Nigeria moves to measure the true value of its digital economy

Nigeria is taking a major step to measure the true value of its fast-growing digital economy, moving beyond tracking internet users and digital payments to assessing how technology contributes to economic growth, job creation, innovation, financial inclusion and public service delivery.

The initiative is expected to give policymakers reliable data to shape future investments and ensure Nigeria’s digital transformation delivers measurable economic benefits.

For years, Nigeria has celebrated rapid growth in digital payments, broadband expansion, tech startups and online government services. But one question has remained largely unanswered: How much are these investments actually contributing to economic growth, jobs and national development?

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The National Information Technology Development Agency (NITDA) is now seeking to answer that question through a new national framework designed to measure the real impact of digital technologies across the economy. The initiative marks a shift from simply expanding digital infrastructure to using data and evidence to determine whether digital transformation is delivering measurable economic and social benefits.

The agency unveiled the framework during a stakeholder engagement and validation workshop in Abuja, bringing together government agencies, regulators, academics, private sector representatives, development partners and researchers to review the proposed measurement system before nationwide data collection begins.

Speaking at the event, Kashifu Inuwa, NITDA director general, represented by, Olawumi Oladejo, director of the special duties unit, said Nigeria’s digital economy has recorded significant progress in recent years, particularly in digital payments, broadband infrastructure, innovation, entrepreneurship and digital public services.

However, he said the country still lacks a harmonised system for measuring the outcomes of these investments, making it difficult for policymakers to identify what is working, where gaps exist and where future spending should be directed.

“Building a globally competitive digital economy requires more than deploying technology,” Inuwa said, adding that reliable data, evidence-based research and institutional collaboration are essential for sustainable digital transformation.

The study aims to establish a national evidence base showing how digital technologies contribute to economic growth, employment, innovation, financial inclusion, public service delivery and Nigeria’s global competitiveness. It also seeks to create a common framework that government institutions can use to measure digital transformation across sectors.

The initiative aligns with NITDA’s Strategic Roadmap and Action Plan (SRAP 2.0), which places research and data-driven policymaking at the centre of Nigeria’s digital economy agenda.

Industry experts say the framework could help address one of the biggest weaknesses in Nigeria’s digital economy strategy. While government agencies often announce new digital projects and investments, there has been limited national data to quantify their long-term economic returns or compare performance across sectors.

Saidu Mohammed Kumo, chairman of the technical steering committee and NITDA’s director of research and development, said Nigeria’s digital economy is expanding rapidly, but the country’s ability to systematically track its impact has not kept pace.

To bridge that gap, researchers from Nigeria’s six geopolitical zones worked alongside the National Bureau of Statistics (NBS) to develop a statistically robust framework.

According to Kumo, the framework measures three broad areas: digital infrastructure and access, digital skills and capabilities, and digital adoption together with the enabling environment.

These indicators will be applied across five priority sectors—financial services, government services, e-commerce and digital trade, telecommunications, and e-health.

Altogether, the committee has proposed 81 core indicators that will assess how digital technologies are transforming businesses, public institutions and everyday life. During the workshop, stakeholders reviewed the indicators, tested their relevance across sectors and recommended improvements before the national study begins.

The National Bureau of Statistics pledged technical support for the initiative. Speaking on behalf of Saadatu Hayatuddeen Auwal, the statistician-general of the Federation, described digital technology as a key driver of modern economies, noting that reliable measurement is essential for designing effective public policies.

The Federal Ministry of Health also welcomed the inclusion of healthcare among the five pilot sectors. Representing the ministry, Ezedozie Adaora Ifeyinwa said technologies such as electronic health records, telemedicine and digital disease surveillance are reshaping healthcare delivery, but their economic and health impacts must be measured consistently.

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She also pointed to challenges including fragmented health data, varying levels of digital maturity across healthcare institutions and concerns around data privacy, stressing the need for stronger collaboration to build an integrated digital health ecosystem.

Beyond producing statistics, the framework could influence how future digital investments are prioritised. Better measurement would enable government to identify sectors generating the highest returns, improve accountability for public spending, strengthen investor confidence and provide evidence for policies that accelerate inclusive digital growth.

As Nigeria positions itself as one of Africa’s largest digital economies, the success of its next phase may depend not only on building more digital infrastructure, but also on proving that digital transformation is creating measurable value for businesses, citizens and the wider economy.