The Nigerian government has announced that it has secured approximately $119 million in investments for tech hubs and MSMEs from Gluwa, a digital wallet service, and Ericsson.
This was disclosed in a press release by Stanley Nkwocha, Senior Special Assistant to the President on Media and Communications (Office of the Vice President) on October 17, 2024.
The presidency stated that this followed Vice President Kashim Shettima’s assurance to global investors at a business meeting with Swedish businesses in Stockholm, encouraging them to explore Nigeria’s ever-growing investment climate, which, according to him, is currently providing limitless opportunities for serious investments.
The Investments
According to the presidency, Mr. Akinola Jones, Director of Gluwa, said the company would train over 30,000 Nigerians in digital skills as part of its contribution to the Renewed Hope Agenda of President Bola Tinubu’s administration.
He was quoted as saying the company is “committing $100 million across Nigeria.”
“We have a big vision for Nigeria, and I think our vision is banking the unbanked and connecting the unconnected. We see a situation where, once we launch our satellite in December this year, we can connect direct satellite to WiFi. This is going to be a very big win for Nigeria and a very big win for the technology ecosystem.
“We have given about $100 million in loans. It is not just about disbursing loans; it is not just about trying to grow portfolios; it is really about giving back. We are pushing for a lot of impact, and we are also working with the government and presidency to train people on digital skills,” he stated.
On his part, the Managing Director of Ericsson Nigeria, Mr. Peter Olusoji Ogundele, announced the company’s plan to build a technology hub worth about $19 million in Nigeria.
He said, “Nigeria has enough youths who can come into that field. We can train them; Ericsson will also take part in it, and some of them we can export to the world, making us another India.
“Ericsson was the first to have over 1,000 sites in Nigeria and continues to invest in the country. We have been here since 1978, and for us, our partnership is an enduring one.”
The Swedish Vice President, Edgar Luczak, Chairman, Partner, and Head of Advisory at Epicenter, Sweden, assured Shettima that through collaboration, both countries can build a stronger economy, create jobs, and ensure a future for generations to come.
“We hope to take this opportunity to launch an accelerated program that will not only follow in the footsteps of our excellent programs with the likes of Google, Microsoft, Singapore, and other countries but create our own path to support Nigeria in its unique growth,” he added.
What Shettima Said
According to Shettima, President Bola Ahmed Tinubu has undertaken bold reforms that are restructuring the nation’s economy for sustainable growth and creating a competitive business environment that attracts both foreign and domestic investments.
He cited “opportunities that abound in Nigeria, including the digital economy, agriculture, renewable energy, and MSMEs, among many others, pointing out that the nation is now an ambitious one, bound by the limitless potential of the Fourth Industrial Revolution.”
He stated, “Under the leadership of His Excellency, President Bola Ahmed Tinubu, the Nigerian government has introduced bold financial reforms, including the unification of exchange rates and the removal of fuel subsidies. Though challenging, these reforms are necessary steps in restructuring the economy for sustainable growth.
“The government’s ‘Renewed Hope Agenda’ emphasizes creating a competitive business environment that attracts both foreign and domestic investments. In parallel, our financial sector reforms, such as the revised Cashless Policy and Open Banking Framework, have revolutionized banking services, promoting financial inclusion and providing innovative financial products.”
He said that whether in finance, renewable energy, digital innovation, agriculture, or education, the partnership between both countries holds immense promise, urging Swedish investors to seize the opportunities in Nigeria and work towards building a prosperous and sustainable future.
More Insights
Regarding MSMEs, the Vice President described them as the backbone of Nigeria’s economy, accounting for 96% of businesses and over 84% of employment.
“Yet, they face significant challenges, including limited access to capital and markets. Swedish companies and investors can play a crucial role in helping Nigerian MSMEs overcome these barriers, particularly through access to technology and expertise in renewable energy, agriculture, and digital finance,” he added.
The Vice President appreciated the digital economy and its significant contribution to GDP, citing examples of Flutterwave and Paystack, which attracted global attention, “with Nigerian tech start-ups receiving over $1 billion in funding in 2022.”
