Experts advocate cohesive investment, funding approach for Nigeria’s creative sector

Industry experts have called for a more cohesive investment and funding approach that ensures investments are properly channelled in Nigeria’s creative sector.

They say Nigeria needs a platform where fund seekers will see available funds and requirements with a click of a button while investors can key to invest.

Speaking with journalists at the American Business Council (ABC) Investment Forum at the just concluded Africa Creative Market held in Lagos with the theme, ‘Innovation meets Imagination,’ Margret Olele, CEO of the ABC, said there are lots of opportunities in Nigeria’s creative industry, but the country lacks the understanding of investment opportunities in the sector.

She said having a cohesive investment and funding outlook will enable the industry to have clear matchmaking between funders and fundraisers to ramp up the sector.

Olele said Nigeria needs to create a one-stop-shop for investors to easily find the potential investment areas in the creative sector including film, music, book publishing and research, building capacity around intellectual property, and driving technology in the creative space.

“Investment is a major problem in the sector. This includes film production, infrastructure and understanding the legal ambit. There are loads of funds all over, but people don’t know how to harness them.

“The creative sector is Nigeria’s new oil, and it drives the influences of Nigeria’s culture globally as we see people listening to our music and wearing our clothes. Just as we are culturally colonised by America by listening to their music and watching their films, Nigeria can ramp up the economy through the creative sector,” she explained.

She said the Council hopes to get expert opinions that will be compiled and shared with the Presidency to support the policies that can improve funding and funders’ space by tracking potential investors and creating a positive investment environment.

She said ABC hopes to see that Nigeria has better policies that can drive the funding space in the creative industry.

Also, Fegho Umunubo, special assistant to the president on Digital and Creative Economy, said the Nigerian creative industry needs expansion despite its current contribution of $5 billion to the economy.

He said there is an opportunity for increased investment, innovation, and collaboration to unlock the full potential of Nigeria’s creative economy.

Developing the industry, he said, is crucial to fostering an enabling environment that supports the creative talents of Nigerian youths.

“By investing in skill development, infrastructure, and creative enterprises, Nigeria can harness the full transformative power of its creative economy, driving sustainable growth and prosperity for the nation,” Umunubo said.

According to him, the industry in Nigeria has created employment for over 4 million Nigerian youths who would otherwise face unemployment.

“Statistics show that the creative economy currently employs 4.2 million Nigerians, with projections indicating an additional 2.7 million jobs by 2025. This growth trend demonstrates the immense potential of the creative industry to drive employment and economic development in Nigeria,” he said.

Pointing out the need to fund the creative industry, Umunubo said, the creation of the $617 million Investment in Digital Economy and Creative Enterprises (iDICE) Fund, a government initiative, will become a game changer in the creative industry when the implementation starts.

Melissa Jones, mission director of the United States Agency for International Development (USAID), described Nigeria’s creative industry as a driver of economic growth, innovation, and job creation.

Jones said Nigeria has a rich pool of talent and a unique cultural heritage, the country is well-positioned to become a major player in the global creative economy valued at over $2.25 trillion and contributing to more than 30 million jobs.

Represented by Evelyn Ayivor, senior trade and investment adviser at USAID Nigeria, she pointed out that Nigerian creativity is visible in Nollywood, Afrobeats, fashion, and visual arts scene, and already commands attention on the world stage.

“We must address critical challenges that hinder growth including access to financing, infrastructural gaps, intellectual property protection, and the need for more trained professionals across the creative value chain,” Jones said.

According to her, Nigeria needs to find solutions, strengthen the creative sector’s capacity, attract sustainable investment, and ensure that Nigerian creatives can compete regionally and globally.

She said USAID believed that investing in Nigeria’s creative sector is an investment in the country’s future and that the creative economy has the potential to be one of Nigeria’s strongest growth engines, capable of generating employment, fostering innovation, and shaping the nation’s global identity.

On her part, Zahrah Audu, technical assistant to the president on Foreign Direct Investment (FDI), said Nigeria’s creative sector is thriving and has through music, film, and arts contributed significantly to Nigeria’s GDP.

She said the industry, which is projected to attract about $1.4 billion by 2025 according to the African Investment Forum, attracted $9 million in foreign direct investment, accounting for about 4.5 percent of Nigeria’s total foreign direct investment inflow between 2015 and 2020.

She assured Nigerians of the Federal Government’s interest in the welfare of the creative industry, which is evidenced in the launch of the $617 million iDICE Fund even as she called on the industry to take advantage of the opportunities the fund provides.

“This fund is being made available to help provide grants, loans, and equity investments within the creative space. This is to help our indigenous companies bridge the huge funding gap. We know they need to seek more training and get the right equipment,” Audu said.

Audu urged Nigerian leaders to learn from the youth in the creative industry who are doing an amazing job setting the Nigerian dream and showing people that Nigeria has talent.