Ericsson Commits $19m to Nigeria's Tech Development

Nigeria Secures $19m Ericsson Deal

“We can train them, Ericsson will also take part in it and some of them can...”

Nigeria Attracts Swedish Investment: VP Shettima Seeks Partnerships for Renewed Hope Agenda - Nigeria's economic reforms spark interest from Swedish investors, with Swedfund expanding broadband access and exploring new partnerships.

Ericsson Nigeria is set to develop a $19 million technology hub in Nigeria, announced by Peter Ogundele, the managing director, at the Nigeria-Sweden business forum in Sweden on October 18. This forum focuses on trade, investment, digital economy, agriculture, and renewable energy, showcasing the company's commitment to Nigeria's growth.

With roots dating back to Nigeria's independence and official registration in 1978, Ericsson has a long history in the country. Ogundele highlighted the company's 25-year collaboration with the Nigerian Communications Commission (NCC) and other organizations on capacity building, demonstrating its dedication to Nigeria's development.

This significant investment will likely bolster Nigeria's digital landscape, creating opportunities for innovation and economic growth. The technology hub will join Ericsson's existing initiatives, such as the Automation Hub launched in 2021, aimed at enhancing consumer experience through network automation.

Highlights:

$19 million Technology Hub: Ericsson Nigeria's new investment in the country

25-year Collaboration: With the Nigerian Communications Commission (NCC) and other organizations on capacity building

Automation Hub: Launched in 2021 to improve consumer experience through network automation.

“We can train them, Ericsson will also take part in it and some of them can be exported into the world,” Ogundele said.

Gluwa, a digital wallet service, is set to make a significant impact in Nigeria's tech landscape. Akinola Jones, the company's director, has announced plans to train over 30,000 individuals as part of President Bola Tinubu's “Renewed Hope Agenda.” This initiative is poised to enhance the country's digital economy and promote financial inclusion.

The training program has already begun in Jigawa State, with 1,000 participants benefiting from the initiative. Jones revealed that the company intends to expand this program across northern Nigeria, providing opportunities for many more individuals to develop valuable skills.

Come December 2024, Gluwa's satellite launch will enable Nigerians to connect directly to the service, marking a major milestone in the country's tech advancement. This development will likely boost Nigeria's digital payments ecosystem, which has seen significant growth in recent years, with digital wallets becoming increasingly popular. As the world moves towards a more digital and cashless society, Gluwa's efforts are timely and welcome.

Additional Highlights:

Training Program: Over 30,000 individuals to be trained as part of President Bola Tinubu's “Renewed Hope Agenda.”

Satellite Launch: Gluwa's satellite to launch in December 2024, enabling direct connectivity

Expansion Plans: Training program to be expanded across northern Nigeria, following successful pilot in Jigawa State

He said, “we have given about 100 million dollars in loans.

“It's not just about disbursing loans or growing portfolios, it's really about giving back.

“We are aiming for a lot of impact and are working with the government and presidency to train people on digital skills.

“And when it comes to funding, we've been very innovative.

“It's not always about foreign funds but local solutions to local problems matter.”

Vice-President Kashim Shettima is currently in Sweden for a two-day working visit, where he's representing President Tinubu in crucial discussions on bilateral cooperation. During a recent forum, Shettima reassured Swedish investors that Nigeria is fully committed to fostering a conducive business environment, particularly in the shift towards a green economy. He emphasized that the world's economic focus is increasingly shifting to Africa, and Nigeria is poised to play a vital role in this transition.

Shettima's visit is packed with high-level bilateral discussions with top Swedish officials, including a meeting with Crown Princess Victoria of Sweden and the Swedish Prime Minister. This trip underscores Nigeria's determination to strengthen ties with Sweden and tap into opportunities for growth and cooperation.

Nigeria has been making strides in its commitment to a green economy, having signed the Paris Agreement in 2017 and launching the African Carbon Markets Initiative (ACMI) at COP27 in 2022. The country aims to reduce greenhouse gas emissions by 20% by 2030 and achieve net-zero emissions by 2060. With initiatives like the Presidential Conditional Grant Scheme (PCGS), Nigeria is empowering small businesses and promoting sustainable development.

The Vice president said, “Nigeria, a country of 220 million people, will surpass the United States by 2050 to become the third most populous nation on earth.

“By the end of the century, Nigeria will be the most populous nation.

“Population offers opportunities.

“People celebrate China for its population and ingenuity.

“The Nigerian digital ecosystem is eager for support and investment.

“Nigeria beckons, a new Nigeria is calling on you and we are ready for business.”

Vice-President Kashim Shettima is optimistic about Nigeria's future, particularly with the country's youth. He emphasized this during a recent forum, where he encouraged investors to “seize the moment” and take advantage of the opportunities Nigeria presents. As he put it, “With the Renewed Hope Agenda of President Bola Tinubu, this is the best time to invest in Nigeria.” This renewed hope agenda is expected to boost Nigeria's economy and create a favorable business environment.

Hakan Danhltor, Director of Project Acceleration at Swedfund, also expressed his organization's commitment to Nigeria. He revealed that Nigeria ranks third in terms of exposure within Swedfund's portfolio, demonstrating the organization's significant investment in the country. Danhltor reiterated Swedfund's dedication to alleviating poverty and fostering sustainable development through investments in the private sector. This partnership is crucial for Nigeria's growth, especially considering the country's goals to achieve net-zero emissions by 2060 and reduce greenhouse gas emissions by 20% by 2030.

Dahnitor said, “as a matter of facts, Nigeria is a country where we have the third highest exposure in our recurrent portfolio.

“We have more than 30 direct to indirect investment in Nigeria in different sector but a lot of them are in the energy sector, helping to use clean energy from the renewable energy.”

Mikaela Edstrom of the Swedish Export Credit Agency (ECA) has praised Nigeria's economic reforms, calling them a promising move for the nation's future. The agency is keeping a close eye on developments in Nigeria, recognizing the potential for growth and investment.

Edstrom also highlighted Swedfund's collaboration with the Nigerian Communications Commission (NCC) to expand broadband access in Nigeria. This partnership aims to improve digital connectivity and drive economic progress. She expressed enthusiasm for continuing discussions and exploring new partnership opportunities, demonstrating Swedfund's interest in supporting Nigeria's development.

Nigeria's economic reforms, which began in 2023, have been gaining momentum in 2024. The country has implemented far-reaching macro-fiscal reforms, including unifying exchange rates and phasing out gasoline subsidies. These efforts have improved foreign exchange supply and transparency, benefiting businesses and consumers. However, implementing reforms has come with short-term costs, such as increased inflation, affecting households.

To mitigate these effects, the government has introduced cash transfer programs, supported by the World Bank, to provide relief to 15 million households. The World Bank has also approved a $2.25 billion financing package to support Nigeria's reform efforts and scale up support for the poor and vulnerable.