…Report projects pay-TV, streaming market to hit $5.2bn by 2030
A new study has identified distribution challenges, limited financing and affordability constraints as major obstacles preventing African films from reaching wider audiences and generating sustainable revenue, despite growing demand for locally produced stories.
The study, covering Egypt, Kenya, Nigeria, Rwanda, Senegal and South Africa, projects that combined pay-TV and streaming revenues across the six markets will reach $5.2 billion by 2030.
Titled Made in Africa, Watched Globally?, the report was commissioned by the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH and the African Export-Import Bank (Afreximbank), through its Creative Africa Nexus (CANEX) programme, and produced by Dalberg.
It examines film distribution, audience development, financing and the social impact of African films, drawing on 91 stakeholder interviews, a survey of 1,630 viewers across the six countries and five in-depth case studies.
According to the findings, although film production across the continent is expanding, distribution and monetisation have not kept pace with the growth of the wider market.
The research also highlights the importance of compelling storytelling and production quality in attracting viewers.
In Rwanda, 56 per cent of respondents identified a lack of interest in stories or themes as a reason for not watching local or African films, while in South Africa, 98 per cent rated acting quality as important when choosing films and 96 per cent said the same of plot and technical quality.
The report noted that audience preferences varied across and within markets, making more detailed audience data necessary to help filmmakers understand viewing habits, content preferences and willingness to pay.
Distribution challenges
The study identified difficulties in finding and accessing African films as another major constraint.
In Kenya, 52 per cent of respondents said local and African films were difficult to find on mainstream platforms.
It recommended stronger audience-data systems to track viewing preferences, spending patterns and film performance across distribution channels, enabling producers, distributors and streaming platforms to make informed decisions on content acquisition, positioning and marketing.
The report also identified YouTube as an important distribution channel, with 87 per cent of Kenyan respondents and 98 per cent of Senegalese respondents who stream films reporting that they use the platform.
However, it cautioned that audience reach does not necessarily translate into sustainable income for filmmakers, given relatively low advertising earnings and varying monetisation opportunities.
The study also highlighted changes to YouTube’s eligibility requirements for new channels seeking advertising and YouTube Premium revenue sharing from February 1, 2027, noting that emerging African film producers would need to explore revenue models beyond advertising alone.
Infrastructure and affordability
On physical distribution infrastructure, the report estimated that Africa has approximately one cinema screen for every 787,000 people, compared with one for every 8,700 people in the United States.
It said cinema screens were also concentrated in major cities, with about 90 per cent of Egypt’s screens located in Cairo and Alexandria, while more than 75 per cent of Kenya’s fewer than 50 screens were in Nairobi.
Although mobile phones provide an alternative means of accessing films, the cost of internet data remains a significant barrier.
The study estimated that 1GB of mobile data costs the equivalent of 3.1 per cent of monthly income across many African markets, above the global affordability benchmark of two per cent.
It also cited a 2026 audience survey by South Africa’s National Film and Video Foundation, in which 31 per cent of respondents described data for watching videos as expensive.
To address the challenge, the report recommended advertising-funded services, offline downloads, video packages bundled with affordable data and payment options integrated with mobile money and telecommunications systems.
It also urged industry operators to use audience research to develop pricing and viewing packages that reflect different income levels and consumer preferences.
Citing examples of accessible distribution models, the report said Senegal’s Marodi TV had built an audience of 8.67 million YouTube subscribers and generated 4.6 billion views through a free, advertising-supported model.
In Kenya, platforms such as Viusasa had offered 24-hour subscriptions for between KES 10 and KES 20, allowing viewers to pay in smaller increments rather than commit to monthly subscriptions.
Financing gaps threaten industry growth
Beyond distribution, the report identified a weakening financing structure for mid-budget African films, particularly the decline of platforms and aggregators capable of paying licensing fees and commissioning local productions for domestic and regional audiences.
It noted that the closure of Showmax in April 2026 and changes in commissioning strategies by major international streaming services, including Amazon Prime Video, had reduced some established financing and distribution opportunities for African productions.
To address the gaps, the study recommended stronger investment in African-owned streaming platforms and aggregators with established audiences, including support from public funders and development finance institutions.
It also proposed dedicated national and regional distribution funds to support marketing, subtitling, dubbing and coordinated film-release campaigns.
Grants and preferential loans, it said, should also be made available to African-owned distribution companies to acquire and release more films rather than concentrating financial support solely on individual productions.
The report further advocated regional licensing arrangements and closer alignment under the African Continental Free Trade Area (AfCFTA) to facilitate the distribution of African films across national borders.
Speaking on the role of financing in strengthening the industry, the Chief Executive Officer of CANEX Creations Incorporated, Mr Osahon Akpata, said African filmmakers had demonstrated their ability to produce compelling stories capable of attracting audiences globally.
He, however, stressed the need to translate growing demand into sustainable businesses and better economic returns for African creatives.
“Africa’s film industry has demonstrated its ability to produce compelling stories that resonate with audiences around the world. The next priority is to ensure that this growing demand translates into sustainable businesses and greater economic returns for African creatives.
“This requires investment across the entire film value chain, alongside stronger African-owned enterprises capable of bringing local productions to regional and international markets,” he said.
Akpata said Afreximbank, through its CANEX programme, was working to bridge financing gaps, strengthen the commercial foundations of Africa’s creative industries and improve the competitiveness of African businesses in global markets.
He added that the ambition was to build an industry where African creativity drives enterprise growth, generates employment and contributes to intra-African trade.
The report cited the experience of the Kenyan documentary, Searching for Amani, as an example of the challenges facing African filmmakers.
The documentary premiered at the Tribeca Festival in 2024 and was selected for about 100 festivals worldwide, including the Raindance Film Festival.
Despite its international recognition, the filmmakers reportedly struggled to raise funds for community screenings in Kenya, limiting opportunities to take the film directly to local audiences.
The experience, according to the study, demonstrates the need to invest not only in film production but also in distribution and audience engagement.
Films as instruments of social change
The study also examined the potential of African films to influence public attitudes and encourage action on social issues, including youth opportunities and aspirations, gender equality, governance and cultural identity.
It cited the Senegalese documentary L’utilité et l’attachement, which examined unpaid compensation owed to communities displaced by a railway project.
Following a screening, the documentary reportedly prompted presidential instructions to address the affected communities’ claims.
The film premiered in 2025 at the Visions du Réel documentary festival in Nyon, Switzerland.
The report recommended that development partners and funders invest in community screenings and public discussions, while developing mechanisms to assess changes in attitudes, behaviour and government decisions resulting from film engagements.
It also emphasised the need to preserve filmmakers’ editorial independence, warning that excessive influence by funders, or perceptions of such influence, could undermine commercial sales and wider audience reach.
Project Manager at GIZ, Victor Chudal-Linden, said reliable evidence was essential to determining the types of films to commission, the best ways to reach audiences and areas requiring policy intervention.
“Good decisions start with a clear picture – and a clear picture emerges from many data points. The value of this evidence lies in how industry players, policymakers and partners use it together to understand audiences, address distribution gaps and help African stories reach more people. Together, we screen brighter,” he said.
Film industry leaders, investors, telecommunications and payment providers, and policymakers joined GIZ, Afreximbank and Dalberg at the official unveiling of the study during CANEX WKND 2026 in Lagos.
Discussions at the event focused on opportunities for collaboration around the report’s recommendations, particularly in film distribution, access to finance and the development of reliable industry data systems.
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