Recent Data Bridge Market Research reports identify Europe and Africa as key growth regions within the rapidly expanding global business process outsourcing (BPO) market.
Businesses worldwide increasingly leverage BPO to streamline operations, reduce costs, and sharpen their focus on core competencies. This surge in demand stirs significant developments across various sectors.
Europe’s outsourcing ascendancy: digital transformation drives expansion
The European BPO market’s momentum is robust. Valued at $77.64 billion in 2024, it could reach an impressive $144.51 billion by 2032 to compound annual growth rate (CAGR) of 8.2%.
The widespread adoption of digital programs across European enterprises, the demand for better customer experience, and a growing need for IT, finance, and HR skills fuel its growth.
Major industry players such as Capgemini and Infosys Limited actively expand their presence in Europe, offering comprehensive BPO services. Innovation, service quality, and strong client relationships drive the competition, with players vying for a larger share of this burgeoning market.
Africa: an emerging BPO powerhouse fueled by talent and investment
Concurrently, the Middle East and Africa (MEA) BPO market witnesses substantial progress. Industry data showed it could climb to $26.22 billion by 2032 at a 7.6% CAGR from $14.67 billion in 2024.
Although presently smaller than the European market, Africa presents considerable growth opportunities, mainly due to its young and trainable workforce, improved infrastructure, and cost savings.
The region’s English-speaking talent pool and government-backed incentive programs attract foreign investments and clients, particularly from the United Kingdom and the United States.
South Africa leads the continent’s BPO expansion, with primary outsourcing hubs strategically located in Cape Town, Durban, and Johannesburg. However, Egypt, Kenya, and Nigeria have started to solidify their presence in specific BPO niches.
BPESA’s ambitious 500K job plan
Business Process Enabling South Africa (BPESA), the industry association for South Africa’s Global Business Services (GBS) sector, has set an ambitious target to create 500,000 cumulative jobs by 2030.
With the sector’s massive growth, the total headcount has risen from 65,000 in 2019 to an estimated 150,000 in 2024, while market revenue surged from $1.04 billion to $2.91 billion. BPESA’s strategy focuses on attracting foreign direct investment (FDI) by showcasing South Africa’s cost efficiency, skilled workforce, and robust infrastructure.
The initiative, backed by six strategic pillars, highlights South Africa’s strong ICT infrastructure, global contact center standards, and cost savings. Supported by the South African government, including InvestSA and the Department of Trade, Industry, and Competition, BPESA drives impact sourcing, creating jobs for unemployed youth and promoting inclusive economic growth.
Through these efforts, South Africa is strengthening its position as a leading global business services hub, accelerating the growth of Africa’s BPO market.
Read more Unity Communications and industry news on our main BPO News page.
Briones, J. A. (2025, March 20). BPESA reveals an aggressive 500K job plan for South Africa’s GBS sector. Outsource Accelerator. Retrieved March 21, 2025, from https://news.outsourceaccelerator.com/bpesa-500k-south-africa-gbs/
