The United Arab Emirates (UAE) has signalled its readiness to partner with the Nigerian government to bolster the development of the country’s burgeoning tech startup ecosystem.
Khalfan Belhoul, CEO of the Dubai Future Foundation, made this announcement at GITEX Global, the world’s largest startup and investor exhibition, taking place in Dubai. Belhoul, who manages the UAE’s smart city strategy across five business units, highlighted the significance of nurturing innovation and building partnerships to propel growth in the digital economy.
“There are many innovations in Nigeria, and more can be achieved. We are open to collaborations in technology development, but the right conversations are essential,” he stated.
Belhoul acknowledged Nigeria’s dynamic startup ecosystem, noting that several Nigerian companies are already making strides in the UAE market. “The startup scene is developing, and there is immense potential,” he added.
His remarks coincide with Nigeria’s aspirations to become a leader in Africa’s digital transformation. The nation boasts a vibrant tech startup culture, with significant investments flowing into sectors such as fintech, e-commerce, and various technology-driven industries. Lagos, in particular, has emerged as a critical hub, housing over 400 startups.
Nigerian startups secured a substantial 35% of the $466 million in total funding raised by the African tech sector between January and March 2024, spanning equity, debt, and grants. A report by Africa: The Big Deal spotlighted Moove, a transport tech startup, as a major player, accounting for two-thirds of the funding directed to Nigeria in the first quarter of 2024. Over the past five years (2019-2023), Nigerian startups have captured the largest share of investment, representing 29% of the $15 billion total raised by African startups.
In addressing the migration of African talent to Dubai, Belhoul stressed the necessity for increased investment in research and development (R&D) and talent cultivation to ensure the long-term sustainability of startups.
The UAE’s eagerness to collaborate with Nigeria aligns with its ambition to become a global innovation hub, leveraging its advanced infrastructure and business-friendly environment to attract entrepreneurs and investors.
GITEX Global, hosted by KAOUN International, runs from October 13-18, 2024, and is recognised as the world’s largest and most influential technology and startup event.