U.S. investors account for 60% of external capital in Nigeria’s tech ecosystem — Consul General

Business

LAGOS, Nigeria (Agency Report) — The United States Consul General in Lagos, Mr Brandon Hudspeth, says U.S.-based investors have remained the largest source of external capital for Nigeria’s technology ecosystem over the past decade.

Hudspeth made the assertion on Wednesday in Lagos during a GITEX Nigeria panel discussion titled, “From Startup to Scale-Up: Building Globally Competitive Businesses through U.S.-Nigeria Partnerships.”

The Consul General said U.S.-sourced funding currently accounts for about 60 per cent of all external capital entering Nigeria’s technology ecosystem.

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He said the investments were coming from major American companies and venture capital firms supporting Nigeria’s rapidly growing technology and innovation sector.

“For the past 10 years, U.S.-based investors have consistently been the largest source of external capital in the Nigerian tech ecosystem.

“U.S.-sourced funding accounts today for 60 per cent of all external capital entering the Nigerian tech ecosystem, and it is coming from everywhere,” Hudspeth said.

He listed Visa, Google, Mastercard, Microsoft, Uber and PayPal among major U.S. companies contributing to Nigeria’s technology ecosystem, alongside smaller American venture capital firms.

According to him, the scale of existing investments demonstrated the enormous potential for stronger partnerships between Nigerian entrepreneurs and U.S. companies.

“For that reason, I am absolutely thrilled to be here at GITEX Nigeria, and in my new role as Consul General, because I know there is enormous potential for these partnerships to grow even further,” he said.

Hudspeth said stronger collaboration between Nigerian entrepreneurs and U.S. businesses would create jobs, deliver services and contribute to prosperity on both sides of the Atlantic.

“I know that there is a collaboration that will bring prosperity on both sides of the Atlantic, create jobs on both sides of the Atlantic and deliver services on both sides of the Atlantic,” he said.

He said the partnerships were helping the Nigerian public and private sectors accelerate innovation, scale businesses and develop solutions capable of competing globally.

The diplomat added that leading American technology companies were already supporting Nigeria’s technology ecosystem through skills development and capacity building.

“U.S. companies are working today to help build the Nigerian talent pool. Companies like Google, Cisco, Meta and Microsoft are training hundreds of thousands of people in the tech and AI sectors,” he said.

Hudspeth said the U.S. Consulate in Lagos was committed to supporting technology companies, promoting inclusive prosperity, facilitating business partnerships and connecting Nigerian entrepreneurs with U.S. counterparts.

He said such efforts were being pursued substantially through the U.S. Commercial Investment Partnership.

“At the Consulate, we are working to support these entities, drive equal prosperity, facilitate deals and bring Nigerian entrepreneurs together,” he said.

Hudspeth urged Nigerian entrepreneurs and U.S. technology companies to deepen collaboration in developing innovative solutions and creating opportunities capable of delivering shared prosperity.

“We are working together with leaders to build innovative solutions, use technology to create opportunity and prosperity for all of us.

“That is why we are here and why I am here to work together as we grow this partnership,” he said.

The Consul General expressed optimism that discussions at GITEX Nigeria would expose new opportunities for collaboration and investment between Nigerian startups and American companies.

“I believe that among us today are the developers of the next six unicorns on the continent of Africa,” he said.

The panel, hosted in partnership with the American Business Council, featured representatives of Amazon Web Services, All Talentz, DigitA and IHS Towers.

The News Agency of Nigeria (NAN) reports that GITEX Nigeria brings together technology companies, startups, investors, entrepreneurs and innovators to explore opportunities shaping the digital future of Nigeria and West Africa.

NAN