Experts Urge Investment In Local Data Infrastructure, Cybersecurity

Technology and business leaders have called for increased investment in local data infrastructure, cybersecurity and digital capabilities to strengthen Nigeria’s digital economy and support business growth.

They made the call during a panel session at the CIO & C-Suite Conference and Awards Africa, held recently in Lagos, where they discussed data sovereignty, data localisation, cybersecurity, and the role of technology in improving business competitiveness.

Speaking at the session, chief technology officer of First City Monument Bank (FCMB), Blessing Ehize, said financial institutions needed to invest in local data infrastructure and adopt a risk-based approach to data localisation to protect customer information and ensure reliable digital banking services.

Ehize said banks must consider data sensitivity, cybersecurity risks, infrastructure capacity and service continuity when implementing regulatory requirements on data storage and processing.

He noted that effective data localisation required financial institutions to assess the risks associated with storing, processing, and migrating data, and to put adequate safeguards in place to protect customers and prevent service disruptions.

He also stressed the need to strengthen local infrastructure, technical expertise and cybersecurity capabilities to support the growing demand for secure and reliable digital financial services.

On technology investment, Ehize said financial institutions must balance innovation with cost efficiency by making strategic investments, optimising existing infrastructure and adopting automation to improve service delivery.

He added that technology investments should be measured by their impact on customer experience, operational efficiency and business performance, while ensuring security and long-term sustainability.

The FCMB executive further called for collaboration among regulators, banks, fintech companies, data centre operators and technology providers to build local capacity and ensure effective implementation of data localisation policies.

Other participants at the conference emphasised the need for businesses to strengthen data protection, secure their digital systems and exercise greater control over where sensitive information is stored and processed.

They also identified technology as a critical driver of business growth, operational efficiency and competitiveness, noting that sustained investment in digital infrastructure, innovation and cybersecurity would be essential to building customer confidence and positioning Nigerian businesses to compete in the global economy.