Nigeria Targets $750m Private Investment in Cloud Infrastructure Under New Digital Policy

The Federal Government has unveiled a National Digital Cloud Policy designed to attract significant private investment into Nigeria’s cloud computing and data centre infrastructure, with an initial target of $250 million in private investment within 12 months.
The target is expected to rise to $750 million within 24 months as the government seeks to establish Nigeria as a competitive regional hub for cloud services, data hosting and digital infrastructure.
The policy was announced by the Minister of Communications, Innovation and Digital Economy, Dr. Bosun Tijani, who said Nigeria’s large domestic market, growing broadband infrastructure, international connectivity and expanding technology talent pool provide a strong foundation for investment in the digital infrastructure sector.
The Federal Government said the policy will create a more predictable and competitive environment for domestic and international investors interested in data centres, cloud infrastructure, connectivity and artificial intelligence computing capacity.
To further stimulate investment, the policy provides for a coordinated package of fiscal, regulatory, commercial and investment-facilitation measures for qualifying cloud and data infrastructure projects.
The measures will include appropriate fiscal treatment for qualifying infrastructure and supporting equipment, regulatory facilitation, interventions addressing energy constraints, support for capital mobility and export earnings, as well as technology-transfer and capability-development obligations for investors benefiting from government incentives.
Dr. Tijani said Nigeria wants both local and international technology providers to invest, build capacity, develop talent and serve the Nigerian market as well as customers across the African continent.
The government also plans to establish a National Digital Marketplace to promote coordinated and transparent procurement of cloud and digital infrastructure services.
Through a whole-of-government aggregation framework, government agencies will collectively procure cloud capacity from registered providers. The approach is expected to create predictable demand for cloud services while helping government secure better commercial terms and reduce duplicated spending.
The policy is also expected to strengthen Nigeria’s position as a regional digital services exporter by supporting cross-border data flows, international standards alignment, regional interconnection and mutual recognition arrangements.
According to the government, cloud infrastructure located in Nigeria could increasingly provide digital services to customers across ECOWAS and the wider African market, opening opportunities for technology companies and investors to earn revenue from digital service exports.
The policy will be implemented through a 24-month roadmap, with the first six months focused on policy activation, investment facilitation and institutional arrangements. The following six months will focus on operationalising the National Digital Marketplace, onboarding providers and commencing priority government migrations.
The government expects the subsequent 12 months to focus on scaling infrastructure, expanding capacity, onboarding participating states and accelerating regional digital service exports.
The Federal Government said the initiative is intended to create an investment ecosystem where infrastructure, government demand, digital skills and investment policies work together to drive long-term growth in Nigeria’s digital economy.