FG Secures $119m Investment For Tech Hubs, MSMEs

The federal government has secured approximately $119 million in investments aimed at developing tech hubs and supporting micro, small, and medium enterprises (MSMEs).

This major development was recently disclosed by Mr. Stanley Nkwocha, Senior Special Assistant to the President on Media and Communications.

This investment is the outcome of Vice President Kashim Shettima’s recent engagement with global investors, particularly Swedish firms, during a business meeting in Stockholm. Vice President Shettima emphasized the promising investment opportunities in Nigeria, underscoring the country’s vast potential for serious investors.

One of the leading contributors to this investment is Gluwa, a digital wallet service. Mr. Akinola Jones, Gluwa’s Director, announced the company’s commitment to training over 30,000 Nigerians in digital skills as part of President Bola Tinubu’s ‘Renewed Hope Agenda.’

“We have a big vision for Nigeria, and I think our vision is banking the unbanked and connecting the unconnected,” he remarked.

Gluwa is investing $100 million across Nigeria and plans to launch a satellite for direct WiFi connectivity by December, which will significantly enhance the country’s technology ecosystem.

Additionally, Ericsson Nigeria is pledging $19 million to establish a technology hub in the country. Mr. Peter Olusoji Ogundele, Managing Director (MD) of Ericsson Nigeria, expressed optimism about the local talent pool, noting, “Nigeria has enough youths who can come into that field. We can train them; Ericsson will also take part in it.”

Swedish Vice President Edgar Luczak highlighted the potential of the Nigeria-Sweden collaboration, predicting strengthened economic ties and job creation. He mentioned plans to launch an accelerated tech program similar to successful global partnerships with companies like Google and Microsoft, adapted to Nigeria’s unique growth trajectory.

Vice President Shettima reaffirmed President Tinubu’s bold economic reforms aimed at fostering a competitive business environment to attract foreign and domestic investments. He highlighted opportunities within Nigeria, particularly in the digital economy, agriculture, renewable energy, and MSMEs, noting, “The government’s ‘Renewed Hope Agenda’ emphasizes creating a competitive business environment.”

Vice President Shettima described MSMEs as the backbone of Nigeria’s economy, accounting for 96 percent of businesses and over 84 percent of employment. However, he acknowledged their challenges, particularly limited access to capital and markets. He encouraged Swedish investors to support Nigerian MSMEs by providing access to technology and expertise in key sectors.

He also highlighted the growth of Nigeria’s digital economy, pointing to the success of tech start-ups like Flutterwave and Paystack, which collectively attracted over $1 billion in funding in 2022.

Vice President Shettima expressed confidence in the future of Nigerian-Swedish partnerships, urging investors to seize the nation’s economic opportunities.

This influx of investment is expected to further fuel Nigeria’s ambitions of becoming a regional tech hub, empowering MSMEs and driving sustainable economic growth.