Nigeria Risks Missing AI Potential Without Infrastructure, Policy Fixes, Warn Experts

As AI adoption accelerates across Nigeria’s agriculture, industrial, and service sectors, experts warn that weak infrastructure, high costs, and unclear governance could undermine its long-term impact.

The concerns were raised at the Abuja launch of the 2025 Artificial Intelligence Report by the Centre for the Study of the Economies of Africa (CSEA), titled AI Adoption and Data Governance in Nigeria: Business Perspectives, Benefits, and Risks in the Digital Era.

Despite market projections of $434.4 million by 2026, the report notes that gaps in broadband access, implementation funding, and ethical oversight continue to slow progress.

Government interventions such as the National AI Research Scheme, the National Centre for Artificial Intelligence and Robotics, and the 3 Million Technical Talent (3MTT) program have helped grow a local ecosystem of AI startups. But Senior System Analyst Emmanuel Udoidoik warned these gains remain fragile due to vandalism, low community engagement, and underutilized data centers.

Dr. Olusola Ayoola, founder of Robotics and Artificial Intelligence Nigeria (RAIN), praised recent reforms like the Nigeria Startup Act, which have improved coordination in the sector. He noted growing grassroots interest in AI skills, fueled by access to fiber internet and cloud-based learning tools.

Yet ethical and regulatory concerns persist. CSEA Research Director Dr. Adedeji Adeniran highlighted the risks of algorithmic bias, data breaches, and legal uncertainty in automated systems. He argued that trust and inclusive governance are essential for sustainable AI integration.

“AI governance is not the same as data governance,” said Adeniran. “It needs its own inclusive, adaptable framework.”

CSEA Executive Director Dr. Chukwuka Onyekwena urged stakeholders to view AI as a public good. “Without sound policies, ethical safeguards, and a people-centered approach, we risk deepening inequality,” he said.

To address cost barriers, Research Associate Anthony Okon recommended tax relief, innovation grants, and cost-sharing models among firms. He also called for more broadband investment and pilot programs to demonstrate ROI and encourage adoption.