Nigeria’s burgeoning film industry, popularly known as Nollywood, has been capturing the attention of the nation’s government with its significant strides and impressive achievements. In the year 2021, the film sector made a remarkable impact on Nigeria’s economy by contributing 2.3%, which amounts to approximately $660 million, to the country’s Gross Domestic Product (GDP). Projections by PricewaterhouseCoopers (PwC) suggest that the industry’s economic contributions could soar to as much as $1 billion in the foreseeable future.
This remarkable growth trajectory can be attributed to substantial investments pouring into Nollywood from various quarters, including private entities, tech-savvy investors, and major streaming platforms such as Netflix and Amazon Prime. The influx of funds is not without good reason; the industry has demonstrated its profitability and potential for high returns.
Several Nollywood productions have achieved significant commercial success, with films like “The Wedding Party,” “A Tribe Called Judah,” and “Omo Ghetto” each earning over $1 million at the box office. According to an article we published last year, investors have disclosed that their financial ventures into Nollywood projects have yielded returns as high as three times their initial investment.
The Nigerian government has not been a mere spectator in the rise of Nollywood; it has played an active role in supporting the industry. In 2013, then-President Goodluck Jonathan announced the “Project Nollywood” initiative, which included a grant of ₦3 billion (equivalent to $1.9 billion at the time) to bolster the film sector. This was followed by the disbursement of a ₦420 million grant to filmmakers by his successor four years later.
Continuing this trend of support, the federal government has recently allocated an additional ₦1.5 billion (approximately $973,874) to movie producers across Nigeria. This funding is part of a larger ₦5 billion ($3.2 million) Creative Fund established in collaboration with Providus Bank.
The government is currently in the process of selecting recipients for the second round of funding from this initiative. Creative individuals in need of financial backing for their film projects might find an opportunity by reaching out to the designated email address, creatives@providusbank.com, to pitch their ideas. This gesture underscores the government’s commitment to nurturing the creative talents within the country and fostering the continued growth of Nollywood.
