Nigeria is moving to formally regulate artificial intelligence (AI) as lawmakers advance the National Digital Economy and E-Governance Bill, a proposed legislation that would give regulators expanded authority over data use, algorithms and digital platforms across the country’s fast-growing technology sector.
The bill is designed to establish a comprehensive governance framework for emerging technologies, closing a regulatory gap that has existed since Nigeria released a draft national AI strategy in 2024.
If passed, the legislation would place Nigeria among the first African economies to introduce dedicated, economy-wide rules for artificial intelligence and advanced digital services.
Policy officials say the proposed law seeks to balance innovation with accountability as AI adoption accelerates across financial services, telecommunications, public administration and consumer-facing digital platforms.
The framework would empower regulators to set standards around data protection, algorithmic transparency and responsible deployment of high-risk AI systems.
Nigeria’s digital economy has expanded rapidly over the past decade, driven by fintech, e-commerce and platform-based services operated by both local startups and global technology firms.
However, oversight has largely relied on fragmented sector-specific rules, leaving limited clarity around the governance of automated decision-making and large-scale data processing.
Under the proposed legislation, regulatory agencies would be granted clearer mandates to supervise digital platforms and AI-driven systems, aligning Nigeria’s approach more closely with emerging global standards on technology governance.
The bill also reflects growing concern among policymakers about consumer protection, data sovereignty and national security risks linked to unchecked digital expansion.
Supporters of the legislation argue that early regulation could strengthen investor confidence by providing legal certainty, while ensuring that innovation develops within defined safeguards.
Critics, however, have cautioned that excessive regulation could slow innovation if implementation is not calibrated to Nigeria’s developing tech ecosystem.
Lawmakers are expected to continue deliberations on the bill in the coming weeks, with approval targeted in 2026. If enacted, the law would mark a significant shift in Nigeria’s digital policy direction, signalling a move toward proactive regulation of artificial intelligence as a core component of the country’s economic and technological strategy.
