Experts have called on the Federal Government to implement policies that would encourage investments in the country’s technology ecosystem.
They stated this at the third edition of the TMT Business Law Breakfast series 2024 organised by Duale, Ovia and Alex-Adedipe in Lagos recently.
The event’s theme was “The Nigerian Tech Ecosystem: Policies. Investments and Global Trade”.
The Managing Partner of Duale, Ovia and Alex-Adedipe, Mr Adeniyi Duale, noted that investments, policies and trade would determine how well tech thrives in the country.
According to Alex-Adedipe, Nigeria’s ecosystem is doing a great job in attracting global investment, adding that Nigerian-founded tech companies raised more than $2bn in 2023.
He said Nigeria needed good investment and policies to be able to harness its potential.
He disclosed that last year the global investments in startups reached $285bn.
Alex-Adedipe, however, lamented that $4.5bn fines were issued solely under the European Union General Data Protection regulation.
He further stated that tech holds the greatest promise in many ways for the country, adding that it was already delivering on that potential.
“The promise of tech is not in doubt. It is proven,” he said.
According to him, what is needed is how to further leverage and scale tech as an industry and as a catalyst of industries.
“ 2023 was a year of highs and lows policy-wise but I’m an incurable optimist and nothing has delighted me like the fact that Nigerian tech now has one of its own to its ecosystem function by drawing in value at a global scale into every sector that it intersects with.
“This is where we need to get to. These kinds of growth-focused conversations are why the TMT Business Breakfast series exists,’ Alex-Adedipe said.
In his keynote address, the Chairman of ARCA Payment, Kyari Bukur, stressed the significance of policies and regulations to attract tech investments.
He emphasised the importance of local investors showcasing confidence to attract foreign capital.
Bukur said, “Policies and investments in global trade are paramount, given their integral role in facilitating the free flow of goods and services. However, innovation in Africa extends beyond mere replication; it must embody genuine creativity and market creation. Achieving this necessitates addressing regulatory challenges and fostering an ecosystem conducive to innovation.
“Despite the allure of unregulated sectors, Fintech in Nigeria operates within a heavily regulated landscape, necessitating compliance with stringent standards alongside innovation.”
He commended the recent moves by the Central Bank of Nigeria to engage and collaborate with investors for the development of the tech sector.
According to Bukur, talents leave the country because things are tough and challenging now but with the right policies, they would start returning to the country.
During a panel discussion, the Lagos State Commissioner for Science, Information and Technology, Olatunbosun Alade, disclosed that the state government had set up an investment fund for startup businesses.
“We give them initial startup money to overcome challenges,” he said, adding that the state had so far funded about 60 startups.
The founder of Aruwa Capital Management, Adesuwa Okunbo-Rhodes, who spoke on reduced capital inflow, called for government reforms to make investments more attractive in the country.
She suggested that a lot of education should be carried out to enable investors to take advantage of the $25bn set aside by the government for startup businesses.
Also, the founder of Moniepoint, Tosin Eniolorunda, remarked that companies had a responsibility to generate returns to shareholders and improve equity shares.
