Technology adoption is fast emerging as a central solution to Nigeria’s persistent productivity and growth challenges, a new report by the Nigerian Economic Summit Group (NESG) has revealed.
From agriculture and manufacturing to construction, renewable energy, and the creative industries, digital tools are steadily reshaping business operations across the country. They are offering new opportunities to boost efficiency, scale production, and diversify economic output in ways that were previously unattainable.
According to the authors of the NESG report, integrating technology into high-impact sectors can significantly improve operational performance, foster innovation, and create sustainable employment opportunities. In agriculture, precision and climate-smart farming tools are helping farmers increase yields while reducing waste and production costs. In manufacturing, automation, digital production systems, and advanced engineering practices are enabling local firms to compete globally. Likewise, in construction, renewable energy, and creative industries such as animation, digital production, and fashion, technology is transforming traditional workflows and unlocking new economic possibilities.
“Technological drivers such as artificial intelligence, information processing, and autonomous systems are accelerating the need for new skill sets,” the NESG report notes, underscoring the rising demand for a workforce capable of leveraging digital tools effectively.
From agriculture and manufacturing to construction, renewable energy, and the creative industries, digital tools are steadily reshaping business operations across the country. They are offering new opportunities to boost efficiency, scale production, and diversify economic output in ways that were previously unattainable.
Critical sectors face technology adoption challenges
Despite the potential benefits, NESG warns that technology adoption remains uneven, especially among small and medium-sized enterprises (SMEs) that form the backbone of Nigeria’s economy. Limited access to affordable finance, unreliable infrastructure, regulatory bottlenecks, and low levels of digital literacy continue to hinder full digital integration.
The group stresses that overcoming these barriers is essential to unlocking the country’s productivity potential. “By enabling more businesses to scale, compete, and formalise, Nigeria can unlock millions of productive and decent jobs,” the report states, adding that digital transformation must be complemented by strong policy and institutional frameworks.
Bridging the gap: Strategies for digital transformation
To accelerate technology adoption, NESG recommends a multi-layered strategy anchored on finance, policy reform, skills development, and market access.
First, improving access to finance through targeted credit schemes, loan guarantees, and venture capital can empower enterprises to invest in digital tools. Strengthening the capacity of development finance institutions to support and monitor MSMEs will ensure that such investments translate into real productivity gains.
Second, business environment reforms—including simplifying regulations, reducing bureaucratic delays, and improving collaboration with key agencies such as the Nigeria Customs Service—can create an enabling ecosystem for digital adoption. Streamlined processes, the report argues, will encourage enterprises to formalise operations and embrace scalable technology-driven solutions.
Linking technology service providers with local enterprises—through mentorship, training, and accelerator programmes—can bridge this skills gap and ensure that technology investments yield measurable outcomes.
Third, skills development remains a critical pillar. Many businesses, particularly SMEs, struggle to deploy and manage digital tools due to a shortage of expertise. Linking technology service providers with local enterprises—through mentorship, training, and accelerator programmes—can bridge this skills gap and ensure that technology investments yield measurable outcomes.
NESG highlights the need for improved market access. Many Nigerian enterprises remain constrained by limited exposure to domestic and international markets. Digital platforms, e-commerce channels, and integrated payment systems, the report notes, can enhance reach, boost financial inclusion, and streamline business operations for greater competitiveness.
Technology reshaping enterprise development
“The rise of artificial intelligence (AI), machine learning, cybersecurity, and the Internet of Things (IoT) is reshaping business models and opening up new frontiers for enterprise development,” the NESG report says. These trends, it explains, are driving demand for digital solutions across finance, agriculture, healthcare, and logistics while generating fresh opportunities for job creation and value addition.
This, NESG adds, shows that technology adoption is not only transforming business processes but also creating new pathways for employment, innovation, and economic diversification in critical sectors.
Infrastructure and skills remain critical enablers
However, the report cautions that technology adoption alone is not sufficient. Reliable infrastructure—spanning electricity, broadband connectivity, and logistics networks—remains vital to ensuring consistent and effective use of digital tools.
Similarly, sustained investments in digital literacy and specialised skills—particularly in data analytics, AI, cloud computing, and cybersecurity—are needed to fully maximise technology’s impact across industries.
These trends, it explains, are driving demand for digital solutions across finance, agriculture, healthcare, and logistics while generating fresh opportunities for job creation and value addition.
“Entrepreneurship is a critical driver of job creation and productivity growth,” the report stresses. “However, inadequate infrastructure, such as unreliable power supply, poor road networks, and limited digital connectivity, continues to constrain business performance and restrict enterprises from operating at full capacity.”
Unlocking sustainable growth through digital transformation
The NESG report indicates that technology offers one of the most powerful levers for bridging Nigeria’s productivity and sectoral growth gaps. When combined with infrastructure improvements, skills development, and supportive policy frameworks, technology adoption can accelerate efficiency, foster innovation, and strengthen Nigeria’s integration into the global digital economy.
As Nigeria seeks to diversify its economy beyond oil, NESG calls for coordinated efforts between government, the private sector, and development partners to scale adoption across critical sectors. Targeted interventions in finance, infrastructure, digital skills, and market access, it adds, can unlock the country’s full potential—driving sustainable growth, economic resilience, and inclusive development for millions of Nigerians.
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