The Startup Ecosystem of Nigeria

With a massive consumer market, Nigeria and its capital Lagos have become a leading startup hub in Africa. The country now tops Africa’s unicorn charts with companies such as Flutterwave and OPay rapidly expanding regionally.
The public sector is gradually catching on to the massive potential of startups to transform Nigeria’s economy. The Nigerian Startup Act aims to empower entrepreneurship in the country through a legal and institutional framework for the development and operations of Nigerian startups. Other initiatives, such as the Startup Nigeria incubator or the Co-Creation Hub, will hopefully continue to foster the entrepreneurial spirit in the country. Moreover, there are other support organizations such as Lagos Angel Network, Growth Capital Fund, Ventures Platform, and Greenhouse Capital that provide funding for local startups.
In 2023, Nigeria became the first country in Africa to receive Starlink’s satellite broadband service, which greatly improved the country’s internet speed. Nevertheless, Nigeria faces some major challenges, including a shortage of financing options, low purchasing power, and the disconnect between Lagos and other cities. As Nigeria is attracting international recognition with its success stories, it has the clear potential to secure Lagos’ leading status as the top regional hub. In the meantime, the government will have to do its part to address the infrastructure deficit and support smaller ecosystems to guide talented Nigerian entrepreneurs to success.