The Federal Government has unveiled the Technology Export and Digital Trade Desk, an initiative aimed at attracting more investments into Nigeria’s tech sector and increasing annual funding for the country’s startups to $5 billion.
Dr. Bosun Tijani, the Minister of Communications, Innovation, and Digital Economy, announced the launch on Monday, emphasizing that the initiative was developed in collaboration with the Federal Ministry of Industry, Trade, and Investment.
This launch marks a significant milestone in the Ministry’s ongoing efforts to strengthen the role of Information and Communication Technology (ICT) in Nigeria’s economic growth.
Promoting Nigerian Tech Exports
Tijani highlighted that trade, which is the fifth pillar of the Ministry’s strategic blueprint, presents a key opportunity to promote Nigerian technology exports. The Digital Trade Desk will provide tailored support for local tech companies, helping them access new markets and compete on a global scale.
“With a bold vision, this initiative aims to increase the technology sector’s contribution to Nigeria’s GDP from the current 14-18% to 21% within the next three years,” Tijani said. “Additionally, the Desk is set to boost annual funding for Nigerian startups, growing it from $1 billion to $5 billion over the same period, driving innovation, entrepreneurship, and global competitiveness.”
Strengthening Nigeria’s Position on the Global Stage
The establishment of the Trade Desk aligns with Nigeria’s goal of improving its standing in the Economic Complexity Index (ECI), which ranks countries based on their productive knowledge and the complexity of their exports. Nigeria’s current ECI ranking, at -1.67 in 2022, places the country 127th out of 133 nations. By diversifying its trade and advancing its digital economy, the Trade Desk seeks to strengthen Nigeria’s position globally.
Tijani noted that the initiative is also a vital part of President Bola Tinubu’s broader vision for Nigeria’s economy to reach $1 trillion, driven by innovation, investment, and international trade.
The Competitive Landscape
While Nigeria was once the top destination for startup funding in Africa, it slipped to second place in 2023, with Kenya surpassing it in startup investments. In 2024, Nigerian startups raised just over $400 million, significantly behind Kenya’s $638 million.
However, Nigeria’s funding numbers were bolstered by two major deals: Moove’s $110 million Series B round led by Uber and Moniepoint’s $110 million Series C round. Despite this progress, the country still faces challenges in reclaiming its position as the leading hub for startup investments in Africa.
