Nigeria is at a critical juncture in its digital evolution. Policies are being refined, infrastructure is expanding, and a wealth of talent is available. The crucial question is whether this progress will be confined to the federal level or if the entire federation will embrace its role. Genuine progress requires a shift where every state actively contributes as a driver of innovation, not just a passive observer.
The Federal Government, primarily through the National Information Technology Development Agency (NITDA), has made significant strides in positioning technology as a catalyst for economic growth. However, a critical question remains: can Nigeria achieve sustainable innovation if the responsibility for its development is heavily concentrated at the federal level? This concentration risks slowing down the very transformation it aims to foster, primarily due to a lack of widespread participation, especially from state governments.
For a considerable period, Nigeria's technology sector has seen a disproportionate emphasis on federal bodies. Initiatives like the Digital Start-Up Act, Idea Hatch, 3MTT, D4LL, and the National Digital Leadership Programme demonstrate NITDA's proactive policy direction. These programmes aim to bolster innovation, cultivate talent, and connect emerging businesses with opportunities. Nonetheless, they also perpetuate a trend where startups increasingly look to the federal government for guidance, funding, and endorsement, rather than focusing on market opportunities or local ecosystem development.
This dynamic raises a significant concern: when innovation becomes overly dependent on central policy structures, it can become policy-driven instead of market-driven. Startups might begin to prioritise securing grants over achieving genuine growth, and programme eligibility over product-market fit. This can cultivate a culture of reliance, where the state is perceived not only as an enabler but as the primary source of innovation.
This is precisely where the role of the states becomes paramount.
Nigeria is a nation of diverse economic conditions, varying infrastructure levels, and distinct talent pools across its states. A uniform approach to digital development, however well-intentioned, cannot adequately address these unique local contexts. States are better positioned to understand and address local challenges in sectors such as agriculture, education, healthcare, and small business development. They are also more closely connected to the communities that stand to benefit most from technological advancements.
The anecdotal evidence of a rural farmer benefiting from digital tools underscores how small, targeted interventions can enhance productivity and drive economic growth. Such initiatives are most effective when developed and implemented within specific local environments. The challenges faced by a farmer in Kebbi State, for example, will differ from those of a farmer in Ogun or Enugu State. Consequently, the pathways to digital inclusion must be shaped at a more localised level.
Furthermore, the need for coordination, rather than duplication of efforts, is vital. While federal initiatives can provide essential frameworks and resources, states should adapt these to their specific realities. They can experiment with models that leverage their unique strengths. A state with a robust agricultural sector might concentrate on agri-tech solutions, while a state with a large urban population could focus on fintech or digital service delivery.
Delegating this responsibility predominantly to federal agencies creates an inevitable bottleneck. This limits experimentation, hampers responsiveness, and reduces the variety of solutions emerging from the ecosystem. More critically, it sidelines state governments that should be integral to shaping Nigeria's digital future.
While progress is evident, it remains inconsistent. Some states are actively investing in tech hubs, digital training, and innovation centres, but many others have yet to formulate a clear digital strategy. This disparity risks exacerbating existing inequalities, with a few urban centres continuing to dominate the tech landscape while other regions fall behind.
The expansion of infrastructure, as noted by the Minister of Communication and Digital Economy, Bosun Tijani, including fibre networks, telecom towers, and satellite capabilities, lays a crucial groundwork. However, infrastructure alone does not guarantee success. Its true value is realised through effective utilisation, which is often driven at the local level. Therefore, states must transition from being mere recipients of federal projects to becoming proactive architects of digital adoption.
This transition necessitates a deliberate change in perspective. State governments must view technology not solely as a federal mandate but as a fundamental component of their own economic development strategies. This involves investing in digital skills, supporting local startups, implementing supportive policies, and integrating technology into public administration and service delivery. It also entails fostering partnerships with private sector entities, academic institutions, and civil society organisations within their respective domains.
Equally important is the need for coordination rather than duplication. Federal initiatives can provide frameworks and resources, but states should adapt them to local realities, experimenting with models that reflect their unique strengths. A state with a strong agricultural base, for instance, might prioritise agri-tech solutions, while another with a growing urban population might focus on fintech or digital services.
The broader implication is clear: Nigeria’s digital transformation cannot be sustained by the efforts of NITDA alone. It must be a distributed, inclusive, and locally-rooted process. When states actively participate, they not only broaden the reach of innovation but also establish multiple centres of growth, thereby alleviating pressure on a singular national system.
For startups, this decentralised approach could yield significant benefits. A more distributed ecosystem would offer access to diverse funding streams, varied markets, and context-specific support mechanisms. It would foster competition, build resilience, and reduce over-reliance on federal programmes. In such an environment, startups are more likely to develop solutions that are not only innovative but also relevant and scalable.
Therefore, the emphasis on collaboration, as articulated by NITDA's leadership, is both appropriate and requires expansion. Collaboration must encompass not only federal agencies and startups but also state governments as equal partners. Without this broadened scope, the ecosystem risks becoming concentrated rather than distributed, and dependent rather than dynamic.
Nigeria stands at a pivotal moment in its digital journey. The policies are evolving, the infrastructure is expanding, and the talent is abundant. What remains is to ensure that this momentum is not confined to the centre. True transformation will come when every state sees itself not as a spectator, but as a driver of innovation.
Ultimately, the pertinent question is not whether the Federal Government is fulfilling its obligations, but whether the rest of the federation is actively contributing its share.
Shuaib S. Agaka is a tech journalist and digital policy analyst based in Kano.

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