Nigeria is on the cusp of enacting one of Africa’s most comprehensive laws for the digital era, as the National Digital Economy and E-Governance Bill progresses through final legislative stages. Introduced in 2024 and advanced significantly in 2025, the bill often hailed as a continental first is expected to receive presidential assent soon, potentially by the end of March 2026, ushering in unified rules for electronic transactions, public service digitization, and emerging technologies like artificial intelligence (AI).
Sponsored initially in the House of Representatives by Hon. Adedeji Dhikrullahi Olajide (Chairman of the Committee on Digital and Information Technology) and supported across both chambers, the bill has undergone extensive stakeholder consultations, including nationwide engagements in all 36 states and the Federal Capital Territory. A pivotal public hearing in November 2025, hosted by the joint Senate and House Committees on ICT, Cybersecurity, and Digital Information Technology, solidified broad support from public, private, and civil society sectors.
Minister of Communications, Innovation and Digital Economy, Dr. Bosun Tijani, has repeatedly emphasized the bill’s alignment with President Bola Ahmed Tinubu’s Renewed Hope Agenda. He described it as a “catalyst” for Nigeria’s ambition to contribute significantly to a $1 trillion economy through digital means, with projections targeting the digital economy’s share of GDP rising to 21% by 2027.
Key Provisions of the Bill:
The legislation seeks to create a robust, unified legal framework by:
Granting full legal recognition to electronic communications, digital records, electronic signatures, and contracts equating them to traditional paper-based equivalents for greater certainty in digital transactions.
Mandating digital transformation across public institutions, including the digitization of government processes, data exchange, and delivery of e-government services to improve efficiency, transparency, and citizen access.
Promoting ethical, transparent, and risk-based governance of emerging technologies, with a strong focus on artificial intelligence (AI). The bill empowers the National Information Technology Development Agency (NITDA) to oversee a risk-based regulatory approach.
For AI specifically, high-risk systems deployed in sensitive areas such as finance, public administration, surveillance, automated decision-making, and critical infrastructure will require
licensing, annual impact assessments detailing risks, mitigation strategies, and performance metrics. Regulators gain powers to demand information, issue directives, suspend or block unsafe systems, and impose penalties for non-compliance, including fines up to ₦10 million (approximately $7,000) or 2% of annual gross revenue in Nigeria, whichever is higher.
The bill also introduces regulatory sandboxes to allow startups and innovators to test AI and other technologies in controlled environments, fostering innovation while ensuring safeguards.
Broader Impacts and Expectations
Once enacted, the law will strengthen cybersecurity coordination, consumer protection in digital spaces, and interoperability in government data systems addressing longstanding fragmentation in Nigeria’s public administration. It builds on existing foundations like the Nigeria Data Protection Act (NDPA) 2023 and complements NITDA’s ongoing work, including the National AI Strategy and initiatives like the 3 Million Technical Talent (3MTT) program.
Stakeholders have praised the bill for positioning Nigeria as a leader in responsible digital governance on the continent, potentially attracting investment and enhancing global competitiveness. However, some telecom operators and industry groups have raised concerns about potential regulatory overlaps with bodies like the Central Bank of Nigeria (CBN) and the Nigerian Communications Commission (NCC), urging clear delineation of roles.
As implementation preparations ramp up under NITDA’s leadership, the bill represents a pivotal shift from reactive to proactive governance in Africa’s largest digital market. With over 120 AI startups already thriving and rapid fintech growth, the framework aims to balance innovation with accountability, trust, and inclusive growth.
Experts anticipate that passage in the coming weeks could accelerate Nigeria’s digital ambitions, setting a model for other African nations navigating similar transformations. For the latest developments, monitor updates from NITDA, the Federal Ministry of Communications, Innovation and Digital Economy, or the National Assembly.
