This research explores the application of Artificial Intelligence (AI) in forecasting demand for construction materials in Rwanda, aiming to enhance accuracy, efficiency, and scalability compared to traditional methods. A mixed-method approach was employed, combining qualitative insights from industry professionals with quantitative analysis of primary and secondary datasets. Neural networks emerged as the most effective model, achieving an R-squared value of 0.92, Mean Absolute Error (MAE) of 3,500, and Root Mean Square Error (RMSE) of 4,500. AI-based forecasts closely matched actual demand, maintaining errors within ±1.5%. However, adoption is hindered by limited expertise (r = -0.65, p < 0.05) and infrastructure constraints (r = -0.82, p < 0.05). The study concludes that AI can significantly optimize material forecasting, reducing inefficiencies and aligning Rwanda’s construction sector with global standards. Recommendations include capacity building, infrastructure investment, fostering public-private partnerships, and developing supportive policies to accelerate AI adoption.