The Federal Government has invested more than N3.8 trillion in information technology infrastructure since 2023, according to the Director-General of the National Information Technology Development Agency (NITDA), Kashifu Inuwa.
Inuwa made this disclosure during an interview on TVC News, where he explained the government’s National Sovereign Cloud Initiative and its strategy to build local capacity in cloud computing, data centres, and other digital infrastructure.
The scale of government’s existing IT spending presents an opportunity to channel more investment into local digital infrastructure and create demand for cloud and data-centre services in Nigeria.
Government data showed that more than N3.8 trillion had been invested in IT infrastructure so far, Inuwa said.
Based on data from 2023 to date, the government invested over this amount in IT infrastructure, Inuwa said.
According to him, the government can leverage this spending to build domestic capacity rather than having IT investments remain fragmented across individual government agencies.
“Imagine channeling that investment into building local capacity,” Inuwa said.
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The government has agreed to adopt a Cloud-First strategy, under which ministries, departments, and agencies (MDAs) will be discouraged from establishing standalone data centres and server rooms and instead move towards cloud infrastructure.
“Government has agreed to adopt a Cloud-First strategy, meaning MDAs will be discouraged from building standalone data centers or server rooms and required to move to the cloud,” Inuwa said.
They are also providing policy and regulatory certainty for foreign hyperscalers and other technology companies willing to establish infrastructure in Nigeria.
“The initiative is not about Nigeria closing its doors against foreign technologies, but asking them to come and build with us,” Inuwa said.
Nigeria‘s push to strengthen local cloud and digital infrastructure has accelerated through a series of regulatory and policy measures.
In February 2025, NITDA finalised a data classification framework aimed at promoting cloud adoption, strengthening data governance, and creating a clearer environment for cloud investment.
The push gained momentum in June 2026 when the Central Bank of Nigeria directed banks, fintechs, and other payment-system participants to host payment transaction data generated in Nigeria within the country, with a January 1, 2027 compliance deadline.
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Earlier in August, NITDA signed a Sovereign Cloud Framework to strengthen regulation and oversight of cloud and digital infrastructure, while the Federal Government unveiled a National Digital Cloud Policy targeting greater cloud adoption and investment.
On August 21, NITDA and the Budget Office also launched a Joint Technical Committee to develop the fiscal, procurement, and investment structures needed to implement the National Sovereign Cloud Initiative.
This investment adds a significant financial dimension to Nigeria‘s push to build a larger domestic cloud and data-centre ecosystem.
As Nigeria continues to invest in its digital infrastructure, it’s likely that the country will see an increase in demand for data-centre capacity.
Nigeria had approximately 66 MW of third-party data-centre capacity as of late 2024, with several hundred megawatts in the pipeline.
In conclusion, the Federal Government’s investment in IT infrastructure and its push for a National Sovereign Cloud Initiative demonstrate the country’s commitment to developing its digital economy and creating opportunities for growth and investment.