Telecommunications companies expect to benefit from a $1bn artificial intelligence fund announced by the United Arab Emirates to bolster digital infrastructure across Africa, with Nigeria a central focus.
Industry executives say the initiative could speed broadband rollout, encourage artificial intelligence adoption, and draw more private investment into the country’s rapidly expanding digital economy.
“The growing partnership between Nigeria and the UAE is a very welcome development, especially as it is beginning to extend into technology and the digital economy,” President of the Association of Telecommunications Companies of Nigeria, Tony Izuagbe Emoekpere, told The PUNCH.
“Nigeria’s digital space is expanding very quickly, and partnerships like this can help accelerate investments in areas such as broadband networks, data centres, cloud services, and even emerging technologies like artificial intelligence
UAE Assistant Minister of Foreign Affairs for International Development, Sultan Al Shamsi, highlighted the initiative in a statement, stating, “Our $1bn AI for development Initiative, designed to strengthen digital infrastructure across Africa, with Nigeria as a key partner, underscores our commitment to building long-term, future-ready cooperation. We see Nigeria not only as a major economy, but as a country positioned to lead in shaping Africa’s next phase of growth.”
The announcement comes against the backdrop of growing UAE–Nigeria economic ties. Non-oil trade between the two countries reached $4.3bn in 2024 and approximately $3.1bn during the first nine months of 2025, reflecting expanding commercial activity in logistics, agriculture, and digital services.
Emoekpere explained why Nigeria is an attractive destination for technology and telecom investment. “We have a very large population, and a significant portion of that population is young and increasingly comfortable with technology.
“Smartphone usage is rising, and people are consuming more data every year as they rely more on digital services for business, communication, education, entertainment, and financial services. This growing demand naturally creates strong opportunities for investment in telecom and digital infrastructure,” he said.
He added that the AI initiative presents opportunities to strengthen critical infrastructure.
“Nigeria still needs significant investment in broadband networks, fibre infrastructure, data centres, and other technologies that support the digital economy. Partnerships with countries like the UAE can bring in the capital, expertise, and technology needed to strengthen Nigeria’s connectivity ecosystem,” Emoekpere said.
Al Shamsi further explained the UAE’s investment in the “AI for Development” initiative, noting that “Nigeria is among the priority countries under the ‘AI for Development’ initiative due to its population and economic weight, its pivotal role in West Africa, and its clear ambitions in the digital economy.
“The initiative does not follow a rigid country-by-country distribution; funding is allocated flexibly according to national project readiness and Nigerian government priorities. The sectors expected to benefit first include government services and digital transformation, fintech and financial inclusion, digital health, smart agriculture, public data systems, and digital infrastructure, ensuring a direct impact on citizens’ lives and economic growth.”
He further noted that “all projects are implemented in partnership with national government entities and in accordance with local legal and regulatory frameworks in Nigeria, including data protection and privacy laws.”
According to Al Shamsi, “the initiative emphasises building local capacity in data management and model development, rather than merely using local data for external solutions. Supported projects are required to contribute to knowledge transfer and develop systems that can be operated and advanced locally over the long term.”