However, Lagos is still the most prominent African city on the list and Nigeria’s single representative in the global top 100. 

The commercial hub scored 11.226 on the Index and recorded annual ecosystem growth of +14.7%, healthy growth by many measures, yet not enough to stop the slide in rank. 

At national level, Nigeria now sits 66th globally; the country recorded $176.4m in startup funding in 2024, has two unicorns, and counts 57 Y Combinator startups, but national ecosystem growth is +5.4%, and Nigeria slipped two places overall. 

Fintech is still the engine. The country “tops Africa’s unicorn charts” and the report reveals names you already know: Moniepoint and Flutterwave, both listed as unicorns and flagged among Lagos’ notable ecosystem champions (SB Scores: Moniepoint 669; Flutterwave 640). Nonetheless, the Index shows fintech’s success is concentrated: Lagos accounts for the vast majority of Nigeria’s startup growth. 

In simple terms, Lagos tops other cities across Nigeria. StartupBlink finds Lagos’s ecosystem is 11.8 times larger than Abuja’s, illustrating how national performance hinges on one city.

Abuja did, however, post extraordinary growth this cycle, climbing into the global top 400 at 399th with annual growth above 50%, the only Nigerian city to record a global climb in 2025. 

Other regional cities show mixed fortunes as Ibadan, Enugu, Port Harcourt and a newly listed Ilorin appear in the top 1,000 but most recorded declines. 

There is momentum — and there are gaps. Lagos benefits from a dense support network: Lagos Angel Network, Growth Capital Fund, Ventures Platform and Greenhouse Capital all play visible roles, while non-profits such as FATE Foundation provide training and mentoring. 

The federal architecture has started to respond: the Nigerian Startup Act, a National Council for Digital Innovation and Entrepreneurship, and a Startup Investment Seed Fund are now on the books. The government has also struck a public-private arrangement with JICA to seed a new fund. These steps matter; they show policy finally following promise. 

Infrastructure and capital remain the choke points. The report flags a shortage of financing options, low purchasing power, and a practical disconnect between Lagos and other local ecosystems. 

It notes that Nigeria’s internet quality has improved, Starlink came in during 2023, and that NigComSat’s 2024 accelerator has begun to seed activity in space and satellite technologies (20 startups were selected for intensive spacetech mentorship). Still, the broader infrastructure deficit and limited local capital markets hold back scaling. 

What this means for founders and investors

Lagos is still the gateway. If you are scaling a fintech or consumer startup with innovation across West Africa, Lagos offers the customers, talent and networks you need. 

But I’d caution founders to plan for friction; payments, purchasing power limitations and uneven support outside Lagos are real risks. The Index suggests diversification of hubs inside Nigeria must be a priority if the country wants comprehensive, resilient growth. 

A few immediate implications for policymakers and ecosystem builders (drawn from the report):

• Invest in road-and-digital infrastructure outside Lagos to reduce the games-of chance that currently shape who succeeds. 
• Scale financing instruments that target growth (not just seed), and encourage closer ties between Lagos capital and provincial startups.
• Sustain public-private programmes (like the JICA fund and NigComSat accelerator) that move beyond pilot stage into long-term commitments.

To close, the StartupBlink Index 2025 shows that Lagos is Africa’s headline startup ecosystem and Nigeria’s growth engine. However, the nation’s overall ranking and the concentration of success in one city expose strategic fragilities. 

If investors leverage Lagos as a launchpad, and aggressively invest in the next tier of cities, Nigerian entrepreneurship becomes broad, durable and not just Lagos-dependent.

The post Lagos Slips from Global Top 70 in 2025 — But Still Leads Africa’s Startup Map appeared first on Tech | Business | Economy.

Quick look:

• 51% of surveyed startups report difficulties in securing funding, with angel investors emerging as a crucial support.
• 30% of founders view regulatory challenges as significant barriers, calling for greater policy engagement.
• One-third of startups form strategic partnerships, highlighting collaboration as a key driver of resilience.

TLP Advisory, the venture law firm headquartered in Lagos, with offices in London and New York  marks ten years of operation with the launch of a new report, “A Decade of the Nigerian Venture Ecosystem: Numbers, Insights & Stories.”

The report provides a comprehensive analysis of Nigeria’s startup landscape, revealing the growth, challenges, and strategic shifts that have defined the ecosystem over the past decade.

Launched in 2014, TLP Advisory has advised over 250 clients in the Nigerian technology and venture ecosystem on transactions ranging from institutional investments, M&A, intellectual property, international expansion strategies and more.

TLP was also one of the only two law firms that drafted the landmark 2023 Nigerian Startup Act, which created the legal framework for key regulatory bodies to provide an enabling environment and support to startups in Nigeria.

Having worked on and structured many of the continent’s biggest deals for the fastest-growing technology companies, TLP has been well positioned to collect technical intelligence for the ecosystem over the past decade, as well as source candid insights from technology leaders.

A Decade of the Nigerian Venture Ecosystem: Numbers, Insights & Stories also chronicles the growth and evolution of the Nigerian venture ecosystem from its nascent stages in 2014 whilst also paying homage to early investors like Olumide Soyombo’s Leadpath and enablers like the CcHUB and Lagos Angel Network.

Key findings from A Decade of the Nigerian Venture Ecosystem: Numbers, Insights & Stories include

• Funding Struggles Amid Currency Devaluation: While 2021 saw record venture capital investments of USD 3 billion, 51% of startups surveyed cited difficulties in securing funding, primarily due to currency volatility and access to investors. Angel investors have emerged as a crucial funding source during this challenging period.
• Talent & Operational Efficiency: Talent acquisition and retention are among the top challenges for startups, emphasising the need for efficient operations and customer-centric strategies.
• Regulatory Hurdles: 30% of founders cite complex regulatory landscapes as a major hurdle, urging closer collaboration with policymakers, especially under the Nigeria Startup Act.

The report makes recommendations for fostering a more robust startup ecosystem in Nigeria and is now calling for the following:

1. Deepening Strategic Partnerships: Expanding collaborative efforts between startups and corporates can unlock new markets and aid regulatory navigation.
2. Investing in Talent Development: Addressing skill gaps is crucial for retaining high performers in a competitive landscape.
3. Engaging in Policy Development: Proactive participation in policy discussions is essential for creating a supportive business environment.

Odunoluwa Longe, co-founder of TLP Advisory, comments,

“Despite the current tough macroeconomic climes, engaging with participants in this project ignited in me renewed hope and optimism for our ecosystem. We embarked on this project as our way of celebrating the ecosystem that made us, and this report reflects both the resilience and the evolution of the Nigerian tech ecosystem. It’s not just about technology; it’s about building a future where founders, investors, and the public sector work together to make Nigeria a leader in innovation and digital solutions. Over the past decade, we’ve witnessed, and have been part of, incredible success stories born from collaboration and adaptability, and we believe the best is yet to come.”

Adenike Adeyemi, executive director of FATE Foundation, added

“The most unexpected challenge for entrepreneurs in Nigeria has been the unstable and inconsistent regulatory and business environment. Founders here often have to navigate unique complexities, and a supportive policy framework is essential for unlocking their full potential.”

Speaking to the need for proactive policy engagement, Kola Aina of Ventures Platform notes,

“The ecosystem must become more deliberate and take the job of engaging in government policy design more seriously, ensuring we shape the policies that govern our industry.”

In addition to quantitative metrics, the report features several compelling qualitative stories from key ecosystem players like Odunayo Eweniyi (Piggyvest), Mayowa Okegbenle (PressOne Africa), Nichole Yembra (The Chrysalis Co),  Kola Aina (Ventures Platform), Olumide Soyombo (Voltron Capital), Femi Longe (CcHUB) and Jessica Hope (Wimbart) – many of whom echoed the report’s findings, in terms of identifying challenges as well as reflecting on lessons learned.

Supported by key partners, including Big Cabal Media, Blue Advisory, PressOne Africa, Ventures Platform and Wimbart, the report reflects TLP’s commitment to advancing sustainable growth for African startups.

Through its legal-tech product, DIYLaw, TLP has also supported over 200,000 businesses, contributing to Nigeria’s economic development.

[Featured Image Credit]

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SMEDAN has approximately 40 million small businesses spread across Nigeria and they are responsible for 50 percent of the country’s Gross Domestic Product(GDP) and 70 million jobs.

The DG made this known while receiving Charles Odii, the director general of SMEDAN who was on a courtesy visit to the Agency’s corporate headquarters in Abuja on Friday.

The purpose of the visit was to seek partnership in terms of infrastructural and human capital development for SMEs in Nigeria. To also submit a memorandum of understanding (MoU) where both Agencies can align and invite DG NITDA to SMEDAN for further discussions.

Inuwa revealed that there were opportunities for collaboration between NITDA and SMEDAN as stated in the NITDA Strategic Roadmap and Action Plan (SRAP 2.0) like the first pillar which is to foster Digital Literacy and cultivate talents.

He said the collaboration will facilitate the penetration of digital literacy among Small and Medium Entreprise (SMEs) to enhance productivity. He added that it also aligns with the objective of the National Digital Literacy Framework (NDLF).

“We all know that with digital literacy a market woman can sell her goods without moving from one place to another, as someone can use digital platforms to order for goods and have them delivered to them.”

The DG NITDA stated that the collaboration is apt as it will strengthen policy implementation and legal frameworks like the Nigerian Startup Act.

Inuwa said SMEs make up about 90 percent of the country’s workforce and more than 90 percent of businesses, saying;

“We really want to work with you, to explore how we can get them (SMEs) to benefit from all the incentives within the Startup Act and we target those who use innovation to promote productivity or innovation-driven entreprises.”

Inuwa citing ISF said that there are more than 100 IT hubs in Nigeria and less than 50 percent of these centres are being utilised. He revealed that both Agencies can utilize these IT hubs as infrastructure for the unserved and underserved areas, which aligns with a pillar of the SRAP 2.0 which is to promote inclusive access to digital infrastructure and services.

“We can come together and decide a benchmark on what an IT hub should look like so that it can properly serve the people.”

On strengthening cybersecurity and digital trust he said “We need to look at how we can come up with cybersecurity solutions for SMEs that will promote digital trust by having SMEs that provide affordable and indigenous cybersecurity services.

Emphasis on another pillar that is SME-centric which is to nurture an innovation and entrepreneurial ecosystem he said “We need to come up with ways to promote innovation and entrepreneurship thereby fostering a dynamic ecosystem that propels economic growth.

Speaking earlier, Odii said that the Agency has a couple of digital literacy programmes they had started, and they were at NITDA to have their curriculum looked at to see if it meets global standards and to be sure that it aligns with the NDLF.

Odii in terms of the Startup Act said,

“We understand that NITDA is the secretariat for the Startup Act, and we want to work with you in sensitising them (SMEs), especially those of them who are startups to take advantage of this and also help to add to your database for registration.”

He said:

“We have a robust SME database that we are building, and we would like to partner with you to make sure that the framework for this database is in line with what you have for data entrepreneurs.

The post NITDA and SMEDAN to Build Database for SMEs’ Interventions appeared first on Tech | Business | Economy.

Inuwa who was represented by Babajide Ajayi, the Director of Zonal Offices Directorate (ZOD) of the agency, said this at the recently concluded e-Government Hackathon organised by Ilorin Innovation Hub in Collaboration with the Kwara State Government to discover solutions to real-life problems that can transform governance and public sector operations with a focus on leveraging new technologies to bridge the existing gaps in governance.

According to Inuwa, the enactment of the Nigerian Startup Act (NSA), which was the outcome of the collaborative effort of the ecosystem and the Presidency, spearheaded by the Federal Ministry of Communications and Digital Economy, under the leadership of the Minister, Professor Isa Ali Ibrahim (Pantami), is a testament that Nigeria is on the right track to harnessing the potentials of digital economy.

ALSO READ: Buhari Claims Starlink Has Given Nigeria 100% Broadband Penetration

Inuwa argued that the NSA is aimed at providing; a legal and institutional framework for the development of startups; providing an enabling environment for establishment and operation of startups; development and growth of tech-related talents; and positioning Nigeria’s startup ecosystem as the leading digital technology center in Africa.

He also called on the Kwara State Government and all State Governments across the country to key into the implementation of the NSA to provide opportunities and resources that will empower more indigenous tech innovators to churn out solutions for local problems. Adding that this will provide a platform of support to young innovators to develop and commercialise their innovative ideas and be able to compete favourably in the global innovation space.

Inuwa also appreciated the Executive Governor of Kwara State, Mallam AbdulRahman AbdulRazaq for facilitating the partnership between the Ilorin Innovation Hub and the State Government by making the e-Government Hackathon become a reality towards unveiling innovative solutions by Nigerian youths, and by serving as one of the sustainable pillars to position Nigeria as a leading entrepreneurial hub in Africa.

The DG further commended the organisers for the initiatives which focused on; power and renewable energy; hardware (Internet of Things (IoT), drones, mobile devices); connectivity; web & mobile applications; and security & privacy.

He said, “the Hackathon will serve as a veritable platform for our talented youths to showcase their innovative ideas and solutions which the government is prepared to adopt for improved efficiency in public service delivery and increased productivity in government administration.”

“It is heartwarming to know that this hackathon is geared to support and promote indigenous talents to come up with relevant innovative solutions to our local problems, improve the way we do things, and engender prosperity in our environment. So, this is a challenge for the participants to come up with clearly defined ideas and develop solutions with an emphasis on the five specific areas of the hackathon.”

He stated that, “NITDA is proud to be associated with this laudable initiative. Your effort to drive the adoption of technology across the State is a demonstration of your administration’s commitment to transforming Kwara State into an economically viable and self-sustainable State where digital skills, youth empowerment, innovation, and technology thrive.”

Inuwa added that “Suffice it to say that your programmes are in alignment with several initiatives and programmes of the federal government that are being implemented by NITDA through its Special Purpose Vehicles, the Office for Nigerian Digital Innovation (ONDI), and the National Centre for Artificial Intelligence and Robotics (NCAIR), to develop and grow Nigeria’s digital innovation ecosystem.”

He further assured that NITDA remains committed to the partnership with the Kwara State government for the continued support and promotion of talented and exceptional indigenous innovators towards helping them grow and continue developing innovative solutions that will boost the economic fortune of the state, and Nigeria’s digital economy sector in general.

He also charged the participants to impact their environment with innovative solutions that will change the narrative of national economic development for the better.

On his part, Temi Kolawole, the Managing Director of the Ilorin Innovation Hub, stated that the programme was organised to address key issues in government and revolutionise the way government operates in Nigeria, and how it can become more efficient through the adoption of technology and digital transformation.

He added that the contestants were grouped into 50 teams, each focusing on a specific area of government businesses and tackling identifiable problems, including letter and memo tracking systems, data capturing systems, and medical record systems for hospitals.

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