By Derrick Bangura

The European Union (EU) has announced a seven-year investment of €150 billion in Africa to support the EU-Africa Digilogic initiative, which is a long-term network of Digital Innovation Hubs in Europe and Africa.

The EU also announced that it would invest €820 million in the EU-Nigeria Digital Economy Package, which will last three years and is part of the EU’s global gateway strategy.

Millions of promising unemployed Nigerians are given hope by the Tony Elumelu Foundation.

Representatives from the European Commission made the announcements over the weekend in Lagos during an interactive roundtable with youth, innovators, start-ups, and women entrepreneurs hosted by The Tony Elumelu Foundation (TEF) and the European Commission.

During the forum, Mr. Alejandro Caintos, an adviser to European Commission Executive Vice President, announced that the African Union (AU) and the EU will meet and the commission would provide their comprehensive deliverables on global investment for Africa.

“In the next seven years, we will mobilize €150 billion for the African continent,” he stated.

He explained that the €820 million money would be used to invest in digital infrastructure, digitization of public services, support of digital entrepreneurship, acquisition of digital skills for Nigerian youths, and enhancement of digital governance in Nigeria.

“To boost Nigerians’ access to a high-speed connection, the EU will assist the construction of fiber optic cables and data centers.” The European Investment Bank (EIB) will invest E100 million in Lagos and Ogun States to boost secure 4G connection and triple national data capability.

“The EU will support Nigeria’s administration’s digitization in order to provide residents with better and more accessible public services,” the commission stated.

“The European Investment Bank is investing €250 million to develop Nigeria’s digital identity infrastructure with the highest level of security,” he stated.

He explained that the €820 million money would be used to invest in digital infrastructure, digitization of public services, support of digital entrepreneurship, acquisition of digital skills for Nigerian youths, and enhancement of digital governance in Nigeria.

“The EU will also support the formation and scaling up of tech start-ups, as well as the development of creative solutions for Nigeria’s society and economy,” he added.

The EU would assist Nigeria’s digital governance by assisting with “the establishment of regulatory frameworks with the highest standards of privacy, safety, and cyber security, while encouraging an open internet and digital market that preserves individuals’ rights,” according to the commission.

“This digital economy package will take the EU-Nigeria collaboration to the next level, working together to make the most of the opportunities of the data economy,” said Ms. Francesca Di Mauro, Head of Unit, Western Africa, European Commission.

“With an emphasis on youth and women,” Mauro added, “the EU would promote the development of the skills needed for Nigerians to flourish in the digital economy.”

She claimed that the Tony Elumelu Foundation embodied everything the EU “stands for” by fostering the private sector, women’s enterprise, and a youth-focused approach.

“We are committed to giving young people a voice and chances. The year 2022 has been designated as Europe’s “Year of Youth.” The EU will promote on-the-job training for young Nigerians in the ICT sector as part of a €44 million award to the Nigeria Jubilee Fellowship Program,” Mauro added.

Mrs. Ifeyinwa Ugochukwu, TEF’s Managing Director, dated the foundation’s relationship with the European Commission back to 2021, when the European Commission committed €20 million in African women’s entrepreneurship through the foundation.

“A brave first step toward providing hope for young African women entrepreneurs who are bursting with innovation, brimming with creativity, and brimming with business ideas,” Ugochukwu described the initiative as. The European Commission’s participation made the difference for many businesses in determining whether their ideas would die with them or be transformed into reality.”

Despite the World Economic Forum’s estimate that $1.2 billion, representing a 300 percent increase, was invested in tech start-ups in Africa in 2020, she said Africa’s annual share of global investment in tech start-ups was still very small, at less than 1% of what start-ups could raise in the United States of America.

“As impressive as that number may appear, it represents less than 1% of the total amount raised by startups in the United States. This demonstrates that, despite the fact that we are making significant progress on the continent, there is still more work to be done. That’s why we’re all gathered here today.

“This is also why the TEF collaboration with the EU exists. We began investing in women African entrepreneurs in 2021 through a partnership worth E20 million (Euros). And I’m happy to report that this collaboration is progressing.”