Digital Transformation Center Nigeria: Fostering innovation and economic growth

Context

More than half of Nigeria’s population lives below the poverty line. Women are at a particular disadvantage. Many find it difficult to access the labour market due to low levels of education and of digital and financial literacy. The Nigerian Government has responded with policy and action papers. So far, however, these strategies have not been sufficiently put into practice.

At the same time, Nigeria is sub-Saharan Africa’s largest market for mobile telephony and Africa’s leading market for digital products and services. The country has a diverse range of recently established companies, especially in the digital and technology-based economy. These are favourable conditions for an efficient innovation ecosystem.

Around 96 per cent of all Nigerian enterprises are micro, small and medium-sized enterprises (MSMEs). These account for 75 per cent of all the jobs in the country. However, many MSMEs do not yet have any access to the innovation ecosystem. Furthermore, the economy is currently unable to make sufficient use of many digital innovations.

Objective

The Nigerian economy more effectively implements digital innovations to achieve growth.

Approach

The project follows a holistic approach to digitalising the economy. It works with all stakeholders in the digital ecosystem to promote the supply of and demand for digital innovation.

Innovation centres, public and private service providers and consultants are empowered to support MSMEs with their digitalisation efforts. At the same time, the project highlights existing potential, for example in a pilot project aimed at using innovation vouchers to close the funding gap for companies.

The project supports the government in implementing its policies and strategies for digitalising the Nigerian economy. In doing so, it promotes the long-term provision of digitalisation services for MSMEs, and, at the same time, positively contributes to the country’s economic growth.

Last update: June 2023