Nigeria: Multimillion dollar initiative for creative startups launched

17 Mar 2023 - 12:23

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The African Development Bank (AfDB) and its partners launched this week the Investment in Digital and Creative Enterprises (iDICE) programme, which seeks to offer direct investments to more than 200 technology and creative startups, and non-financial assistance to approximately 450 small and medium-sized businesses working in the digital technology space.

African Development Bank president Akinwumi Adesina.

The initiative could create 6 million job opportunities for young Nigerians, with investments worth $618m. AfDB will provide $170m while the French government will contribute $116m through the French Development Agency. The Islamic Development Bank is expected to provide $70m pending board approval, and the Bank of Industry, the Nigerian government’s executing agency, will contribute $45m in counterpart funding. Other investors are expected to contribute additional funding.

During the launch of the programme in the capital Abuja on Tuesday, Nigerian Vice-President Yemi Osinbajo stressed the importance of a unified approach to innovation across Africa, imploring the government to “provide more support for startups and small businesses, and investors must provide more funding.”

AfDB president Akinwumi Adesina spoke about the importance of investing in digital technology and the creative industries to drive job creation and economic growth in Africa. He said he anticipated that the iDICE model would be replicated in other regional member countries through its Youth Entrepreneurship Investment Bank initiative, which was being developed to establish a financial and non-financial services ecosystem for young African entrepreneurs.

The French ambassador to Nigeria, Emmanuelle Blatmann, also underscored the potential of digital technology and the creative industries to create jobs and stimulate economic growth in Nigeria. Through iDICE, about 175 000 young people, including university students, will get access to technology, develop creative skills and receive assistance in growing new businesses.

iDICE is expected strengthen regulatory policy frameworks and develop an independently managed venture capital fund to provide technical resources in a sustainable way to de-risk digital and creative companies, reinforcing Nigeria as a hub for young entrepreneurs and startup investments. It is also envisioned to mobilise more than $217m in investment capital.

Nigeria