By Samuel Ajayi | Artificial Intelligence (AI) has emerged as a pivotal force that is shaping and transforming lives, industries and economies around the world. AI has come a long way from the early days of the conceptual and visionary work of Alan Turing, who laid the groundwork for the field with his pioneering ideas.
With the widespread and growing deployment of AI-powered applications like Siri, Alexa, and ChatGPT, it is virtually a new era. By 2030, according to PWC, AI will contribute $15 trillion to the global economy.
As the world positions for and contemplates the full ramification of this epoch, it is imperative to assess and improve Nigeria's preparedness for the AI era.
Without a doubt, AI presents Nigeria's economy and society with both opportunities and challenges. On the one hand, AI holds the promise of driving economic growth, enhancing efficiency, and improving access to essential services. It can foster innovation, create new job opportunities, and contribute to sustainable development. AI-powered solutions can optimise processes in sectors such as agriculture, healthcare, education, and finance, leading to increased productivity and better outcomes. However, there are also potential challenges that need to be addressed. The integration of AI raises concerns about job displacement, ethical implications, fake news and disinformation, and the potential widening of the digital divide.
Nigeria's AI readiness on two key indexes indicate that the country needs to step up its game. According to Oxford Insight’s AI Readiness Index, Nigeria ranked 103 out of 172 countries in 2023. Nigeria ranked lower than other African countries, including Benin (97), Kenya (101), Rwanda (84), Senegal (91) and South Africa (77). Mauritius (61), the highest-ranked African country, has made significant strides due to its proactive government policies and early recognition of the importance of AI. Mauritius had an AI strategy as far back as 2018.
The Network Readiness Index, which evaluates a country's preparedness for digital transformation, ranks Nigeria 106th out of 136 countries. The index also ranked Nigeria as 14th in Africa. This highlights the substantial effort required for Nigeria to leverage AI effectively. Key weaknesses identified include governance and regulatory quality, with Nigeria ranking 114th in governance and 123rd in regulatory quality.
Infrastructure challenges continue to hinder the adoption of AI in Nigeria. As of March 2024, only 43% of Nigerians have access to the internet, down from 48% in April 2023. This decline in internet penetration is attributed to various factors, including the high cost of internet services, limited access to reliable internet infrastructure in rural areas, and the lack of digital literacy among certain segments of the population.
Despite these challenges, Nigeria’s information and communications technology sector has shown remarkable growth in recent years. The ICT sector contributed 16% to the country's real Gross Domestic Product (GDP) in the last quarter of 2023. This growth is largely driven by the telecoms sector which contributed 14% to GDP growth. There is a significant opportunity here. However, limited internet penetration remains a barrier to the widespread adoption of AI in the country as many AI-applications require high-speed internet connections to function effectively.
With further investment in infrastructure and enhanced promotion of digital literacy Nigeria can overcome the challenges that hinder AI adoption and unlock the full potential of AI to drive economic growth and improve the lives of its citizens.
The Nigerian government has expressed interest in developing a national AI strategy. Discussions on this started under the President Muhammadu Buhari administration and have continued under the President Bola Tinubu Administration. The AI strategy development effort is coordinated by National Information Technology Development Agency (NITDA) and National Centre for Artificial Intelligence and Robotics (NCAIR). The Minister of Innovation and Digital Economy, Mr. Bosun Tijani, convened a stakeholders’ workshop on national AI strategy in April this year. However, this strategy remains in development.
Nigeria's talent pool is a significant advantage. The country ranks 18th in scientific publications according to the Network Readiness Index. This indicates a robust foundation of expertise that can be leveraged with a comprehensive national AI policy. Additionally, local technology infrastructure, including internet penetration and data access, will be crucial for maximizing AI's economic benefits.
While Nigeria faces some challenges in AI readiness, it is also presented with some significant opportunities. A report sponsored by Google estimates that AI can generate $136 billion for Nigeria, Kenya, Ghana, and South Africa by 2030. According to the report, Nigeria alone can generate $59 billion or 43% of the total estimate for the four countries. But this can only happen if Nigeria prepares and positions itself properly.
The importance of a strategic approach by Nigeria to the AI era cannot be over-emphasized. A coherent strategy, backed by appropriate policy and regulatory frameworks and adequate investment in infrastructure and talents, will enhance Nigeria’s readiness for this fast-evolving and transformative epoch.