Google contributed $1.8bn to Nigeria’s economy in 2023 – Report

Google’s tools and services added an estimated $1.8bn to Nigeria’s economy in 2023, a new report from consultancy Public First revealed on Thursday.

The Nigeria Digital Opportunity report presented in Lagos highlighted the economic benefits generated by services such as Google Search, Ads, Google Play, YouTube, and Google Cloud, which helped boost the productivity of Nigerian businesses, content creators, and workers.

The search engine giant pointed to its digital skills programs and career certificates programme as key drivers of Nigeria’s digital transformation, with over 1.5 million young Nigerians acquiring new digital skills in 2023.

Commenting on the findings, Google’s Director for West Africa, Olumide Balogun, said, “We’re thrilled to see the positive impact that digital technology is having on Nigeria’s economy.

“This report underscores the importance of continued investment in digital skills and infrastructure to unlock the full potential of Nigeria’s vibrant digital economy.”

Balogun emphasised that with rapid digital advancements, particularly in areas such as cloud computing, connectivity, and artificial intelligence, there is immense potential for Nigeria to further solidify its position as a leading digital economy in Africa.

“The future of Nigeria’s economic growth will be driven by its ability to harness technology, and Google remains committed to supporting this journey through strategic investments and partnerships,” he added.

The study underscored the significant role digital technology plays in Nigeria’s economy, noting that every $1 invested in digital technology in the country generates over $8 in economic value.

The report also projected that artificial intelligence could add $15bn to Nigeria’s economy by 2030, with Google positioned to play a pivotal role through its responsible AI development initiatives.

Google said it had previously committed $1bn in 2021 to support the digital economy across Africa. This included the 2022 landing of the Equiano fibre-optic cable in Nigeria, which is expected to increase internet penetration by seven per cent by 2025, significantly improving internet access and reliability.

The search engine giant recommended that Nigerian policymakers adopt cloud-first strategies and strengthen digital infrastructure to maximise AI’s potential while emphasizing the need for improved STEM education to prepare the workforce for future opportunities in the digital space.

The Director and Head of Technology Policy at Public First, Amy Price, said, “Nigeria is a digital frontrunner in Africa, and tech investment will be a powerful catalyst for further growth and development across the country.

“This is particularly true when it comes to connectivity, cloud computing, and artificial intelligence.”

Price also highlighted the significant role that AI will play in shaping Nigeria’s future economy, with the report estimating that AI could add $15 billion to Nigeria’s GDP by 2030.

“To maximize this potential, Nigeria must focus on building a strong digital infrastructure and investing in STEM education to prepare its workforce for the jobs of tomorrow,” Price explained.