Africa to harness trillion-dollar IoT opportunity for economic transformation — NITDA

The National Information Technology Development Agency (NITDA) has stated that the Internet of Things (IoT) holds a trillion-dollar opportunity for Africa, with the potential to significantly boost the continent’s Gross Domestic Product (GDP) and reshape key sectors of the economy.

Dr Aristotle Onumo, Director of Stakeholder Management and Partnerships at NITDA, made this known during the IoT West Africa Data Centre and Cloud conference held on Tuesday in Lagos. He described the IoT as a game-changing technology that could reshape industries such as agriculture, healthcare, and logistics.

Speaking on the scale of its potential, Onumo said, “The power of connected devices and systems can radically transform daily life across Africa by embedding technology into routine activities in a seamless manner.

“Imagine a future where crops signal when they need water, traffic systems automatically direct drivers, healthcare services detect disease outbreaks before they spread, and power grids regulate themselves without human intervention.”

He drew attention to the accelerating growth of the global IoT market, which is projected to hit $1.6 trillion by the end of 2025. Onumo said this trajectory makes it urgent for Africa to embrace the evolving technology landscape or risk falling behind.

With Africa’s population now at 1.4 billion and Nigeria accounting for roughly 40 per cent of that figure, Onumo noted that the continent is at a defining moment. He pointed to rising mobile phone usage as a strong base for building a thriving IoT ecosystem.

Illustrating the real-world impact of IoT, Onumo described how sensors are already being used in agriculture to manage irrigation systems and monitor livestock. He also outlined the healthcare possibilities of wearable technology and remote diagnostics.

“Across the continent, cities like Kigali, Lagos and Cape Town are beginning to use IoT to manage urban challenges such as traffic congestion and waste disposal,” he said.

Despite the bright outlook, Onumo acknowledged several obstacles. He noted that Africa faces a considerable connectivity gap, especially in rural areas, alongside the pressing issue of inconsistent energy supply needed to power connected devices.

He further pointed to the risks of cyberattacks and the complexities surrounding data governance as serious concerns that must be addressed as the continent becomes more digitally interconnected.

Another major hurdle, he said, is the shortage of skilled professionals.

“Bridging the digital skill gap is vital. At NITDA, we are investing heavily in digital literacy programmes to empower citizens,” Onumo stated.

He explained that the agency is targeting 70 per cent digital literacy in Nigeria by 2027 and 90 per cent by 2030, with the help of initiatives such as the “Digital Literacy for All” campaign and the pre-FTC training programme.

The former aims to reach 30 million Nigerians in the informal sector by 2027, while the latter will train another 30 million people in high-demand digital skills by the same deadline.

Onumo called for stronger cooperation across public and private sectors, stressing that Africa must not only adopt IoT solutions but also become a creator and innovator within the space.

“Let us pursue a future where Africa is not positioned on the sidelines of innovation, but firmly placed at the centre of it,” he said.

He also called for deliberate investment in IoT infrastructure, updated educational curricula, and seed funding to support startups and local tech entrepreneurs.

Echoing these sentiments, Mr Anoosh Sirkeck, Chief of Staff and Strategic Growth Leader at Vertex Next, called for strategic partnerships, infrastructure development, and the empowerment of a new generation committed to building a digital, inclusive, and sustainable Africa.

The conference drew a wide range of participants including policymakers, industry experts, and technology innovators, all gathered to examine how Africa can unlock the transformative potential of IoT and position itself for long-term digital growth.