Nigeria risks becoming permanently dependent on foreign artificial intelligence technologies unless it begins building indigenous AI models, computing infrastructure, and local datasets, according to a new review that argues the country’s rapid adoption of AI has outpaced its capacity to develop the technology.
The review, ‘Adoption of Artificial Intelligence in Nigeria: A Macro and Micro Economic Review’, said Nigeria has emerged as one of Africa’s fastest adopters of artificial intelligence but remains largely reliant on foreign-developed foundation models, cloud infrastructure, and software platforms.
The report was authored by Founder and Executive Director of the AI Empowerment Foundation and Founder and Chief Executive of CarbonAI, Debola Ibiyode, and conducted by OLGNova alongside AI in Action Now.
“Nigeria is not failing at AI; it is adopting AI faster than it is building the institutional, infrastructural, and human foundations needed to sustain and own that adoption,” Ibiyode said in the report.
According to the review, more than 70 per cent of Nigerians have interacted with generative AI tools, while 93 per cent of surveyed organisations have begun adopting AI. Nearly one-third have integrated the technology into advanced business operations.
The report said indicated that applications are expanding across healthcare, agriculture, public administration, logistics, and education, helping organisations improve productivity and automate routine tasks. Researchers also highlighted Nigeria’s growing academic contribution to the field, noting that local institutions have produced more than 11,600 AI-related publications, led by the University of Ibadan.
Within the government, AI-powered initiatives such as the Federal Civil Service’s Service Wise GPT are being deployed to improve public service delivery, while pilot traffic management systems in Lagos and Abuja have reportedly reduced peak-hour travel times by about 20 per cent.
In healthcare, AI-powered diagnostic platforms are supporting clinicians in analysing radiological images and detecting birth asphyxia in newborns, while conversational AI tools are being used to expand access to mental health support amid a shortage of psychiatrists.
The report indicated that AI-enabled advisory platforms are also helping farmers increase crop yields by between 20 and 30 per cent while reducing production costs. Predictive maintenance and route optimisation technologies are similarly improving efficiency across agricultural and manufacturing supply chains.
Despite those gains, the review argued that Nigeria remains primarily a consumer rather than a producer of artificial intelligence. It warned that the country’s growing dependence on foreign AI models and cloud providers allows valuable Nigerian data to strengthen overseas technologies while exposing businesses and public institutions to changing licensing terms, service disruptions, and external control of critical digital infrastructure.
The report described this imbalance as a strategic risk to Nigeria’s long-term technological and economic independence, urging policymakers to prioritise what it called “sovereign AI” through investments in domestic computing capacity, indigenous datasets, and local model development.
It also warned that existing AI systems remain less effective in understanding Nigerian languages because most leading models are trained predominantly on English-language data.
Without greater investment in local language datasets, the report said, AI applications may struggle to serve millions of speakers of Hausa, Yoruba, Igbo, and other indigenous languages. The review further projected that automation could displace about nine million routine jobs by 2030, particularly in banking, public administration, and clerical occupations. However, it estimated that AI could also create approximately 11 million technology-enabled jobs if Nigeria invests aggressively in digital skills development and workforce reskilling.
To strengthen the country’s position, the report called on the government, universities, technology companies, and investors to accelerate investment in AI infrastructure, affordable computing resources, innovation hubs, and local talent development. It also urged universities to move beyond teaching students how to use AI applications and instead equip them to build foundational models and develop indigenous technologies.
The findings come as governments globally race to strengthen domestic AI capabilities amid growing concerns over technological sovereignty, data control, and dependence on a small number of foreign technology companies.
For Nigeria, the report argues that maintaining its current pace of AI adoption will generate lasting economic value only if it is matched by equivalent investment in developing and owning the technologies that underpin it.