Nigeria, known for its vibrant tech ecosystem, has set its sights on propelling its startup landscape to new heights.
In an inspiring announcement, Dr. Bosun Tijani, the Minister of Communications, Innovation, and Digital Economy, unveiled a strategic plan aimed at elevating the annual funding rounds of Nigerian startups to a staggering $5 billion by 2027.
Tijani explained the pivotal role of innovation, entrepreneurship, and access to capital in nurturing a robust digital economy and stated that the ministry’s primary mission is to foster the growth and sustainability of startups, particularly those working on groundbreaking solutions for key sectors of the economy.
Recognizing the significance of patient capital in nurturing startups, the government is committed to increasing its local availability.
He said the objective is to create an enabling environment that empowers startups to secure the necessary funding for their growth, thus encouraging them to stay and contribute to Nigeria’s economic development.
To gauge the success of this ambitious plan, the ministry intends to measure the increase in capital raised by Nigerian tech startups by a remarkable 50% year-on-year, from approximately $1 billion in 2022 to the monumental goal of $5 billion in 2027.
In 2022, Nigerian startups managed to secure $1.2 billion in funding, a notable achievement amid a challenging funding landscape.
However, neighboring African startups collectively raised $5.4 billion, indicating the potential for growth within Nigeria’s tech ecosystem.
Tijani also unveiled plans for the establishment of an active sandbox environment to nurture and empower innovators and entrepreneurs, especially in sectors with limited exposure to technological innovation.
Moreover, the ministry has set its sights on increasing the localization of tech startups from less than 1% to a substantial 25% by 2027, amplifying their contribution to the nation’s economy.
In Dr. Bosun Tijani’s vision, digital transformation, and innovation are poised to become catalysts for Nigeria’s economic progress.
He highlighted the significant role of Artificial Intelligence (AI) in the country’s future, emphasizing the need for a comprehensive national strategy for responsible AI implementation.
This strategy aims to position Nigeria as a global leader in AI talent and inclusivity, creating over 50,000 jobs in the AI industry in the coming years.
With this strategic plan, Nigeria is taking bold steps towards fostering a thriving digital economy, driving innovation, and ensuring global relevance in the ever-evolving tech landscape.