Nigeria’s Digital Economy: NITDA Uncovers Adoption, Infrastructure Challenges

The National Information Technology Development Agency (NITDA) has identified significant gaps in Nigeria’s digital economy, including low adoption of online shopping, limited access to digital credit and growing concerns over financial fraud, despite increasing access to financial services.

The findings are contained in the Nigeria Tech Outlook Report 2026, unveiled by the Director-General of NITDA, Kashifu Inuwa Abdullahi, at the Digital Nigeria International Conference and Exhibition (DNICE) 2026 in Abuja.

The report provides a national baseline for measuring the country’s digital progress, identifying investment opportunities and guiding government policies and interventions across critical sectors of the economy.

According to the findings, 86.5 per cent of Nigerian adults have financial accounts, but only 12 per cent accessed digital credit within the preceding 12 months. It also revealed that just 40.6 per cent of adults personally used smartphones, while only 6.6 per cent purchased goods online within the preceding three months.

The report further showed that adoption of digital public services remained relatively low, with only 17.9 per cent of respondents indicating that they had used government services online within the preceding 12 months.

In the health sector, 75.9 per cent of adults expressed willingness to use telemedicine if available, although only 11.3 per cent reported having insurance coverage.

On digital security, the report disclosed that 13.1 per cent of respondents had experienced digital financial fraud, underscoring the need for stronger consumer protection, cybersecurity measures and trust in digital financial services.

Speaking at the unveiling, Inuwa said the report was designed to provide a credible national evidence base that would enable government, investors, researchers, innovators and development partners to make informed decisions rather than rely on assumptions.

He explained that the assessment covered financial services, telecommunications, commerce and trade, e-government, e-health, digital access, devices, skills, trust and inclusion.

The research involved 2,147 household interviews, 539 health facility interviews, 15 key informant interviews and 10 administrative records from relevant institutions.

Inuwa said the accompanying Tech Outlook Dashboard would make the findings accessible beyond the printed report, allowing stakeholders to monitor progress, access relevant information and provide feedback.

He identified payments, connectivity, digital devices, e-commerce, logistics, e-government and digital health as areas offering significant investment opportunities.

According to him, the findings would help investors identify underserved areas and emerging opportunities while enabling policymakers to develop targeted interventions to address existing gaps in the digital economy.

However, the NITDA chief stressed that challenges relating to electricity supply, digital skills, affordability, interoperability and consumer protection must be addressed to maximise the benefits of investments in the sector.

He noted that expanding digital infrastructure alone would not guarantee meaningful economic participation unless Nigerians could afford devices, access reliable connectivity and acquire the skills required to use digital services productively.

The report is also expected to establish an annual process for measuring Nigeria’s digital progress, reviewing targets and adjusting policies in response to emerging developments.

Inuwa urged stakeholders to translate the findings into practical solutions that would strengthen institutions, stimulate investments and expand digital inclusion across the country.

The report’s findings highlight the difference between access to financial services and actual participation in the digital economy, particularly as the low adoption of online shopping, digital credit and e-government services points to significant opportunities for businesses and policymakers.

It also reinforces the need to move beyond infrastructure expansion towards improving affordability, digital literacy, consumer confidence and the effective use of technology to support economic growth.