Nigeria Innovation Opportunities

Why should I read this document?

Opportunities and tips for innovation and doing business in Nigeria

• Nigeria is one of the largest economies in Africa with population of more than 180 mln. people. English is the official language of the country, this facilitates interaction with customers, partners and employees.
• The purchasing power is increasing due to a growing middle class. In higher income areas, such as Lagos, the demand of ICT services and luxury goods is relatively high, the retail and real estate sectors exhibit steady development.
• Nigeria has large oil reserves, the economy is highly dependent on export of oil. Among numerous business opportunities in this sector are the sale of petroleum related products, oil servicing business and setting of petrol filling stations.
• Nigeria imports high quantities of food products, therefore the Nigerian government is incentivising farmers and investors to cultivate vast amounts of arable land in the country (around 40% of land is arable). Land acquisition, lower taxation of agricultural machines and equipment for agricultural production is also open to foreign investors. Platforms such as e-farms and Farmcrowdy facilitate access to finance by connecting farmers to investors, offering returns upon harvest.
• Currently, there is a high demand for agriculture-related technologies, storage and transport services. Food sustainability is one of the major issues on the agenda, therefore the country experiences a need for experts in this area.  
• The National Communication Policy led to liberalisation of the Nigerian telecommunications sector in 1990’s and 2000’s and to an active mobile and Internet usage. There is huge potential for expansion of data services, IT infrastructure, mobile payment systems, hardware supplies and e-commerce.
• Nigeria has a relatively young population, as the median age is 18.4 years. As a result, there is a growing demand for consumer technology, particularly for personal electronic devices.
• Due to a relatively low standard of public education, Nigeria has a growing demand for private education services. Consider providing business services in tutoring, training and in supply of ICT equipment for education institutions.   
• A relatively cheap production of cocoa, palm oil and rubber opens various business opportunities in food, cosmetics, pharmaceuticals and plastics sectors. Consider both production and trade, locally and internationally.
• Nigeria is turning towards renewable energy sources – it has recently launched solar power plants and invested billions of dollars in solar projects. The energy sector offers large investment opportunities. In addition, there is a high demand for renewable energy training, due to shortage of expertise and technicians in installing, operating and servicing new technologies.
• Natural attractions, such as the rainforest, savannah and waterfalls, stimulate tourism industry. Since 2015, the numbers of tourists have doubled, offering growing opportunities for the hospitality and leisure sectors, particularly for eco-tourism, tour services, development of heritage, cultural and archaeological sites.
• Nollywood – the second largest film industry in the world . Nigeria has a growing creative industry and offers numerous opportunities for film production, animation and graphic design services.