Nigeria unveils national cloud policy, targets $750 million investment

Nigeria's Federal Government has officially launched its National Digital Cloud Policy, a strategic initiative designed to attract a substantial $750 million in private investment into the nation's cloud and data infrastructure over the next 24 months. Unveiled by the Ministry of Communications, Innovation, and Digital Economy, the policy seeks to significantly expand local cloud and data center capacity, foster job creation, enhance indigenous digital capabilities, and establish Nigeria as a premier regional hub for digital services and hosting.

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Nigeria must move from being primarily a consumer of global cloud infrastructure to becoming a competitive location for the infrastructure, investment, skills and digital services that will define the next phase of the global digital economy.

The policy outlines an ambitious investment roadmap, targeting $250 million in private investment within the first year, with the goal escalating to $750 million by the end of the second year. Its framework is structured around key pillars: investment and market development, the export of regional digital services, the modernization of government cloud infrastructure, and the assurance of digital sovereignty and security, all while maintaining an open and competitive multi-provider cloud market.

Minister of Communications, Innovation, and Digital Economy, Dr. Bosun Tijani, emphasized Nigeria's transition from a consumer to a competitive provider of global cloud infrastructure. "Nigeria must move from being primarily a consumer of global cloud infrastructure to becoming a competitive location for the infrastructure, investment, skills and digital services that will define the next phase of the global digital economy," he stated. He highlighted the policy's open and investment-oriented approach, encouraging both Nigerian and international providers to invest, build capacity, and serve not only the domestic market but also the broader African continent.

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Our approach is deliberately open and investment-oriented. We want Nigerian and international providers to invest, build capacity, develop talent and serve both the Nigerian market and the wider African continent from Nigeria. At the same time, Government has a responsibility to ensure that its most sensitive digital assets are governed and secured in a manner consistent with our national interests.

The policy carefully balances the promotion of investment and competition with the strengthening of indigenous capabilities and the modernization of government services. Crucially, it clarifies that general data localization requirements will not be imposed on commercial data. Instead, sovereignty requirements will be applied selectively to specific categories of government and regulated data where national control is deemed essential. To stimulate investment, the government plans to aggregate cloud demand, offer shared government cloud services to reduce redundant spending, secure better commercial terms, and establish a predictable demand for private sector investment. The National Information Technology Development Agency (NITDA) will oversee regulatory aspects, while Galaxy Backbone (GBB) will lead operational delivery.

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The National Digital Cloud Policy therefore provides a balanced framework, one that promotes investment and competition, strengthens indigenous capability, modernises Government and applies sovereignty requirements only where they are genuinely necessary.