Nigeria’s most populous city secured $9 billion in technology investments between 2019 and 2024; as announced by Governor Babajide Sanwo-Olu, on Wednesday indicating a significant inflow of investment into the state’s technology ecosystem.
Sanwo-Olu highlighted that Lagos accounted for more than “70% of Nigeria’s total tech investment inflows during this five-year period”, cementing its status as the country’s technology capital.
The governor also noted that a significant number of Africa’s “unicorns” (startups valued at over $1 billion) trace their roots to Lagos.
According to Sanwo-Olu, the city’s diverse and multi-cultural population is seen as a key driver of innovation and creativity, fueling a vibrant startup ecosystem. Lagos is a city with more than 16 million residents and the third largest city in Africa, only behind Kinshasa and Cairo.
The Lagos State government has invested in digital infrastructure, including hyperscale data centers, submarine cables, and expanded fiber optic networks and has provided direct support to startups through various initiatives, including the Lagos State Science Research and Innovation Council (LASRIC).
Through LASRIC, grants ranging from ₦50 million to ₦80 million are provided to promising startups. The state has also empowered over 350 young tech entrepreneurs through the “Lagos Innovates Voucher Program,” which offers access to essential resources like electricity and internet services at partner hubs.
However, while Lagos has shown significant growth, the broader African tech landscape has experienced some fluctuations. According to a Partech report, funding for African startups saw a slight decrease in deal counts but remained relatively stable in terms of total investment in 2024 compared to 2023, largely due to a few high-value “megadeals.” These reports indicate that investor confidence is returning, with a particular interest in high-quality startups. #####
