Key Points
- U.S.-based investors account for about 60 per cent of external capital entering Nigeria’s technology ecosystem.
- The U.S. has remained the largest source of external tech investment in Nigeria over the past decade.
- U.S. companies are also supporting technology skills development and business growth in Nigeria.
Main Story
U.S.-based investors account for about 60 per cent of external capital entering Nigeria’s technology ecosystem, the U.S. Consul General in Lagos, Brandon Hudspeth, has said.
Hudspeth made the disclosure on Wednesday at a GITEX Nigeria panel discussion titled, “From Startup to Scale-Up: Building Globally Competitive Businesses through U.S.-Nigeria Partnerships”.
He said U.S.-based investors had remained the largest source of external capital for Nigeria’s technology ecosystem over the past 10 years, with funding coming from major American companies and venture capital firms.
“For the past 10 years, U.S.-based investors have consistently been the largest source of external capital in the Nigerian tech ecosystem.
“U.S. sourced funding accounts today for 60 per cent of all external capital entering the Nigerian tech ecosystem, and it is coming from everywhere,” Hudspeth said.
He listed Visa, Google, Mastercard, Microsoft, Uber and PayPal among major U.S. companies contributing to Nigeria’s technology ecosystem, alongside smaller American venture capital firms.
Hudspeth said the scale of existing investment showed the potential for stronger partnerships between Nigerian entrepreneurs and U.S. companies.
He said deeper collaboration could support job creation, service delivery and economic prosperity in both countries.
“I know that there is a collaboration that will bring prosperity on both sides of the Atlantic, create jobs on both sides of the Atlantic and deliver services on both sides of the Atlantic,” he said.
The Consul General said U.S.-Nigeria partnerships were also helping both the public and private sectors accelerate innovation, scale businesses and develop solutions capable of competing in global markets.
He said American technology companies were supporting the development of Nigeria’s technology talent through skills and capacity-building programmes.
“U.S. companies are working today to help build the Nigerian talent pool. Companies like Google, Cisco, Meta and Microsoft are training hundreds of thousands of people in the tech and AI sectors,” he said.
Hudspeth said the U.S. Consulate in Lagos was working to support technology companies, promote inclusive prosperity, facilitate business partnerships and connect Nigerian entrepreneurs with American counterparts.
He said these efforts were being pursued substantially through the U.S. Commercial Investment Partnership.
“At the Consulate, we are working to support these entities, drive equal prosperity, facilitate deals and bring Nigerian entrepreneurs together,” he said.
Hudspeth urged Nigerian entrepreneurs and U.S. technology companies to deepen their collaboration in developing innovative solutions and creating new opportunities.
He expressed optimism that discussions at GITEX Nigeria would lead to further investment and partnerships between Nigerian startups and American companies.
“I believe that among us today are the developers of the next six unicorns on the continent of Africa,” he said.
The Issues
U.S. investment is playing a significant role in Nigeria’s technology ecosystem, according to the Consul General, with American funding accounting for about 60 per cent of external capital entering the sector.
Beyond funding, the partnership involves skills development, capacity building, business connections and support for Nigerian companies seeking to scale.
What’s Being Said
“For the past 10 years, U.S.-based investors have consistently been the largest source of external capital in the Nigerian tech ecosystem.” – Brandon Hudspeth, U.S. Consul General in Lagos
“U.S. sourced funding accounts today for 60 per cent of all external capital entering the Nigerian tech ecosystem, and it is coming from everywhere.” – Brandon Hudspeth, U.S. Consul General in Lagos
What’s Next
Hudspeth said the U.S. Consulate would continue working to facilitate business partnerships and connect Nigerian entrepreneurs with U.S. companies.
The discussions at GITEX Nigeria are expected to expose further opportunities for collaboration and investment between Nigerian startups and American technology companies.
Bottom Line
U.S.-based investors account for about 60 per cent of external capital entering Nigeria’s technology ecosystem, according to the U.S. Consul General, highlighting the scale of American participation in the country’s technology sector.
