The relationship between Nigeria's vibrant tech ecosystem and its government has often been characterized by complexity and tension. This dynamic largely stems from the government's recurring attempts to assert control over the multi-billion-dollar industry through extensive policy frameworks and regulations, leading many tech players to voice concerns about overregulation stifling innovation. While the Nigerian tech space has garnered significant international attention for its successes, regulatory uncertainty and excessive oversight are frequently cited as major impediments to sustained growth. This critical situation underscores the urgent need for enhanced collaboration and dialogue between technology stakeholders and regulatory bodies.

In a recent discussion as part of the "Policy and Tech" series, Technext engaged with Oswald Osaretin Guobadia, the Senior Special Assistant to President Muhammadu Buhari on Digital Transformation. Guobadia, recognized as a principal architect of the Nigeria Startup Act (NSA), emphasized that the future success of the Nigerian tech ecosystem hinges primarily on the active participation of its players, rather than solely on government intervention. He articulated that the prevailing gaps in the regulatory environment are a direct consequence of insufficient collaboration between policymakers and practitioners within the ecosystem.

Guobadia highlighted a fundamental disconnect: while practitioners aim for disruption, speed, efficiency, and innovation, policymakers often perceive these advancements as displacement—a threat to existing structures. In the absence of meaningful engagement, policymakers, whose mandate includes protecting the status quo, tend to respond with measures designed to manage this perceived displacement, resulting in policies that are often seen as restrictive by the ecosystem. This lack of co-creation between the two parties is the root cause of many regulatory challenges faced by Nigerian startups.

Addressing the critical intersection of innovation and regulation, Guobadia advocated for a framework that allows for the co-creation of policies and regulations, a principle explicitly embedded within the Nigeria Startup Act. He acknowledged the existence of overregulation and overreach but asserted that such issues could be mitigated through genuine partnership. Guobadia noted a general reluctance among tech leaders to engage with government ministries, departments, and agencies (MDAs), often fostering a "them vs us" mentality. He urged practitioners to recognize that those in policymaking positions are fellow Nigerians and that a collaborative approach is essential.

The Nigeria Startup Act serves to formalize this much-needed engagement. A cornerstone of the Act is the establishment of the Startup Consultative Forum, which comprises representatives from the practitioner side. Complementing this is the Secretariat, composed of all relevant MDAs. Together, these two entities form the foundational pillars of the National Council for Digital Innovation and Entrepreneurship. This structure facilitates continuous interaction between practitioners and the Secretariat on ecosystem-related matters, enabling them to shape the Council’s agenda and ensure that policies are developed with an informed understanding of the tech landscape. The overarching goal is to foster a collaborative environment where policymakers are brought closer to the ecosystem, gaining insights into its operations and actively contributing to the success of startups.

Despite the innovative framework of the NSA, a significant challenge remains: the deep-seated mistrust many tech players harbor towards the Nigerian government. Guobadia passionately argued against the peril of such mistrust, stressing that the government will always be a permanent fixture. He highlighted that the NSA itself is a product of extensive collaboration, with an impressive 99% of its provisions originating from practitioners, not the government. He contended that increased pressure and engagement from the ecosystem are vital. Drawing from his own decades of experience in the private sector before entering policymaking, Guobadia acknowledged instances of government overreach and perceived competition but reiterated that these are less likely when collaboration is prioritized. He urged tech leaders to abandon the "I don't trust the government" narrative, recognizing their inherent role within the broader governance structure. Political will, he suggested, is driven by political sentiments; a passionate tech ecosystem can influence politicians to support rather than harm its growth. Guobadia, in a stark warning, posited that the potential failure of the Nigeria Startup Act ultimately rests in the hands of its tech practitioners if they do not actively engage.

Regarding the implementation of the Nigeria Startup Act, which became law in October, many have questioned its progress. Guobadia confirmed that implementation falls under the purview of the Honourable Minister of Communications and Digital Economy, Prof. Isa Ali Pantami, and the National Information Technology Development Agency (NITDA), which serves as the Council's Secretariat. He described the Act as "self-implementing" but noted that its progress has not matched the pace of its development. Crucially, he emphasized that the ecosystem has a right, and indeed a responsibility, to demand answers from the government regarding its implementation. Unlike policies or regulations that can be easily altered, an Act is a binding law. One of the Council's significant powers, as outlined in the Act, is the requirement for its approval before any new policy affecting the ecosystem can be developed, serving as a vital protective mechanism. However, without active engagement from practitioners, challenging the government on this front, progress will stagnate. The Nigeria Startup Act programme office, led by Guobadia, is actively promoting the Act's adoption by individual states, envisioning a future where states compete on policy to foster innovation at the grassroots level.

Pondering Nigeria's journey towards becoming a digitally transformed nation, Guobadia offered a nuanced perspective: "potentially closer but also potentially very far away." He asserted that digital transformation cannot be driven by "paper-minded people," underscoring the necessity of having the right individuals in positions of authority. He challenged the tech ecosystem to participate actively in the political process, even suggesting that they could lobby for the appointment of future Ministers of Communications and Digital Economy. Sustained progress, he maintained, mandates involvement. Therefore, the leadership within the ecosystem must take a proactive stance in mobilizing collective collaboration with the government, as the nation's digital future is intrinsically linked to such partnerships.

Looking ahead, Guobadia expressed immense optimism for the Nigerian tech ecosystem, declaring, "We are positioned to take over the world." He envisioned a future where the next global impactful idea originates from a Nigerian village, contingent upon addressing key foundational elements: education, infrastructure, and sound policies. With the Nigeria Startup Act already providing the necessary policy framework, the focus must shift to education and infrastructure. Guobadia dismissed the "Japa trend" (brain drain through emigration) as a threat, instead advocating for increased investment in training to produce a large talent pool, even encouraging the export of skilled professionals globally, citing India's success in this model. He stressed that "the new poverty line will be in the same space as the digital line," making digital enablement and savvy citizens paramount. The future, though bright, requires deliberate action, intentionality, forward motion on infrastructure, and crucially, the right leadership and a clear vision to ensure its sweetness.