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Enabling Environment for Nigeria Content Development in the ICT Sector (2)
This summary of the enabling environment and government actions to support it reveals the breadth and complexity of factors that analysts and practitioners have identified as important to putting in place the conditions that can enhance productivity and support content development. However, the table also makes clear that government is not the only actor involved in contributing to an enabling environment. As the governance terminology reflects, societal problem-solving, the production of public goods and social capital formation are not the sole purview of government actors.
Factors that Affect Content Development
Businesses thrive when products and services are produced and finished products marketed profitably. This ensures stock movement, as more goods will be produced and hence healthy return on investment. When the volume of sales is large, then more profit could be made, and some of it ploughed back to research. The product of research into indigenous content, affects content development. Thus any factor that limits the production and profitable marketing of finished goods will impact content development not only in ICT industry but also in other industries. Some of these factors are very apparent while some are opaque. I shall try to list some of them here.
a. Inconsistent Policy
b. Lack of Continuity
c. Infrastructure Development
d. Staffing
e. Finance
f. Multiple Taxation
g. Dumping
h. Lack of Transparency in Government
: Nigeria is a largely a government driven economy, so any hiccup in government affects the ICT industry. A case in point is the ongoing tussle over the over the signing into law the 2008 budget. The country is in a state of economic standstill. This negatively affects all sectors of the economy. Also transparency and accountability in all dealings with government reduces the cost of doing business. : Dumping of subsidised and therefore cheap foreign ICT tools impacts the local ICT industry negatively as a level playing field is lacking. : Multiple taxation from all the tiers of government is stifling return on investment and scaring potential investors. The case of MR. BIGGS and Lagos State Government LAASA is a case in point. Collection of advertisement and Signage fees is constitutionally vested on the Local Governments, but LASG Assembly in her wisdom last year passed a new law vesting it on LAASA – presto the fee became convoluted and quadrupled. : Most financial institutions in Nigeria encourage trade financing instead of investing in the productive sector of the economy – hence they tend toward financing LPOs. Manufacturing industries have long gestation period and thus require long term financing which is rarely available. : We are yet to attain e-workforce hence skills of new employees need to be updated as our institutions do not produce products with requisite skills compatible with the knowledge economy. Considerable resource has to be ploughed into equipping them to be functional. : The decay in the infrastructure in the country is mind bugling. We have to sink our own borehole, generate our own power, bear the brunt of impassable roads with the attendant accelerated wear and tear to vehicles, provide our own security, etc. The list is enormous. Under such conditions our products cannot compete in pricing with products from countries where infrastructure is better. : We are all aware of the reversal of some policies of the previous administration. Though we applaud some of them, especially were some of the transactions were done fraudulently in the first place; but a wrong signal has been sent to both local and foreign investors – your investment in this country may not be safe. : A policy an investor considers favourable for particular industry may lead him to raise capital and invest resources into bringing such industry to fruition after a comprehensive feasibility studies. And in Nigeria, this could be expensive as he has to also invest in so many ancillary sectors that are not directly related to the industry. Any policy reversal may put all in the investment in jeopardy. Leading to great loss. Such an investor will need a lot of convincing to ever venture into any project again in the country.
Negative Effects of Such Factors
a. Labour
: No need rehashing that the industry needs skilled force. Educational institutions as presently represented cannot produce the manpower needed in the knowledge economy. So resources are expended to skill these staff.
We at Zinox are contributing our own quota in this direction. Zinox:
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Has entered into partnership with Kansas State University in the US to streamline the curricula of two departments in the University of Lagos in line with what obtains in the knowledge economy. The partnership also involves the updating of lecturers skills so that they positively impact their students.
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Has under the Computerise Nigeria Initiative, provided ICT tools to teachers and lecturers of institutions of learning at subsidised prices and favourable payment terms.
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Under the Computerise Nigeria Initiative, the Zinox-Student Computer Ownership Project (Z-Scope) project was conceived to catch the work force young. Under it students are encouraged to own and use computers by providing them with subsidised ICT tools at favourable payment terms.
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Has also under the Computerise Nigeria Initiative been impacting the already employed workforce with by also extending ownership of ICT tools at subsidised rates and favourable payment terms.
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All these initiatives of Zinox involves much expenditure of resources, but the most saddening thing is that we are not encouraged by people defaulting after the initial deposit.
to be continued
We are also encouraging professional associations like NBA, NMA, ICAN, etc to encourage their members to own ICT systems under the terms explained above.
Socio-Economic Rights and Accountability Project (SERAP) has called on Mr. Bayo Bashir Ojulari, group chief executive officer, Nigerian National Petroleum Company (NNPCL) Limited, to provide clarification regarding the missing N500 billion.
According to the World Bank, this sum was not remitted to the Federation Account between October and December 2024.
SERAP is urging accountability and transparency in addressing this financial discrepancy.
SERAP urged Mr Ojulari “to identify those suspected to be involved, surcharge them for the full amount involved, and hand them over to the Independent Corrupt Practices and Other Related Offences Commission (ICPC) and the Economic and Financial Crimes Commission (EFCC) for investigation and prosecution.”
SERAP also urged Mr Ojulari “to invite the EFCC and ICPC to investigate the spending and whereabouts of the N500 billion, and to ensure the full recovery and remittance of the money to the Federation Account without further delay.
Last week, the World Bank disclosed that out of the N1.1 trillion revenue from crude sales and other income in 2024, the NNPC only remitted N600 billion, leaving a deficit of N500 billion unaccounted for. The International Monetary Fund (IMF) also recently called for the subsidy removal savings to be transferred to the national budget.
In the Freedom of Information request dated 17 May 2025 and signed by Kolawole Oluwadare, SERAP deputy director, the organisation said: “There is a legitimate public interest in explaining the whereabouts of the alleged missing N500 billion oil money and grave violations of the Nigerian Constitution 1999 [as amended]’
“The country’s oil wealth ought to be used solely for the benefit of the Nigerian people, and for the sake of the present and future generations.”
According to SERAP, Nigerians have the right to know why the NNPCL failed to remit the subsidy removal savings to the Federation Account.
“We would be grateful if the recommended measures are taken within 7 days of the receipt and/or publication of this letter. If we have not heard from you by then, SERAP shall consider appropriate legal actions to compel the NNPCL to comply with our requests in the public interest,” the letter read in part.
“Without the full recovery and remittance of the missing N500 billion of oil revenue, the dire economic situation may worsen and Nigerians will continue to be denied access to basic public goods and services,” it read.
“The Freedom of Information Act, Section 39 of the Nigerian Constitution, article 9 of the African Charter on Human and Peoples’ Rights and article 19 of the International Covenant on Civil and Political Rights guarantee to everyone the right to information on the whereabouts of the missing N500 billion of oil revenue.”
Hannatu Musawa, Minister of Arts, Culture, and the Creative Economy, has revealed that the ministry has secured over $300 million in investment commitments.
Musawa disclosed this at the Ministerial Press Briefing Session held on Friday in Abuja.
She emphasised that the government has set a goal of creating at least two million jobs within the creative industry by 2027.
According to her, “In just 18 months, we have secured over $300 million in investment commitments and established innovative funding mechanisms, including the Creative Economy Development Fund (CEDF).
“We have also initiated the development of key infrastructure projects, which are projected to generate at least two million jobs by 2027.”
The Minister further noted that President Bola Tinubu plans to unveil creative hubs across Nigeria’s six geopolitical zones in the coming months, positioning Nigeria as a global hub for creativity.
“Beyond the numbers, we have elevated Nigeria’s global cultural standing while ensuring inclusivity, empowering rural communities, women, and young people to participate meaningfully in the creative economy,”.
The Minister highlighted the significant role the creative economy will play in Nigeria’s future, particularly the music industry.
She pointed out that the government has identified five key segments within the music value chain production, marketing, sales, and others—that can generate over 500,000 new jobs by 2030, representing a transformative opportunity for Nigeria’s economy.
“A key initiative in this drive is the $200 million Creative Economy Development Fund (CEDF), managed by the African Export-Import Bank (AfreximBank).
The fund aims to provide affordable financing to creative businesses and entrepreneurs, empowering them to innovate, expand their operations, and contribute to job creation across multiple sectors such as film, music, fashion, and tourism.
The minister said in addition to funding, the ministry is working on the Abuja Creative City project, which seeks to transform the capital into a vibrant hub for the creative sector.
“This project is expected to foster economic growth, create job opportunities, and showcase Nigeria’s diverse cultural heritage.
The Minister also emphasized the importance of effective policy formulation to foster the growth of the creative sector. Currently, the Ministry is evaluating 49 sub-sectors within the creative industries, with priority given to key areas such as music, film, fashion, art, and gastronomy.
“This targeted approach is aimed at driving sustainable development and further enhancing Nigeria’s cultural and economic standing on the global stage.
“Through these initiatives, the Nigerian government is taking significant steps to harness the untapped potential of its creative industries, paving the way for a more dynamic and inclusive economy.
As part of this effort, the Ministry, in collaboration with the private sector and led by the Nigerian Economic Summit Group, is working on creating a clear policy framework not just for the creative economy but also for the art, culture, and tourism sectors.
The Nigerian government is working on a series of policy reforms National Intellectual Property Policy, which will soon be presented to the Federal Executive Council.
This policy aims to foster industry growth by securing intellectual property rights for creators. Additionally, the government is reviewing key policies such as the National Policy on Incentives for the Arts, Culture, and Creative Economy, which is designed to offer incentives and boost confidence among creative businesses.
Another important update is the review of the 2005 National Tourism Policy, intended to better support the tourism sector, which plays a crucial role in Nigeria’s cultural economy.
The government is updating the outdated 1988 National Policy on Culture and introducing a new Policy on Monetary and Credit Solutions to ensure financial support for creative businesses.
Alongside the Creative Economy Development Fund, these reforms aim to create a supportive environment for the sector to grow and position Nigeria as a major force in the global creative economy.
Musawa also announced the implementation of the Creative Economy Development Fund (CEDF), which aims to provide funding to creative businesses, drive innovation, and create jobs across multiple sectors.
Additionally, a global standard arena is under construction in Nigeria to host major music and cultural events, aligning with the country’s ambition to become Africa’s cultural hub.
Husk Power Energy Systems Nigeria Ltd (Husk Nigeria), a subsidiary of solar mini-grid operator Husk Power Systems Inc., has received a $5 million investment from The International Finance Corp. (IFC), a member of the World Bank Group, with the support of the Government of Canada.
L-r: Ethiopis Tafara, Regional Vice President for Africa, International Finance Corporation (IFC), and Olu Aruike, Country Director, Husk Power Systems, Nigeria during the signing of a $5m investment meant to expand access to reliable, renewable energy in Nigeria through IFC’s $250m DARES platform in Abidjan, Cote d’Ivoire
The financing will support the rollout of Husk’s portfolio of solar hybrid mini grids in Northern Nigeria, helping address one of the country’s most urgent development challenges: access to electricity.
It marks the first investment under the IFC Distributed Access through Renewable Energy Scale-up (DARES) Platform, a $200 million debt facility approved in November 2024 to catalyze private sector solutions across West and Central Africa.
The DARES Platform complements the World Bank-financed Nigeria DARES Project, a $750 million initiative launched in December 2023 and implemented by Nigeria’s Rural Electrification Agency.
Together, these efforts aim to provide over 17.5 million Nigerians with new or improved electricity access through decentralized renewable energy (DRE) systems.
IFC’s financing package will enable Husk to develop and operate up to 108 mini-grid sites, resulting in around 28,750 new electricity connections and delivering clean, affordable energy to around 115,000 people and businesses.
The total project cost is estimated at $25 million. IFC’s $5 million package includes a $2.5 million senior loan from its own account and a $2.5 million concessional subordinated loan from the Canada-IFC Renewable Energy Program for Africa.
The facility is structured as a revolving loan, allowing Husk to repay and redraw funds multiple times during the project’s implementation.
“The DARES Platform is an innovative approach to tackling one of Africa’s most pressing challenges—energy access. By partnering with Husk, a leading renewable energy developer globally, through the first project under the DARES Platform, we are not only addressing the immediate electricity needs of underserved communities in Nigeria but also laying the foundation for a scalable model that can be replicated across the continent,” said Ethiopis Tafara, regional vice president of Africa, IFC.
“This innovative debt facility is exactly what the minigrid industry needs to scale — blended, long-term and affordable capital,” said Manoj Sinha, Husk co-founder and CEO.
“Access to working capital is critical for sustained and rapid growth. Adding 108 new communities to our minigrid portfolio with IFC support is an important step toward our goal of deploying at least 250MW of decentralized renewable energy projects in Nigeria.” said Olu Aruike, Manager, Husk Nigeria.
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