Nigeria’s digital economy is experiencing a significant transformation, driven by ambitious reforms, infrastructure expansion, and rising investor confidence. In the first quarter of 2024, the sector attracted $191 million in foreign direct investment (FDI), a dramatic leap from just $22 million recorded during the same period in 2023.
The growth, championed by the Ministry of Communications, Innovation, and Digital Economy under Minister Bosun Tijani, signals a new era of opportunity for the country’s technology ecosystem. Tijani attributed the FDI surge to foundational reforms initiated since President Bola Ahmed Tinubu took office, as well as the ministry’s strategic focus on connectivity, talent development, and digital infrastructure.
“We are not chasing quick wins,” Tijani said during a State House interview for the president’s two-year anniversary documentary. “The results we want to provide for Nigeria are long-lasting reforms that will transform our economy for generations.”
Building a Tech-Ready Workforce
A cornerstone of Nigeria’s digital transformation is the 3 Million Technical Talent (3MTT) programme. Launched in October 2023, the initiative aims to train three million Nigerians in digital skills to meet the growing demands of the digital economy. So far, the programme has already trained over 117,000 individuals, surpassing its initial target of 30,000. Another 35,000 participants are currently in training.
“Our vision is to ensure that Nigerians have the skills they need to compete globally,” said Tijani. The government is also upskilling 500 government technologists in artificial intelligence (AI) and digital public infrastructure (DPI), preparing them to drive transformation across public services.
Infrastructure to Power Growth
To support this expanding ecosystem, the government is preparing a $2 billion initiative known as Project Bridge, which will deploy 90,000 kilometers of fiber optic cable nationwide. The goal is to boost broadband penetration from 48% in 2024 to 90% by 2025.
In parallel, the ministry plans to deploy 7,000 telecom towers across rural and urban communities to achieve 98% national connectivity coverage. Twelve states have already implemented zero-rated Right-of-Way policies to support these goals, reducing infrastructure rollout costs and speeding up deployment.
“Increasing connectivity hubs by just 10% could yield a 2.5% GDP growth,” Tijani noted.
Innovation, AI, and Startup Ecosystem
Nigeria is also positioning itself as a leader in AI and emerging technologies. The country now ranks among the world’s top 60 nations for AI readiness. The government has developed a homegrown large language model (LLM) and launched the AI Collective platform, supported by partners like Google, Microsoft, and Pierre Omidyar.
To further fuel innovation, ₦300 million has been invested in ten AI and blockchain-powered agri-tech startups, while 55 academic researchers have received government funding to explore the application of technology in agriculture, health, and education.
Additionally, the Nigeria Startup House in San Francisco is helping position the country’s startups on the global map. Through the Startup Pact and Trade Desk initiatives, the government aims to attract $5 billion in startup investments, connecting local firms to international opportunities and government procurement contracts.
Digital Economy’s Economic Impact
These efforts are paying off. In addition to soaring FDI, the digital economy’s contribution to Nigeria’s GDP is projected to rise from 16% to 22%. “If a sector can increase its contribution by three to four per cent to the GDP, we’re about to see the economic growth we’ve not seen before,” said Tijani.
With targeted investments, strategic partnerships, and a clear vision, Nigeria is rapidly building a future-ready digital economy—one that is inclusive, resilient, and globally competitive.
