The study indicates that domain registrations in Africa will continue to expand, with an average projected annual growth rate of 12.4 percent. However, this growth varies widely between countries. Some countries, such as Kenya and Nigeria, have seen rapid adoption, while others, particularly in African regions with fragile Internet infrastructure, lag behind.

Key drivers of this projected growth include increased Internet penetration, which has risen to 43 percent from 29 percent in 2016, the expansion of local hosting and digital content, and greater engagement from governments and the private sector. Countries that actively promote local domain registrations and e-commerce platforms are witnessing stronger industry performance. The top-performing ccTLDs by registration volume remain those from South Africa (.za), Nigeria (.ng), Kenya (.ke), and Egypt (.eg), where local businesses and digital entrepreneurs are driving demand.

Despite the positive outlook, several obstacles continue to hinder the full-scale expansion of Africa’s domain name industry.

One of the biggest barriers is the high cost of domain names and Internet access. The study highlights that while some ccTLDs remain competitively priced, others are significantly more expensive compared with international gTLDs, discouraging local businesses and individuals from choosing them. Additionally, Internet access costs in Africa remain high, with an average of 4 percent of monthly income spent on just 1GB of data, making online participation a challenge.

Limited awareness and digital literacy also present challenges. Many African businesses and individuals are still unaware of the benefits of owning a domain name. This lack of awareness, combined with low digital literacy rates, results in limited demand for domain registrations, particularly among small and medium-sized enterprises that could benefit from an online presence.

Regulatory and policy barriers further complicate the growth of the industry. Some African countries have restrictive ccTLD name registration policies, such as requiring local presence or domain names that match business names. While these regulations are intended to enhance security, they can discourage potential registrants from securing domains under their national ccTLDs.

To fully realize the potential of the African domain name industry, stakeholders across the Internet ecosystem — including governments, registries, registrars, and private sector actors — must collaborate to implement strategic improvements.

Reducing registration costs through cost-based pricing models and offering discounted registration packages for small and medium-sized enterprises and startups could increase adoption rates. Expanding digital awareness campaigns through governments, registries, and digital advocacy groups would promote the benefits of domain ownership, particularly in underserved regions. Improving regulatory frameworks to ensure that domain registration policies are business-friendly and aligned with international best practices will encourage more local registrations. Enhancing local infrastructure, such as Internet exchange points, data centers, and local hosting services, will further drive demand for domain names within Africa.