Fed Govt Set to Unveil Framework to Attract Investment in Digital Infrastructure
By Patience Ikpeme
The Federal Government has announced a pivotal step in its drive to foster digital infrastructure development through the creation of a specialized legal framework aimed at attracting investments. This groundbreaking initiative, led by the National Information Technology Development Agency (NITDA), seeks to streamline the investment process and automate governance procedures.
Mallam Kashifu Abdullahi, Director-General of NITDA, disclosed this significant development during the 4th Development Bank of Nigeria (DBN) Lecture Series held in Abuja.
Abdullahi highlighted the imminent finalization of the legal framework, underscoring its role in facilitating both local and international investor engagement in digital infrastructure development. The proposed framework targets the removal of obstacles hindering private investors, thereby simplifying financing and participation in pivotal digital infrastructure projects such as data centers, fiber optic networks, and cloud computing platforms. This infusion of private capital is poised to complement governmental efforts, accelerating the expansion of digital infrastructure significantly.
The strategic move is forecasted to catalyze the growth of small and medium-sized enterprises (SMEs) while propelling the nation’s overarching digital transformation.
Abdullahi reiterated the pivotal nature of this initiative, stating, “We are finalizing a legal framework to facilitate investor participation in digital public infrastructure, enabling easier access for SMEs and advancing governance automation.”
Further emphasizing the government’s commitment to ensuring universal access to digital infrastructure, Abdullahi stressed that access is no longer a privilege but a fundamental necessity in today’s interconnected world.
Meanwhile, Dr. Tony Okpanachi, Managing Director/Chief Executive Officer of DBN, acknowledged the transformative influence of the internet on commerce and human interaction. He acknowledged the challenges posed by security and infrastructure in Nigeria while advocating for a technology-driven business landscape to surmount these obstacles.
Recognizing the pivotal role of Micro, Small, and Medium Enterprises (MSMEs) in Nigeria’s economic landscape, Okpanachi emphasized their contribution to poverty alleviation, employment generation, and wealth distribution. He stressed the necessity of integrating technology within MSME operations to bolster efficiency, addressing a key barrier to business in Nigeria.
“DBN recognizes technology’s crucial role in Nigeria’s development and will continue to champion innovative funding solutions for MSMEs, fostering sustainable growth. Similarly, the Bank remains committed to initiatives enhancing Nigeria’s Ease of Doing Business (EODB) ranking.”
He added, “At DBN, we acknowledge the IT sector’s potential to revolutionize the Nigerian economy, demonstrated through our annual Techpreneur Summit since 2021. This platform supports technopreneurs in accessing debt finance, optimizing business processes, achieving product-market fit, mentoring, and ultimately, profitability.”
The comprehensive efforts by both the government and financial institutions like DBN reflect a unified drive towards leveraging technology and fostering an environment conducive to growth, innovation, and inclusive development in Nigeria’s digital landscape.
