Dr Akume Demands Digital Infrastructure Investment as Service Delivery Lags

June 21, 2026 5 min read

Nigeria's Secretary Dr George Akume has called for urgent investment in digital infrastructure, warning that the country's economic competitiveness depends on modernising its technological foundations. Speaking at a policy briefing reported by Vanguard News, Akume outlined how digital systems could transform both economic growth and public service delivery across Africa's largest economy.

The intervention comes as Nigerian businesses face mounting pressure from outdated administrative systems and inadequate broadband connectivity. Government ministries have struggled to process transactions efficiently, creating bottlenecks that slow commerce and deter foreign investment.

The Economic Case for Digital Modernisation

Akume argued that digital infrastructure represents the most immediate opportunity to accelerate Nigeria's economic growth trajectory. Without reliable digital platforms, businesses incur higher operational costs and the government cannot collect revenue efficiently. The Federation's top administrator emphasised that competing economies in Southeast Asia had surged ahead by prioritising similar investments in the 2010s.

Economists have long pointed to Nigeria's infrastructure deficit as a binding constraint on productivity. The World Bank estimates that infrastructure gaps cost the Nigerian economy roughly 2-3 percent of annual GDP growth. Digital systems could help bridge that gap by streamlining permitting processes, reducing corruption opportunities, and enabling better data collection for policy planning.

For South African businesses watching regional economic trends, Nigeria's direction matters. The continent's two largest economies often set patterns that smaller markets follow. If Abuja successfully deploys digital platforms for business registration, tax filing, and trade facilitation, neighbouring countries will face pressure to match those standards.

Service Delivery at the Heart of the Agenda

Beyond macroeconomics, Akume focused sharply on how digital tools could improve citizens' daily interactions with government. Long queues at licensing offices, opaque permit processes, and corrupt intermediaries have plagued Nigerian public services for decades. Digital systems offer a potential remedy by creating transparent, traceable transaction records.

The Federation has identified several priority areas for digitisation, including business registration, land title transfers, and customs processing at Nigerian ports. Each of these bottlenecks currently costs the private sector significant time and money. A fully digital business registration system in Lagos alone could save companies weeks of administrative work.

Private sector groups have welcomed the focus but cautioned that implementation remains the critical challenge. Nigeria has announced digital government initiatives before with limited results. The difference this time, officials argue, lies in political commitment at the highest levels of the Federation.

Funding the Transformation

One of the key questions hanging over the initiative involves financing. Modernising digital infrastructure across Nigeria's 36 states and Federal Capital Territory requires substantial capital. Akume indicated that public-private partnerships would play a central role, with the government seeking technology firms willing to invest in exchange for long-term contracts.

International development partners have also expressed interest. The African Development Bank has previously linked infrastructure lending to digital modernisation goals. Nigerian officials are in discussions with multiple multilateral lenders about financing packages that would support cloud computing facilities, fibre optic networks, and mobile broadband expansion.

For investors, the appetite for Nigerian digital infrastructure projects carries both opportunity and risk. Returns depend heavily on execution quality and government reliability. Companies that win contracts could establish dominant positions in a large market, but project delays and payment disputes have historically plagued government technology initiatives in the region.

Lessons from Regional Competitors

Akume pointed explicitly to Kenya's success with mobile money as a model Nigeria could adapt. Kenya's M-Pesa platform demonstrated how digital financial infrastructure could drive financial inclusion while creating entirely new economic activity. Nigerian policymakers hope to replicate that dynamic by combining digital government services with broader financial technology expansion.

Rwanda has also emerged as a benchmark for digital governance on the continent. Kigali's paperless visa and business registration systems have attracted favourable international attention. Nigerian officials have visited Rwanda to study implementation approaches and are now adapting those frameworks for Nigeria's larger and more complex federal structure.

The comparison matters for South African observers because Rwanda and Kenya have attracted growing shares of foreign direct investment in digital services precisely because their regulatory environments proved more predictable. If Nigeria successfully streamlines its systems, the competitive landscape for technology investment across Africa could shift significantly.

Implementation Timeline and Next Steps

The Federation has outlined a phased approach beginning with pilot programmes in Abuja and Lagos. If those initial projects demonstrate viable models, state governments would receive funding and technical assistance to replicate them locally. Full national coverage could take three to five years under optimistic scenarios.

Critics argue the timeline remains too slow given the economic urgency. Nigeria's youth population continues to expand rapidly, creating pressure for job creation that digital economies could partially address. Without adequate digital skills and infrastructure, however, Nigeria risks missing the window for capturing technology-related employment that other regions are actively competing to attract.

The National Information Technology Development Agency is expected to release detailed technical specifications for the initiative within the coming months. Private technology firms will then be invited to submit proposals for pilot projects, with contracts likely to be awarded before the end of the fiscal year.

Markets and investors should watch for the specific terms of those procurement contracts. The governance structure, payment mechanisms, and localisation requirements attached to digital infrastructure deals will signal how serious the Federation's commitment truly is. A transparent, competitive process would boost confidence; opaque arrangements would raise concerns about political patronage replacing commercial merit.