In this exclusive interview with BusinessDay’s General Manager, Bashir Ibrahim Hassan, the Minister of Communications, Innovation, and Digital Economy, Dr ‘Bosun Tijani, puts in perspective the vision behind Nigeria’s drive to use digital technology to drive the nation’s economy. He highlights the purpose of digitising the economy, the functionality of the innovative systems being introduced and the shared responsibilities this requires.
He underscores the various innovations being spearheaded by his ministry.
He notes that currently, Nigeria is not fully equipped to implement the level of credit systems in operation in the more developed countries, “which limit opportunities for consumers to purchase on credit, unlike in more developed markets.”
He explains how the ministry has proactively planned activities for the next three years of the current term of the administration. He also put figures to the infrastructure required in Nigeria and potential of a fully digitised system to impact the nation’s economy.
He also provides an update on the bill for the national digital economy currently before the National Assembly.
When you came into this office, you set out your vision and the principles to guide your work as a minister? What have you been able to accomplish so far in the light of this vision?
In terms of our vision, the strategic blueprint that we enunciated has been invaluable to us. In the blueprint, we highlighted the specific things we want to be measured by, even if it doesn’t detail exactly how everything will be done. It acknowledges the different paths and stakeholders involved in government, focusing on goals that align with the current global landscape and President Bola Ahmed Tinubu’s Renewed Hope Agenda, Nigeria’s progress in telecommunications and the larger ICT space, and our aim to build on that progress to seize available opportunities.
We also recognised Nigeria’s ongoing push towards economic diversification and increased productivity, which is impossible without digital technology in today’s world. The strategic blueprint is the driving force behind the ministry, and it has remained consistent. We incorporated feedback from when it was released, particularly around cybersecurity, and have started executing our plans.
If you look at the strategic blueprint, you’ll see that we’ve planned activities over the next three years of this administration with clarity and relying on support from both within and outside the government. We’re pleased with the progress we’re making so far.
To ensure progress towards building the infrastructure needed for a robust digital economy in Nigeria, we understand that quality access is the backbone of a digital economy and have, therefore, focused on connectivity. While the private sector has invested in this space, there are still many unserved and underserved areas, and even those with access often receive suboptimal service.
Under President Bola Ahmed Tinubu’s leadership, we are investing in 90,000 kilometres of fibre infrastructure. This project aims to utilise Nigeria’s nine submarine cables more effectively, as currently, we are not using even 15 percent of their capacity. By laying this extensive fibre network, we aim to enable fibre-to-base-station connections, which will allow us to leapfrog from older technologies directly to the latest ones, bypassing incremental upgrades.
This project is a significant investment estimated to cost about $2 billion. In the past nine months, we’ve secured approval from the Federal Executive Council (FEC) to set up a special-purpose vehicle to manage this initiative. We’ve engaged seven development finance institutions and private companies interested in co-investing, streamlining the process to complete the setup of the SPV within six to nine months.
Read also: Understanding Bosun Tijani and his strategic plan for Nigeria’s communications sector
When will the country and this ministry be able to achieve the delivery of this infrastructure and begin to see the impact?
We are collaborating with development finance institutions such as the World Bank and the African Development Bank (AFDB). The moment we can secure the funding, in addition to significant improvements in connectivity, the deployment of these fibre networks over the next two to three years will transform Nigeria’s connectivity landscape, making it the third longest fibre network in Africa, after Egypt and South Africa.
We have already secured interest from seven development finance institutions. We recently held a workshop in Abuja, where they all came together to collaborate. The purpose of the workshop was to ensure they can all engage directly and avoid delays. All the institutions had already expressed interest in investing; so, we brought them together as a group to address their questions collectively. This approach prevents the process from being prolonged for more than two years.
The institutions are now working together independently to harmonise their requests and demands. Once they present their requirements to us, we can respond efficiently to accelerate the process. We expect to secure the funding within six to nine months. Once the funding is in place, the deployment of the fibre networks will begin immediately. You will start seeing parts of the country being connected. Our target is to deploy 90,000 kilometres of fibre within the next two to three years.
How do you foresee the economy being impacted by this huge investment?
Once a country is adequately connected based on a strategic plan, its economy will be significantly impacted. In Nigeria’s case, we need 125,000 kilometres of fibre-optic cable. So far, we’ve installed 35,000 kilometres.
To achieve our goal, we need to complete an additional 90,000 kilometres. This investment of $2 billion is projected to add approximately 2 percent to Nigeria’s GDP, which is a significant boost.
The reason for this expected economic growth is that improved connectivity will stimulate various economic activities and strengthen the digital economy. Connectivity also plays a crucial role in security. A fully connected country can enhance its surveillance and security measures. For instance, technology, including drones, has been a game-changer in the fight against Boko Haram in the Northeast. The deployment of similar technology in other areas facing challenges can make a significant difference.
Also, for example, imagine if all hospitals were connected and could share data seamlessly. This would allow the Minister of Health to monitor the health status across the country in real time, make informed decisions, and deploy resources more effectively.
How is the ministry promoting awareness on digital transformation?
One of our key projects is training 3 million technical talents across the country. Many of these young individuals are now securing jobs, and they come from various regions, not just one specific area. They frequently share their learning experiences and celebrate their new job placements.
Additionally, we are connecting local government secretariats to the internet using underutilised satellite technology through our Project 774 which is led by NIGCOMSAT and Galaxy Backbone. We are also funding substantial research projects that have already been initiated in Fourth Industrial Technologies
The transformation we aim for is crucial. Many government agencies collect data, but often this data is stored in silos. As a result, it does not effectively inform government decision-making. The president has emphasised the need to change this, focusing on transforming the delivery of government services through technology.
To support our citizens, we are ensuring we can collect information on what we call ” life events.” This initiative ensures that key moments in life — such as the birth of a child, enrollment in school, marriage, or starting a business — are supported by digitised government services. This is the direction we’ve taken to enhance service delivery.
What is the bill for the national digital economy about, and how does it impact the nation’s economy?
The bill for the national digital economy has now completed its first reading. The objective is to establish the necessary regulations and laws to support the use of technology effectively. For any meaningful change in government, legal frameworks are essential.
This bill aims to create an enabling environment for fair competition among companies and to facilitate the digital transformation of public institutions and government processes. It will lay the groundwork for secure, reliable, and confidential data exchange. For instance, when the Ministry of Health collects data on newborns, the Ministry of Education should be able to access that information seamlessly. Similarly, if the police need to verify someone’s criminal record or if a school is looking to hire, they should have access to that data without complications.
Additionally, the bill addresses how different ministries can better coordinate to identify and support individuals who are in need.
To achieve these goals, we need robust legal structures in place.
The bill also emphasises the importance of digital literacy. We cannot fully embrace the digital economy if many citizens lack the basic knowledge to use technology effectively. Therefore, it includes provisions for investing in digital literacy at scale.
This legislation is designed to drive the changes we want to see. We are committed to making this bill the most widely travelled in Nigeria’s history. We are collaborating with the National Assembly to consult with citizens across all states, gathering feedback from stakeholders and the community. Additionally, we will leverage a network of technology hubs throughout Nigeria to engage people and gather their input on the bill.
Read also: Nigeria targets robust economy with digitalisation, says Bosun Tijani
What type of feedback are you expecting, and do you think the feedback from Kano will differ from that of Ogun?
Feedback may vary, but the purpose of engagement extends beyond simply gathering opinions; it’s also about informing the public about the bill’s contents.
For example, this bill addresses the validity of electronic transactions and digital signatures. It will establish a framework to verify that a signature is genuinely yours, which is currently not recognised in Nigeria. If we pass this law without public awareness, it undermines its purpose.
Consider data protection; while we have a policy in place, many citizens are unaware of the necessary steps to protect their information. The government is providing information, but awareness is still lacking. By promoting bills like this one and ensuring that people understand the content—through local stakeholders and community engagement—we can increase awareness of the bill’s objectives and drive national support.
Effective communication is essential to this process. We want this initiative to genuinely advance our economy, rather than become just another piece of legislation that is overlooked by Nigerians.
Once we achieve this, it aligns with our agenda to leverage technology for government transformation. However, transformation cannot occur without proper connectivity. Thus, our plans are interconnected. We aim to invest in infrastructure that enables us to better serve our citizens.
Honourable Minister, what is the current status of digital public infrastructure in the country?
In terms of digital public infrastructure, Nigeria is actually making significant progress. When we took office, we recognised that digital public infrastructure can be divided into three core components, all of which rely on foundational infrastructure—specifically, connectivity.
. This connectivity forms the foundation of our digital infrastructure.
For example,while it’s not the responsibility of individual businesses to create credit bureaus, there is now a Consumer Credit Agency established by the President. However, for this agency to function effectively, the system must allow for interoperability.
Without a seamless data exchange system, businesses struggle to assess customer creditworthiness.
For example, if someone wants to apply for a student loan, we need to verify their identity and qualifications. With an effective data exchange system, we could connect the student loan system to various databases, including the National Identity Management Commission (NIMC), facilitating seamless data sharing.
Nigeria already has a digital identity framework through NIMC and a robust payment system through the Nigeria Interbank Settlement System (NIBBS), which is among the best in Africa. What we lack is a comprehensive data exchange system, which this administration is prioritising.
This is why the Digital Economy & e-Governance bill is crucial. We have initiated “Devs in Government,” a monthly gathering of technology leaders in government, to work collaboratively on implementation strategies. Additionally, we are preparing a declaration with the President to formally kick off the data exchange process.
When will the President sign the data exchange initiative?
We have a declaration currently being reviewed by the Attorney General. Once that process is complete, we hope the President will sign it, which will formalise the declaration.
Regarding the bill, it also addresses data exchange. We plan to share fact sheets with interested parties. We started with media engagement, including a media parley last week with key reporters in the ICT sector.
We expect to release the first draft of the bill on July 23, 2024. We want to ensure there aren’t multiple versions circulating before its official release. After sharing the draft, we will focus on engaging the media further.
Following the release, we will conduct stakeholder engagements through four major events in Abuja, Lagos, Kano, and Port Harcourt. Even if I cannot attend, representatives from NITDA and others will participate.
We will collaborate with the Nigerian Competitive Society and the ISN to facilitate discussions about the bill across all states. While we won’t need to be present at every meeting, we will provide guidance on how to conduct these engagements and share the draft bill with participants.
After the initial reading in the National Assembly, the bill will go through additional readings and likely a public hearing. We are optimistic about its support, especially since it is being led by the Senate Committee Chair on ICT and Cybersecurity, as well as the House Committee Chair on Digital Affairs.
What has changed in the Ministry of Communications, Innovation, and Digital Economy in the area of emerging technologies since you assumed office as its pioneer minister?
One significant example of our innovation from a policy perspective is the development of our artificial intelligence (AI) strategy. Historically, African countries have been underestimated in the field of AI, often seen as too expensive or advanced for us. However, we challenged this notion by taking a groundbreaking approach that has now been recognised globally as one of the most innovative in National AI Strategy development.
We used an AI model to identify top researchers in artificial intelligence worldwide, focusing on those with Nigerian names to find individuals who might be of Nigerian descent. This search spanned countries from the UK to Saudi Arabia, Germany, the US, Malaysia, and beyond. Out of the 5,000 experts we identified, we narrowed it down to 150 of the best. In April, we brought 60 of these global experts to Abuja, along with 60 Nigerian AI professionals, to collaborate on crafting our AI strategy framework. This method of developing a government strategy with such an open and inclusive approach is unprecedented, not only in Nigeria but globally.
We also received support from major technology companies like Google, META, Microsoft, and AWS, which sent their experts to join the program. The draft strategy we created is now being reviewed by all critical agencies, such as the NSA, Ministry of Health, Ministry of Education, and Ministry of Agriculture, to ensure comprehensive input.
This inclusive approach is a shift from previous methods where policies were often developed in isolation, leading to poor awareness and implementation. By involving a wide range of stakeholders from the beginning, we ensure that the policies are not only well-known but also effectively implemented. This strategy has positioned Nigeria as a key player in global AI discussions, proving that we can lead in technological innovation.
What factors have contributed to the significant growth of the ICT sector’s contribution to Nigeria’s GDP and how can we not only maintain but also improve this growth? Additionally, what strategies can be implemented to increase revenue generation from the ICT sector?
It’s important to note that the 14 percent contribution to GDP doesn’t fully account for the contributions of technology startups in Nigeria. Many of these startups are broadly categorised under ICT. Some of them are even domiciled abroad, and we can still do a lot to encourage them to operate their businesses locally.
We have been very focused on investing in fibre, developing talent, and creating an AI strategy. These efforts signal to the world that Nigeria is a place worth investing in. Serious companies see our clear agenda and are willing to invest because they recognise the potential here.
Sustaining this growth is crucial. By focusing on developing technical talent, we are building a workforce that can power various sectors. This creates new companies and opportunities, leading to continued growth in the ICT sector.
The inflow of technology into various sectors, such as agriculture, through innovations like drones, will drive further growth. We need to continue showcasing our strategy and the potential of our ICT sector to the world to attract more investments and maintain this upward trajectory.
What do you promise Nigerians that they will see in the next two years?
For me, the promises are clear. We will see more technology jobs in Nigeria over the next three years because we are training people and working to put them into jobs. This is going to be significant. Additionally, we will start to see the realisation of investments in connectivity, which will improve the quality of internet connections across the country.
Another commitment is the use of technology to transform how the government provides services to people. You will start to see changes in how you interact with the government, such as the standardisation of all government websites, making them easily recognisable and secure. We are also creating a workforce to support these improvements, ensuring that all MDAs adhere to the new standards.
Furthermore, we are working on making interactions with the government more seamless, such as registering businesses or accessing company details from the Corporate Affairs Commission. This will improve the efficiency of government services.
We’ve also made progress in our FDI objectives by converting a long-unused building in San Francisco into a hub for Nigerian startups. This will enable Nigerian companies to build relationships and secure funding from the Bay Area, which is a significant source of investment for technology startups. Our goal is to increase funding for Nigerian startups from around $2 billion to $5 billion by the end of this administration. This initiative will not only open Nigeria to the world but also create more jobs and boost foreign direct investment in our economy.
What do you expect the GDP contribution from the ICT sector to be by the time you leave office, considering the projected $5 billion in startup investments?
We have a target we’re working towards, and we are optimistic that we can significantly increase the GDP contribution from the ICT sector. This optimism stems from several factors. For instance, we haven’t yet fully integrated technology in a sector like agriculture. As we start to see more drone companies and sensor technologies in agriculture, that sector will grow.
Similarly, the adoption of technology in education is still minimal, and the same applies to the health sector across the country. With the current administration, we expect to see significant changes in how technology is used in these sectors, which will contribute to the overall growth of the economy.
We anticipate that the ICT sector’s contribution to the GDP could reach about 21 percent. However, this will depend on the growth rate of other sectors as well. If agriculture’s contribution grows, it might affect our percentage, but overall, the impact of ICT on the economy will continue to increase. Even maintaining the current 14 percent to 15 percent contribution is commendable, given the circumstances.
