The Middle East and Africa data center construction market is projected to grow at 25.34% annually through 2031, driven
Research and Markets reported on July 14, 2026, that the Middle East and Africa data center construction market is experiencing substantial expansion driven by two primary forces: sustainability initiatives and increased adoption of digital solutions. As data centers are inherently energy-intensive, operators across the MEA region are actively transitioning toward renewable energy sources including solar, wind, and hydroelectric power to improve efficiency and reduce operational costs. This shift is supported by robust policy frameworks established by multiple governments. Kenya has set a goal to achieve green power access by 2030, Oman committed to reaching net-zero emissions by 2050, and Egypt has allocated 3.5 billion dollars for wind and solar power projects.
The region is simultaneously experiencing significant impacts from advances in artificial intelligence, automation, and digitalization, with substantial investments flowing into information and communications technology infrastructure. Egypt has pledged 255.6 million dollars by 2026 to accelerate digital transformation initiatives. The United Arab Emirates has partnered in the Pax Silica initiative to build secure semiconductor supply chains, while Nigeria's Resilience17 Go Time AI accelerator demonstrates the region's commitment to fostering an artificial intelligence innovation ecosystem.
Cloud-based services are expanding rapidly across the region. Kenya's Servernah Cloud and Tencent Cloud's expansion plans in the Middle East represent major developments. Nigeria's Cloud Computing Policy is enhancing cloud adoption among government institutions and small and medium-sized enterprises. Partnerships such as Vast Data's collaboration with Shonfeld Data Services in Israel and Oracle's UAE OneCloud platform further illustrate regional efforts to strengthen cloud infrastructure.
Saudi Arabia currently leads the MEA market with major data center developments aligned with its Vision 2030 agenda, while the UAE attracts global investments due to its strategic geographic location. Turkey is emerging as a digital infrastructure hub, and South Africa, Africa's leading market, is receiving extensive investment due to colocation demand and fiber connectivity. Nigeria, Kenya, and Egypt are growing fastest, reflecting increasing cloud adoption and enterprise digitalization. Major global operators including Amazon Web Services, Google, and Microsoft are expanding their regional presence through cloud region deployments and artificial intelligence infrastructure projects. Key infrastructure vendors such as ABB, Caterpillar, and Schneider Electric, along with construction contractors like AECOM and ALDAR, support this competitive market landscape.