Digitnomics 
By Digitnomics
Nigeria’s growing appetite for artificial intelligence (AI) is no longer in doubt. From hospitals and farms to financial services and public administration, AI is steadily reshaping how businesses operate and how citizens access services.
But while the country is embracing AI at an impressive pace, experts warn that Nigeria risks becoming permanently dependent on foreign technology unless it begins developing its own AI systems.
That is the central message of a new review titled Adoption of Artificial Intelligence in Nigeria: A Macro and Micro Economic Review, authored by Debola Ibiyode, Founder and Executive Director of the AI Empowerment Foundation and Founder/CEO of CarbonAI. The study, conducted by OLGNova in collaboration with AI in Action Now, argues that Nigeria must transition from being an AI consumer to becoming an AI creator if it hopes to secure long-term digital and economic independence.
According to the report, AI adoption across Nigeria has accelerated significantly. More than 70 per cent of Nigerians have already interacted with generative AI tools, while 93 per cent of organisations surveyed have begun deploying AI in one form or another. Nearly one-third have integrated the technology into advanced business operations.
The report noted that AI is already delivering measurable benefits across multiple sectors.
In healthcare, AI-powered tools are helping medical professionals analyse radiology scans, diagnose birth asphyxia in newborns and provide mental health support through intelligent chatbots.
Agriculture is also benefiting, with AI-driven advisory platforms increasing crop yields by between 20 and 30 per cent while reducing production costs. Across retail and manufacturing, predictive maintenance and route optimisation are helping businesses reduce food waste and improve logistics efficiency.
Government institutions are also beginning to leverage AI. The Federal Civil Service’s Service Wise GPT is improving service delivery, while AI-enabled traffic management pilots in Lagos and Abuja have reportedly cut peak-hour travel times by about 20 per cent.
Nigeria’s academic community is equally making progress. According to the study, researchers have produced more than 11,600 AI-related publications, with the University of Ibadan leading research output.
Despite these achievements, the report argues that Nigeria’s biggest weakness is its heavy dependence on foreign-built AI technologies.
Most of the AI models, cloud infrastructure, software platforms and computing resources used locally are owned by international companies. As a result, Nigerian data continues to enrich foreign AI systems while local institutions remain exposed to licensing changes, service disruptions and external control over critical digital infrastructure.
The report also warned that AI could widen existing social and economic inequalities if the country fails to invest in inclusive development.
Many leading AI models remain largely trained on English-language datasets, making them less effective in understanding major Nigerian languages such as Hausa, Yoruba and Igbo. This limits the ability of AI systems to serve millions of local users effectively.
Another concern is employment. The review estimates that automation could replace around nine million routine jobs by 2030, particularly in banking, public administration and clerical roles.
However, it also projects that AI could create approximately 11 million new technology-enabled jobs, provided Nigeria invests aggressively in digital skills, workforce reskilling and AI education.
To achieve what it describes as “sovereign AI,” the report called for stronger collaboration among government, universities, technology companies and investors.
It recommended increased investment in local AI infrastructure, indigenous language datasets, affordable computing resources, innovation hubs and funding for Nigerian AI startups.
The report also urged universities to shift from teaching students how to use AI tools to equipping them with the skills to build AI models and develop homegrown solutions.
According to the authors, Nigeria’s impressive AI adoption rate provides a solid foundation, but the country’s long-term competitiveness will depend on its ability to create, own and export indigenous AI technologies rather than remain a consumer of innovations developed elsewhere.
As global competition around artificial intelligence intensifies, the report concludes that Nigeria now has a strategic opportunity to shape its own AI future—or risk allowing others to define it.
