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FG urges investment in innovation hubs to drive digital economy

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FG urges investment in innovation hubs to drive digital economy

 

By Alabidun Shuaib AbdulRahman

 

The Federal Government has called for increased investment in technology hubs, innovation spaces and ecosystem builders across the country, describing them as critical to developing talent, empowering entrepreneurs and driving Nigeria’s digital economy.

 

The Minister of Communications, Innovation and Digital Economy, Dr Bosun Tijani, made the call in Abuja at the National Innovation Hub Standards Framework Validation Workshop.

 

Tijani said Nigeria could not achieve a diversified and prosperous economy without strengthening the support systems required to nurture innovation and entrepreneurship.

 

He noted that although successful technology startups often attracted public attention, the innovation hubs and grassroots communities that supported their growth were frequently overlooked.

 

According to him, technology hubs and physical co-working spaces provide critical platforms where young Nigerians, creators and entrepreneurs can collaborate, build networks, access mentorship and transform ideas into viable businesses.

 

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The minister, who drew from his previous experience managing a technology hub, said the growth of Nigeria’s technology ecosystem had been partly driven by the emergence of spaces that provided entrepreneurs with knowledge, mentorship, networks and other support.

 

He said the increasing number of successful Nigerian technology companies demonstrated the potential of the country’s innovation ecosystem, but warned that the potential could not be fully realised without stronger support for ecosystem builders.

 

Tijani said government’s investment in digital infrastructure must be matched with adequate investment in people and institutions capable of converting infrastructure into economic opportunities.

 

He listed ongoing government efforts to expand digital infrastructure through investments in fibre-optic connectivity, telecommunications infrastructure and satellite technology to extend digital access to underserved and hard-to-reach communities.

 

He added that the government was also strengthening other components of the digital ecosystem, including digital identity and cloud infrastructure, through new policies and strategic interventions.

 

The minister, however, stressed that infrastructure alone would not deliver the desired economic transformation if innovation hubs lacked the resources and capacity to attract and retain skilled personnel.

 

“Imagine if we had all the hubs in Nigeria at the same level of quality as the best hubs in the country. There would be more technology businesses, more innovation and better opportunities across the country,” he said.

 

Tijani also called for greater documentation and transfer of knowledge from successful innovation ecosystems around the world to Nigerian technology hub managers.

 

He said lessons from global best practices could help strengthen local innovation communities and enable hubs to provide better support to entrepreneurs.

 

The minister said the impact of successful technology hubs extended beyond individual entrepreneurs, noting that startups supported by such ecosystems could create jobs, establish new businesses, generate tax revenue and contribute to national economic growth.

 

He said Nigeria could not achieve sustainable economic development by relying solely on oil and gas, stressing the need for a diversified economy driven by technology, innovation and entrepreneurship.

 

Tijani cited leading Nigerian technology companies, including Paystack, as examples of what could emerge when the right ecosystem, talent and support structures were available.

 

Meanwhile, the National Information Technology Development Agency is working to establish common standards for innovation hubs across Nigeria as part of efforts to decentralise the country’s innovation ecosystem.

 

The NITDA Director-General, Kashifu Inuwa, said the proposed National Innovation Hub Standards Framework would provide hubs with a structured pathway to assess their capabilities, identify gaps and progress towards maturity.

 

Inuwa said the framework was not designed to impose rigid requirements on hub operators but to provide guidance for improving their operations, services and institutional capacity.

 

“Innovation does not happen in isolation; it happens in an ecosystem. And that ecosystem does not happen by accident; it happens by design,” he said.

 

The NITDA boss said innovation hubs had become critical platforms for bringing together innovators, students, entrepreneurs, investors, businesses, academia and government to exchange ideas and transform concepts into commercially viable enterprises.

 

He said Nigeria had an abundance of talented and entrepreneurial young people, but many lacked access to funding, networks, mentorship, infrastructure and other support systems required to turn their ideas into sustainable businesses.

 

Inuwa identified talent, risk capital, large corporate organisations and government as key pillars of a functional innovation ecosystem, stressing that stronger collaboration among stakeholders was necessary to build a sustainable digital economy.

 

He expressed concern that innovation activities remained largely concentrated in Lagos, Abuja and a few other states despite the availability of talent and innovation potential across the country.

 

According to him, NITDA’s research identified more than 339 innovation hubs across Nigeria, although a significant proportion were concentrated in Lagos, Abuja and about 10 other states.

 

He said some hubs outside the major innovation centres were still operating primarily as training centres and required additional support to evolve into full-fledged innovation, incubation and entrepreneurship centres.

 

Inuwa explained that the proposed framework contained seven key dimensions and about 35 assessment categories through which hubs could evaluate their capabilities, identify weaknesses and determine their level of development.

 

He reiterated that the framework was not prescriptive, but would serve as a guide for hubs seeking to strengthen their operations and institutional capacity.

 

The DG said the ultimate objective was to create an environment where young Nigerians could brainstorm, develop and test ideas, access relevant facilities, connect with businesses and investors, understand government policies and obtain the support needed to build sustainable enterprises.

 

He also stressed the importance of private-sector participation in providing risk capital, noting that government alone could not sustainably finance the growth of startups and emerging businesses.

 

Inuwa called for stronger collaboration between universities and industry, saying higher institutions must become active participants in the innovation ecosystem through research, entrepreneurship, digital skills and industry partnerships.

 

He disclosed that NITDA was already working with the Federal Ministry of Education to integrate digital skills into formal education to equip graduates to participate meaningfully in the digital economy.

 

The NITDA boss described the standards framework as a draft and urged hub founders, investors, development partners, government institutions, academia and other stakeholders to contribute to its refinement.

 

He said a robust national network of innovation hubs would enable communities to harness local talent, develop solutions to local challenges and contribute to national economic growth.

 

Inuwa added that the initiative would reduce the pressure on innovators to relocate to major cities before gaining access to the ecosystem and support required to develop and scale their ideas.

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