Nigeria to cut unemployment with AI technology, empower 70% of youths

•Market projected to hit $434.4m by 2026

Nigeria through the Ministry of Communications, Innovation and Digital Economy is hoping to deploy artificial intelligence (AI) to cut rising unemployment in the country.

With a focus on equipping 70 per cent of youths with AI skills, the ministry in the draft National AI Strategy said the global demand for AI talents and skills is growing and that a highly-skilled workforce is a critical long-term need of the ecosystem.

The 72-page draft document, among others, aims to leverage the country’s strengths and address its challenges, ensuring Nigeria is not left behind in the AI revolution.

“Nigeria aims to reduce unemployment by five percentage points by equipping at least 70 per cent of Nigeria’s young workforce (16-35 years, including 50 per cent of women and a good representation of people living with disabilities) with AI-related skills and knowledge. Nigeria shall also actively contribute to the local and global workforce, job creation and entrepreneurial endeavours in AI-driven industries,” the document noted.

AI is poised to add $2.9 trillion to Africa’s Gross Domestic Product (GDP) by 2030 and the Nigerian market is projected to hit $434.4 million by 2026.

With other countries also implementing and deploying AI, especially to attract, develop and train talent to build and utilise the technology, the draft document emphasises that building an AI-ready workforce involves educating the future workforce at multiple levels, training the current workforce, attracting and retaining talent in AI and drawing international talent to Nigeria.

“Nigeria shall also emphasise technical skills and talent to drive AI adoption and initiatives as well as change management, interaction design, legal and business models, communication, innovation management and many more context-dependent skills,” the document read.

The document noted that as a general-purpose technology, AI must be made to serve low-income countries like Nigeria by delivering meaningful changes within and across the economies, including sizeable boosts to productivity derived from one-off efficiency savings, multi-factor productivity such as facilitating better working practices and aiding innovation.

The drafters of the AI strategy expect Nigeria to actively contribute to the local and global workforce, job creation, and entrepreneurial endeavours in AI-driven industries. They noted that the country’s youthful population is a significant asset for promoting economic development, particularly in AI.

“This demographic trend underscores the critical role that Nigeria’s youth will play in the global economy, especially in providing a digitally enabled workforce for the global AI ecosystem requirements. Furthermore, the International Finance Corporation (IFC) (46) forecasts that by 2030, 28 million jobs in Nigeria will demand digital skills, highlighting a market valued at $130 billion,” they added.

However, the strategy document acknowledges that Nigeria faces significant challenges in realising the full potential of its youth demographic due to high levels of poverty, unemployment, and insecurity.

The document noted that what makes AI a compelling force for advancement and change is that the technology has the potential to make an impact for all, irrespective of a nation’s developmental cycle.

It stressed that it can provide a veritable alternative to address less developed countries’ human resource and infrastructure gaps as it can be adapted to serve nuanced development-oriented use cases.

Accordingly, it pointed out that attaining significant results such as these, where AI bridges developmental gaps, requires a strategic approach that includes accelerating development and solidifying governmental commitment to a shared vision, long-term orientation, responsible governance frameworks, and values that build trust and cohesion.

The document said the upside is the potential for game-changing improvements in core areas that underscore a country’s health and longevity.

It said while there are concerns, among others, that the developing world could be left behind as AI advances rapidly, it is an emerging knowledge that if AI is deployed effectively and harnessed responsibly, it promises to drive inclusive and sustainable growth–reducing poverty and inequality, advancing environmental sustainability, improving lives, and empowering individuals in all societies across all stages of development.

“AI is, therefore, a developmental equaliser at a scale similar to the Internet. It will also be the great differentiator and the nations that become the leaders in its application will rule the emerging world. In an increasingly AI-driven world, countries with a compelling national AI strategy will soar above others, leading to a perhaps impenetrable hierarchy that will benefit some while leaving others behind.

“This is the AI reality and imperative that each nation faces today, as validated by its potential contribution to global and local economies.”