Several new initiatives and advancements have been made in the digital realm of the nation as a direct result of the federal government’s digitization driven efforts. Over 2000 domestic Digital Innovation firms have reportedly developed 384 different types of technological products. these companies, the majority of which are startups, raised more than $2 billion in venture capital financing in the year 2021. This was disclosed by Kashifu Inuwa, the Director General of the National Information Technology Development Agency (NITDA).
The NITDA Director General disclosed this while delivering a goodwill message in Abuja at the Validation Workshop for the National e-Commerce Policy and Strategy by the National Advisory Electronic Commerce and Digital Economy (NACEDE). Noting on the accomplishments, Inuwa stated that the digitization policy drive implemented by the Federal Government as contained in the National Digital Economy Policy and Strategy (NDEPS) is positively impacting the corporate governance, Business-to-Business (B2B), Business-to-Customer (B2C), and Business-to-Government (B2G) relationships.
2022 yearly spending is projected to hit $75 billion by 2025.
Contributions of the telecommunications sector to the nation’s real Gross Domestic Product (GDP) increased by 10.52 per cent year-on-year to hit N7.28tn in the first nine months of 2022, while the sector contributed N6.58tn to real GDP in the corresponding period of 2021. Data released by the National Bureau of Statistics (NBS) shows that the sector contributed N11.99tn to nominal GDP within the period under review, a 17.83 per cent year on year increase from the N10.18tn it was in the corresponding period of 2021. Also, the sector experienced 44.5 percent Broadband penetration with active Internet subscriptions that peaked at 151 million.
Represented by the Acting Director of the Digital Economy and Development Department, Salisu Kaka, Inuwa continued saying that Nigeria’s e-commerce market size is about $17 billion, with an estimated 89,000 developers representing 12 percent of the African developers’ population. The 2022 yearly spending of about $12 billion is projected to reach $75 billion by 2025. The concept of e-commerce which enables Micro, Small and Medium Enterprises (MSMEs) to operate in the global marketplace, has positioned the MSMEs as the major beneficiaries.
Nigeria could take advantage of trade agreements to boost e-commerce.
MSME’s can now engage in regional businesses and operate seamlessly in the social, economic, and cultural networks across international boundaries. Moreover, MSME’s now have access to various benefits, such as increased market access, improved participation in international value chains, improved internal and external market efficiency, and lower transaction costs. Meanwhile, global corporations are now able to operate with much consistency. Inuwa stressed the necessity to maintain the tide and harness the digital and e-commerce beneficial gain, which is an impetus for robust national e-commerce policy and strategy.
Accordingly, Nigeria interacts under bilateral, regional, continental, and global treaties in Trade and trade-related activities. Hence, it is crucial to implement a national policy that affirms these accords for the benefit of all member nations. With a policy in place, Nigeria could take advantage of trade agreements to boost e-commerce for the country while also protecting against any distortions that may otherwise hinder the economy’s growth. Also, the Buhari-led administration is focused on keeping Nigeria’s e-commerce development at the forefront of the country’s digital economy under the watchful eye of Minister of Communications and Digital Economy Prof. Isa Pantami.
The policy document is demonstrate government’s dedication.
According to Suleman Adebayo Audu, Director of the Commodities and Export Department at the Federal Ministry of Industry, Trade, and Investment and Chairman of NACEDE, utilizing the Digital Economy will increase nationwide e-commerce, which will attract foreign direct investment (FDI) and expand the economy. Adebayo said the policy document is demonstrative of the federal government’s dedication and that it would serve as a forum for citizens to have a voice in Policymaking and provide constructive feedback and ideas before the plan is completely implemented. The current administration’s plan to improve e-Commerce in the nation will be gathered into a policy paper that will be included in its scorecard.
