunities requires deliberate action and investment at scale,” Chego said. “We must move from isolated areas of excellence to implementing projects at scale.”

He emphasized the need for closer collaboration between universities, industry, and government, recalling how cooperation among South Africa’s defense sector, research institutions, and state-owned enterprises in the past led to the development of world-class missile technology.

Aligning Vision with Implementation

In his opening remarks, TUT Vice-Chancellor and Principal Professor Tinyiko Maluleke reflected on Ghanaian independence leader Kwame Nkrumah’s 1960s vision for technological self-determination in Africa.

“Were Nkrumah alive today, would he be satisfied that Africans have built on his 1963 vision?” Maluleke asked. “Would he be happy that Africans have catapulted themselves into the Fourth Industrial Revolution?”

Maluleke acknowledged that while South Africa has a 4IR strategy, it is not being fully implemented to unlock its transformative potential.

Manufacturing and Public Procurement Reform

Dr. Stavros Nicolaou, Group Senior Executive for Strategic Trade Development at Aspen Pharma, warned that South Africa’s manufacturing contribution to gross domestic product has dropped from 21% two decades ago to 12% in 2025.

He called for reindustrialisation as a key lever to reduce unemployment and stimulate growth. “Manufacturing creates both up- and downstream activities, as well as multiplier effects back into the economy,” he said.

Nicolaou underscored public procurement as the most powerful mechanism to transform the economy and empower local industries. “The procurement of goods and services is about R1 trillion. Over ten years, that’s R12 trillion. We should be spending that money on our own companies’ manufacturing in our own country — but we are not doing that,” he said.

He criticized South Africa’s dependence on imported antiretroviral drugs (ARVs), noting that with 6.5 million people on treatment and 2 billion tablets required annually, most are sourced from India. “We have outsourced the jobs, tax, skills, and investment,” he said.

Nicolaou also urged the government to enforce the Preferential Procurement Policy Framework Act and finalize regulations for the Public Procurement Act of 2024, which remains without implementation guidelines more than a year after enactment.

Toward an Accountable and Inclusive AI Ecosystem

Professor Anish Kurien, Acting Director of the TUT AI Hub at the AI Institute of South Africa, outlined four components of a comprehensive AI accountability strategy:

1. Alignment with continental frameworks to ensure unified African policies.
2. Integration of national legislation to reflect local realities.
3. Technical requirements to enhance transparency and auditing.
4. Civil society participation to promote inclusivity and oversight.

“A comprehensive strategy requires blending these aspects to prevent algorithmic bias while maximizing AI’s potential,” Kurien said.

Bridging the Digital Divide

Mothibi Ramusi, Chairperson of the Independent Communications Authority of South Africa (ICASA), emphasized that sustainable development and inclusivity must go hand in hand.

“Skills and communication on AI must focus on practical rather than purely technical aspects,” Ramusi said. “Only then can we bridge the digital divide and ensure AI benefits all South Africans.”

The Dialogue concluded with a shared call to action: to bridge the gap between policy ambition and practical implementation, build future-ready AI skills, and leverage public procurement to reindustrialize the economy — ensuring that technology serves as a driver of inclusive growth rather than inequality.