Digital Transformation and its Impact on the Nigerian Economy

There is a common saying “The world is going digital” Guess what that means; everyone is on the
digital train. If you think you still belong to the old-fashioned world, you need to think again.
Technology evolves and Nigeria is not an exception. The advent of the GSM and liberalization of mobile
communications ushered the country into a technology drive that has defied politics, sentiments and
even the harsh economic climate.

Generally what Technology means to some people

Going Digital might present different meanings and experience to a broad range of the population.
For many it is the shift in socialization. From the individual using the latest smart phone and apps, the
university student who spends half of her time chatting with friends on Social Media, your next door
neighbor who never miss the latest Big Brother gist on Facebook, and the social commentator who
corresponds regularly with followers on Twitter. Yes a lot has changed since Nigerians went digital.

Mode of doing Business has changed

The corporate citizens are not left behind. The digital drive has opened new frontiers in Business:
Banking, Telecommunications, Commerce, Payment Systems, Transportation, Finance and more.

Long ago the top players in the Banking system were the ones with longer years of experience and
oldness on their profile. Nowadays the trending banks are the ones with technological prowess to
leverage on. Business operations generally have experienced faster turn-around time breaking prior
limits as organizations scramble to outwit each other in customer satisfaction and delivery.

Commerce is now E-commerce

The boom in Ecommerce is another miracle of Digitalization, 20 years ago, who would have thought a
typical Nigerian will transact with a faceless entity behind the screen. The Nigerian versions of
Amazon[Jumia, Konga etc] have not only survived the terrain they have opened doors to similar
establishments with accompanying success.

The Government is tagging along

Even the Government is not left behind in the digital transformation drive. Various parastatals and
bodies have embraced digitalization in the dispensation of their statutory responsibilities. Let’s list a
few examples:

 Business Name Search, Preservation and Pre-Incorporation can now be done online via the
Corporate Affairs Commission(CAC) portal. Why not give it a try:
LINK[https://services.cac.gov.ng/]
 The Federal Inland Revenue Services(FIRS) has commenced E-filing of Tax returns, Registration
and other various services online. Ready to file, you can do it here [www.firs.gov.ng]

Its called Digital Transformation

To say the transformation of the Nigerian ecosystem due to Technology has been remarkably
tremendous is not an understatement.

There has been a huge increase in Entrepreneurship Growth inspired by Technology. Startups[Both
online and Brick] are springing up in various sectors introducing new dimensions to traditional way of

Available online via https://medium.com/@zionoyemade

doing business in different sectors of the economy; Education, Leisure, Housing to mention a few. Key
startups blazing a trail include Pass.ng, Prepclass.com.ng, Hotels.ng, Tolet.com.ng and many more.

Before we forget the Internet

The appeal of Digitalization knows no borders, and the key reason is the Internet. A notable impact of
technology combined with the power of the Internet is the influx of foreign brands coming to play and
compete in the Nigerian economy – The Ride Hailing services company Uber has picked a new home
in Nigeria after steep opposition from driver unions and other parties threatening its operations in
Europe and America. Other global players that have opened a presence in Nigeria include Google,
Microsoft etc.

Even Agric is going Digital

Lastly, successive Nigerian governments have hampered on the need to resuscitate the Agricultural
sector. However the daunting challenges facing this sector has continued to persist. A notable factor
being Subsistence mode of farming. But guess what; Technology is the new trend and work-around.
Employing the latest digital technologies, Crowd sourcing platforms have been able to harness
funding, and connect unknown persons united by one common goal – To till and cultivate the land.
You really need to checkout ThriveAgric[thriveagric.com], FarmCrowdy[farmcrowdy.com] Not only are
this Digital platforms enhancing growth in the Agricultural sector, they have become a source of the
much needed foreign investment. Farmcrowdy was reported by Forbes to have raised 1million USD in
seed funding in 2017.

Lastly

The Nigerian Economy may be lacking transformation in so many areas, Digital Transformation is not
one of them. A study by Moody Analytics reported in the Guardian[https://guardian.ng/business-
services/electronic-payments-add-640m-to-nigerias-gdp-in-five-years/] reveals the impact of
Electronic payments alone on the nation’s GDP between 2011 & 2015 was 0.03 valued at 640million
USD.

Yet there is still potential room for further growth and more utilization of the country’s digital
economic potential from being not just a recipient of digital technology but also an exporter of
technology initiatives and brainpower.

Available online via https://medium.com/@zionoyemade