Japan grants Nigeria $30m for start-up hubs in Abuja

The Japan International Cooperation Agency (JICA) and the Federal Government of Nigeria have signed a $30 million grant agreement to establish Start-Up Hubs in Abuja. This landmark initiative underlines Japan’s ongoing commitment to economic cooperation and sustainable development across Africa.
The project consists of two main components. The first is the development of a state-of-the-art Start-Up Hub, valued at $9.9 million, which will be implemented by the National Information Technology Development Agency (NITDA).
The second component, amounting to $21 million, is the Project for the Development of a Supporting Environment for Social Start-ups in Nigeria. This will be carried out by the Nigeria Sovereign Investment Authority (NSIA).
Designed to promote innovation and support emerging enterprises, the project aims to deliver a world-class facility equipped with cutting-edge digital technologies and collaborative workspaces.
t also seeks to strengthen connections across the start-up ecosystem, encouraging job creation, industrial diversification, and solutions to social challenges through innovation.
The allocated funds, which include provisions for contingencies, will be disbursed in phases through to 2030 and will cover infrastructure development, equipment procurement, and consultancy services.
The agreement was signed by Senator Atiku Bagudu, Minister of Budget and Economic Planning, on behalf of Nigeria, while Mr. Yuzurio Susumu, Chief Representative of JICA Nigeria Office, signed for the Japanese government.
“This project represents a major milestone in Nigeria-Japan bilateral relations,” Senator Bagudu said. “It reflects our shared vision for innovation-driven economic growth and youth empowerment.”
As per the agreement, Japanese suppliers will be given priority for primary contracts, though products and services may also be sourced locally.
NITDA, as the project’s lead implementing agency, will assume responsibility for securing regulatory approvals, providing utility infrastructure, and ensuring environmental compliance and safety during the construction phase.
NITDA’s Director General, Kashifu Inuwa, praised the agency’s ongoing collaboration with JICA, especially through the iHatch initiative, which has already created over 117 direct jobs and more than 370 indirect jobs.
“We are now expanding this initiative across all 36 states and the Federal Capital Territory,” Inuwa remarked. “Through a six-month incubation programme, iHatch provides start-ups with the tools and mentorship they need to launch market-ready products, drawing on JICA’s global expertise.”
Inuwa also drew attention to the joint efforts to strengthen the relationship between Nigerian and Japanese tech ecosystems, including facilitating exchange programmes and sponsoring Nigerian start-ups to attend international events in Japan.
Last month, both agencies launched the IgniteHer Entrepreneurship Bootcamp in Abuja—an intensive five-day training designed to empower women entrepreneurs and foster an inclusive digital economy.
Once completed, the Abuja Start-Up Hub is expected to become a central hub for creative entrepreneurs and digital innovators, reinforcing the city’s status as a technology powerhouse in West Africa.
The project’s implementation will begin in April 2025 and is set to run through to December 2030. It aligns with President Bola Tinubu’s Renewed Hope Agenda, strengthening Nigeria’s ambition to lead Africa’s digital transformation.
In line with JICA’s operational framework, monthly progress updates will be submitted, with a comprehensive final report expected within six months of the project’s completion.
