Experts are urging a speedy presidential assent on the Electronic Transactions Bill already passed in the national assembly since June 3, 2015, as they say it will open a fresh revenue stream which will bring relief to the ailing economy by adding over $75billion in the next three years.
The Bill provides for the validity of contracts expressed in electronic forms, matters relating to evidence, security of online transactions, electronic signatures, disclosure of information, protection of personal data, and protecting the rights of consumers.
While Nigeria’s technological sector has witnessed exponential growth, regulations required to give protection to critical stakeholders have not kept pace with it. Nigeria promulgated the National Information Technology Development Agency Act (NITDA) in 2007, to develop a framework for the governance and monitoring of the exchange of data and conduct of transactions online.
Experts say Nigeria’s e-commerce sector will be see increased value if it deepens regulatory framework signing the electronic transactions bill into law which will provide a holistic regulatory framework for the sector projected to see a $75billion growth in 2025 by McKinsey.
“The Bill, once passed, is intended to facilitate, promote and regulate e-commerce transactions in Nigeria,” said Adedamilotun Aderemi a legal practitioner in Olaniwun Ajaiye LP, who specialise in the firms practice dedicated to new growth areas of the economy including startup advisory and e-commerce.
Aderemi further said that it will ensure that transactions entered into online are not denied legal effect, validity and enforceability solely on that basis; guarantee the validity of electronic signatures provided that they are endorsed in accordance with guidelines produced by the NITDA; further strengthening the data protection regime started by the Agency; and developing guideline for the formation of agreements online.
Industry practitioners at the Franco Nigeria Chamber of Commerce and Industry e-commerce business summit held in Lagos, on Wednesday, harped on the need to deepen regulatory framework to attract investors.
“Lack of comprehensive regulatory framework that will cover all areas in the sector is a big challenge,” Olarenwaju Yusuf, associate partner of WFO Rodi & Partner LP said in his presentation at the event.
“Only 10 percent of the e-commerce potential of Nigeria and perhaps Africa has been tapped. The huge infrastructural gap in the e-commerce sector is worsening due to absence of holistic regulatory framework,” said Olarenwaju.
