Lagos — The Federal Government yesterday announced plans to seed N500m as part of the $15 million Technology Venture Capital Fund required to build a local software economy through software incubation centres in Nigeria.

Minister of Communications Technology Mrs. Omobola Johnson said at a stakeholders meet on software incubation in Lagos that the N500m would be seeded through the Nigeria Information Technology Development Fund. She said the government-seeded fund is expected to attract the remaining $12m from participating investors.

The minister also said, Lagos and Cross River states had been chosen as locations for innovation centres as part of the ministry's projects to build a knowledge-based economy.

Johnson said the e-learning centre would host the software incubation centre in Lagos while Tinapa Knowledge City would house the Cross River State centre.

She stated that the project would be 'government-inspired' or 'government- catalysed' but would eventually be run by a non-profit organisation.

The minister said the software incubation programme would initially be government-funded with the aim of attracting more investors in the long run.

Johnson said Lagos and Calabar would serve as pilots, adding that the Lagos Innovation centre would be ready by next month.

She said, "We have chosen two different locations for test pilots. We will deliver Lagos by year end or early next year. Calabar will be delivered by end of the first quarter of 2013."