State of Social Enterprise Africa 2025
Page 18 of 64 · WEF_State_of_Social_Enterprise_Africa_2025.pdf
1.3 Estimated number of social
enterprises across Africa
This report’s estimated total of 2.18 million
social enterprises in Africa is based on a
synthesis of existing literature with a multi-step
projection approach.
Estimating the precise number of social enterprises
in African countries is inherently complex, as
data can vary significantly in different studies and
literature. However, global and regional mapping
studies by organizations such as the British
Council, the World Economic Forum, Siemens
Stiftung44 and various national social enterprise and
entrepreneurship networks have been instrumental
in building a knowledge base for this sector. This
study used these existing country-level studies to
establish a high-level estimate of 2.18 million social
enterprises for the continent.
The projection of social enterprise numbers was a
two-phase process. First, a three-step approach
was used for the set of focus countries: identifying
a baseline number of enterprises from existing data,
determining an annual growth rate using proxies
such as GDP and then projecting the total for 2025.
This same methodology was then applied to a
selection of additional African countries. The final
step was to extrapolate this combined total to the
entire continent, using the projected nominal GDP
share of these researched countries as a proxy for
the overall market.Based on this methodology, the study
determined the number of social enterprises
in Africa to be 2.18 million. This figure can be
contextualized against broader global estimates
that suggest there are approximately 10 million
social enterprises worldwide, generating around
$2 trillion in annual revenue.45 Africa’s estimated
2.18 million social enterprises thus represent a
significant and growing portion of the global social
economy, underscoring the continent’s dynamic
contribution to purpose-driven business. The
estimate of 2.18 million social enterprises in Africa
places the continent’s share at approximately
20% of the global total. This figure aligns well
with Africa’s overall economic and demographic
weight. Given that Africa is home to roughly 17%
of the world’s population and has a burgeoning,
youthful entrepreneurial class, a 20% share of social
enterprises is a compelling and justifiable figure.
A 2020 World Bank analysis estimated that Africa
had approximately 244 million businesses in total.
Of these, the vast majority – around 232 million –
were classified as “own-account businesses”
(sole proprietors), while approximately 12.7 million
were firms employing workers.46 In this context,
the estimate of 2.18 million social enterprises
represents a significant and compelling segment of
Africa’s business ecosystem. It indicates that social
enterprises constitute roughly 17% of all businesses
with employees across the continent.
Credit: Sommalife
The State of Social Enterprise: Unlocking Inclusive Growth, Jobs and Development in Africa
18
Ask AI what this page says about a topic: