Nigeria is entering a decisive era of digital transformation, with analysts projecting the country’s e-commerce sector to top $16 billion by 2030. The forecast was shared during the 35th Annual Conference of the Finance Correspondents Association of Nigeria (FICAN) in Lagos, where stakeholders examined the rapid rise of the digital economy.
The conference, themed “Bracing for the Digital Economy in Nigeria: Taxation, Banking and Finance,” featured insights from representatives of the Central Bank of Nigeria (CBN), the Federal Inland Revenue Service (FIRS), major banks, and academics from the Lagos Business School (LBS).
A Growing Digital Market
Citing the Nigerian Communications Commission’s (NCC) 2024 report, panelists noted that internet access now covers 43.5 percent of the population, with over 163 million Nigerians online as of March 2024. The telecoms sector contributes between 18–20 percent of GDP, solidifying ICT’s role as one of the country’s strongest growth engines.
Speaking on behalf of LBS Dean Prof. Olayinka David-West, Prof. Akintola Owolabi described the shift as more than numbers:
“This digital revolution transcends statistics; it reshapes commerce, services, and livelihoods. Platforms like Jumia and Konga are powering a fast-growing e-commerce industry projected to surpass $16 billion within the next five years.”
Payments Driving Inclusion
David-West also underlined the importance of digital payments in transforming Nigeria’s informal economy. According to him, the ICT sector accounted for 18.3 percent of GDP in Q2 2025, while digital transactions surpassed ₦600 trillion in the first half of the year, a 22 percent year-on-year increase.
Mobile money, with usage exceeding $73 million, is reaching previously underserved rural communities, expanding financial access and improving tax compliance.
Innovation Beyond Shopping
Panelists also pointed to innovation across logistics and fintech. Joyce Onyegbule, Head of Corporate Communications at the Nigeria Sovereign Investment Authority (NSIA), cited logistics firms like Kwik and GIGL as examples of how technology is creating new value chains.
She noted that fintech attracted $2 billion in funding in 2024, with leading banks such as Access Bank and GTBank integrating AI and machine learning to enhance fraud detection, credit scoring, and personalised services.
“These developments promise not only exponential job creation but also a more diversified economy less reliant on oil,” Onyegbule said.
Barriers and the Road Ahead
Despite the progress, participants acknowledged lingering obstacles, including poor electricity supply, limited broadband infrastructure, and shortages in digital talent. Onyegbule warned that regulators must balance innovation with consumer protection to avoid widening risks in the sector.
FICAN Chairman Chima Titus concluded by stressing urgency:
“Globally, the digital economy has become the backbone of growth. For Nigeria, this is a moment to embrace transformation driven by data, digital payments, artificial intelligence, and cross-border innovation.”
