Nigeria: Is Nigeria Ready for Artificial Intelligence (Ai)?

9 October 2024
analysis

Artificial Intelligence (AI) is taking the world by storm. Ready or not, nations, businesses and individuals will have to contend with the changes that AI will bring in their daily lives.

Nigeria as a country may not be ready for AI at the global level, but slowly building the systems and structures to help us get there by showing promising steps towards its adoption. Whether the country is fully ready for widespread AI integration depends on several key factors including infrastructure, talent, policy, and investment.

Internet penetration has improved significantly over the past decade, driven by mobile broadband, with millions of Nigerians connected to the internet. However, internet access is still uneven, particularly in rural areas, where infrastructure remains limited. A more significant challenge is the inconsistent power supply across the country.

AI systems, like other tech innovations, require stable and affordable electricity, the absence of which could hinder the development and deployment of AI solutions, particularly at scale. Also, Nigeria has some growing cloud and data centre services, but not to the extent of more developed countries. These are essential for supporting AI workloads that rely heavily on data processing and storage.

Current Situation

No doubt there is a burgeoning tech community in Nigeria, and organizations like Data Science Nigeria (DSN), Nigerian Centre for Artificial Intelligence and Robotics (NCAIR) and AI Saturdays are fostering AI skills through training and workshops. However, there is still a gap in the availability of highly skilled AI engineers and data scientists.

Much of Nigeria's tech talent focuses on web development, mobile apps, and general IT, with AI-specific expertise still developing. Universities are beginning to introduce AI-related programs, but many of these are still in the early stages. There are collaborations between foreign institutions and Nigerian universities aimed at closing the AI skills gap, but the scaling up of these programs remains crucial.

The Nigeria Data Protection Regulation (NDPR), which is a step towards safeguarding data, and a critical factor for AI development needs more stringent enforcement, especially when it comes to how companies collect and handle personal data. There is a vibrant startup ecosystem, particularly in fintech, agritech, and e-commerce, with some companies experimenting with AI.

Fintech companies, for example, use AI for credit scoring, customer service, risk assessment and fraud detection. Investments in AI-focused startups are growing, but compared to other regions, AI-specific ventures are still in their infancy. An example of such investments is Future Africa and Itana, Africa's first digital economic zone including interests from tech giants like Google, Meta, and Microsoft.

AI is making strides in healthcare, with some applications in diagnostics, particularly in areas like radiology and telemedicine, but these are often pilot projects rather than large-scale implementations. AI-powered applications that help farmers make better decisions through weather data and crop monitoring have started to appear, particularly through mobile platforms. AI is not yet widely adopted in public administration, though there is interest in using AI to improve governance and service delivery.

Moving in the Digital Direction

Policy wise, Nigeria has made good strides recently in digital policy, with the National Digital Economy Policy and Strategy (2020-2030). Earlier in the year, the Ministry of Communication, Innovation and Digital Economy, under the leadership of Dr Bosun Tijani hosted many experts in AI and technology to a strategy development workshop, the emerging strategy is currently receiving public review.

On October 7 in Abuja, the Ministry with the support of Luminate, Ford Foundation and MacArthur Foundation launched the Nigeria AI Collective. The Collective is a significant milestone in Nigeria's journey towards becoming a leader in AI on the African continent and brought together key stakeholders to help lay the foundation for a vibrant AI ecosystem.

Nigeria stands at a critical juncture in its technological journey, where the integration of artificial intelligence (AI) into various sectors can significantly transform the nation's socio-economic landscape. The Nigeria AI Collective emerges as a pivotal initiative aimed at ensuring that AI development in Nigeria is inclusive, ethical, and aligned with the country's unique needs. This initiative is an example of a multistakeholder approach to building a vibrant ecosystem.

The AI Collective, funded by Luminate in partnership with Ford Foundation and MacArthur Foundation, provides an example of collaborative efforts needed to ensure technologies are designed with the right guardrails in place. This would include government, private foundations, Nigerian philanthropists, civil society, private sector, and thought leaders.

The Collective, therefore, will create a platform where government, industry, academia, and civil society can collaborate to harness the full potential of AI. By focusing on policies, research, and innovations that are not only technologically advanced but also socially responsible, the Collective aims to position Nigeria as a leader in AI in Africa, ensuring that the benefits of AI reach all segments of society, particularly marginalized and minority groups.

The AI Collective consists of Data Science Nigeria, Centre for Journalism Innovation and Development, Lagos Business School and Pan-Atlantic University coordinating with the National Centre for Artificial Intelligence and Robotics.

Challenges and Opportunities

Nigeria is at a critical juncture when it comes to readiness for artificial intelligence (AI). Several factors suggest that the country has potential, but significant challenges remain.

The disparity in digital literacy and access to technology between urban and rural areas is a key barrier to broad AI adoption. AI thrives on vast amounts of data, but access to structured and quality data in Nigeria is still limited. There are also issues such as job displacement, data privacy, and bias in AI systems are important conversations that have only just begun in the Nigerian context.

The growing tech sector, especially in cities like Lagos, Abuja, and Port Harcourt, has been rapidly expanding and is home to several tech hubs, such as Yaba's "Silicon Lagoon." Startups in fintech, edtech, and healthtech are exploring AI for solutions tailored to local issues. Companies like Paystack and Flutterwave are examples of how innovation can thrive in Nigeria. AI could bolster industries like financial inclusion, healthcare, and agriculture.

Nigeria has a young, tech-savvy population and a large workforce that can be trained to work in AI and related fields. The country's youth are adopting digital technologies at a rapid pace, providing a robust foundation for AI development and use.

AI requires reliable internet access and computing power, both of which are not yet uniformly available across Nigeria. While major urban areas have improving connectivity, rural areas face significant digital divides. Power supply remains inconsistent, which can hinder AI research, data centres, and tech businesses.

Nigeria faces a shortage of skilled professionals in AI and data science. Though there is growing interest, building local expertise will take time and investment. Much of the talent is focused on general software development rather than AI-specific roles. Brain drain is also an issue, as many skilled workers seek opportunities abroad due to better infrastructure and compensation.

AI thrives on high-quality, well-organized data. Nigeria, however, struggles with fragmented and often outdated data. Industries such as agriculture, healthcare, and government services could benefit greatly from AI, but they currently lack sufficient data infrastructure. Policies around data privacy and data governance are still evolving, and they need to be strengthened to support responsible AI use.

Nigeria has the potential to become a key player in AI, especially within Africa, but it faces significant hurdles in infrastructure, skills development, and data readiness. With the right investments in education, regulation, and technology, the country could unlock AI's transformative potential across sectors like agriculture, education, healthcare, and fintech.

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