Alake shared this figure at a breakfast meeting in Dubai, United Arab Emirates, during the ongoing GITEX Global tech expo, where he highlighted the State’s position as Africa’s largest tech hub.

Lagos is home to more than 2,000 tech startups, with a concentration of innovation and business ventures that make the city a driver of technological advancement on the continent. 

He noted that if Lagos were a separate country, it would rank among the top five or six economies in Africa, pointing to the economic importance of the tech ecosystem.

The Commissioner attributed this growth to the dynamic nature of Lagos, pointing out that around 80% to 90% of Nigeria’s entire startup ecosystem is based in the State. This, he said, makes Lagos a key player in technology across Africa. 

Among the prominent companies shaping the industry are fintech giants like Flutterwave and Opay, while other sectors such as agri-tech and construction technology are also gaining ground.

Alake emphasised that fintech dominates the ecosystem, with approximately 40% of startups in Lagos focusing on financial technology. However, innovations in other sectors are also contributing significantly to the region’s growth. 

He added that the Lagos State Government is playing an active role in supporting these ventures, from investing in startups to refining regulations to create a more conducive business environment.

The Commissioner also pointed out Lagos’s evolving position in the global tech landscape. Leveraging Nigeria’s partnership with the Dubai World Trade Centre (DWTC), organisers of GITEX, Lagos aims to bring international attention to the local ecosystem.

Alake urged global investors to seize the opportunity to engage with Lagos’ talented and dynamic workforce, which is shaping the future of African tech.

Notably, Lagos has the largest artificial intelligence (AI) market in Africa, with companies deploying various AI use cases. Earlier this year, the State launched Nigeria’s first large language model, which Alake said was designed with a focus on solving Nigeria’s specific challenges.

In a related development, Nigeria is set to host the GITEX conference in September next year, in collaboration with the DWTC. According to Trixie LohMirmand, executive vice president of DWTC, the event will provide Nigerian startups with access to capital and global business insights. 

LohMirmand highlighted the need to bring the world’s attention to Nigeria, stating that only a small percentage of the country’s 6,000 startups had previously been able to connect with global investors during the Dubai event.

Lagos remains a rich tech hub, attracting both local and global interest, with startups benefiting from a supportive entrepreneurial culture and a wealth of talent. 

However, challenges remain, particularly in infrastructure and regulatory frameworks, which must be addressed to ensure long-term success. 

In his remarks, Governor Babajide Sanwo-Olu lauded the outgoing LASRIC board led by Prof. Oluwatoyin Ogundipe for laying a solid foundation.

He noted that over the past four years, LASRIC created over 500 jobs by supporting innovative startups, aided over 70 research and development initiatives, and increased innovation activity within the state by over 250%.

Notably, LASRIC secured the government’s first patent through a multidisciplinary team from the University of Lagos working on the Ambubag Ventilator.

The Governor who was represented by the Deputy Governor Dr. Kadri Obafemi Hamzat outlined six key areas of focus for the reconstituted LASRIC.

These include promoting an environment conducive to innovation through increased funding, strategic collaborations, capacity-building initiatives, and a resolute focus on locally relevant solutions, among others. He also challenged academics in the council to leverage LASRIC to better focus and translate their students’ research and thesis into entrepreneurial innovations with global impact.

The council, chaired by Professor Olumuyiwa Odusanya, vice chancellor of the University of Lagos, comprises distinguished academics, scientists, tech entrepreneurs, and public sector leaders including Prof. Folashade Ogunsola, Vice Chancellor, University of Lagos, Yaba; Prof. Benjamin Aribisala, Director at Centre of Excellence for Sargassum Research and Lecturer at Lagos State University and Prof. Peter Bamkole, Chief Operating Officer, Pan Atlantic University and Mr. Victor Afolabi, Founder of Eko Innovation Centre.

Others are Sulaimon Abubakar, CEO of Sterling Bank; Mrs. Oreoluwa Somolu Lesi, Founder, Women Tech Empowerment Centre; Nkemdilim Begho, CEO of Future Soft Resource Ltd.; Tomi Davies, Collaborator in Chief, TVC Lab and Kola Aina, Founding Partner at Venture Platform. The public sector is represented by Hon. Tunbosun Alake, Commissioner for Innovation, Science and Technology (MIST); Hon. Mosopefolu George, Commissioner for Economic Planning and Budget; Feyisayo Alayande, Executive Secretary of Lagos State Employment Trust Fund and Engr. Ibilola Kasunmu, Permanent Secretary (MIST).

To hit the ground running, the governor made a commitment of N1 billion to the council as the first tranche of a LASRIC Seed Fund to catalyze development in the state.

Earlier in his address, Mr. Tunbosun Alake, the Lagos State Commissioner for Innovation, Science and Technology, commended the Sanwo-Olu administration for consistently advancing innovation and technology to enhance the quality of life for Lagosians.

Highlighting the tangible gains achieved thus far, he cited the success story of Pricepali, an agritech e-commerce company that received funding from LASRIC.

PricePadi has experienced remarkable growth, expanding its operations from Lagos to Abuja and Port Harcourt, establishing healthy profit margins, and creating numerous employment opportunities, thereby generating substantial economic value.

In response to questions from journalists regarding LASRIC’s funding focus areas, Alake emphasized that the council’s mandate encompasses a comprehensive analysis of all sectors within Lagos to identify opportunities for driving innovation and development.

Addressing the seed fund’s operational dynamics, Alake clarified that the initial N1 billion allocation is intended for exhaustion, after which additional funding will be sought.

He added that the government’s long-term vision involves providing annual funding for LASRIC, a goal that is currently being pursued through the development of a dedicated law to support statutory funding for the council’s initiatives.

In his acceptance speech, Prof. Odusanya expressed his gratitude to the Governor for the opportunity and reaffirmed the council’s steadfast commitment to spearheading research efforts and creating an enabling environment that fosters innovation across various sectors within the state.

Echoing the council’s mission, Victor Afolabi, the Founder of the Eko Innovation Centre, a foremost private sector player renowned for accelerating startup businesses in the state, remarked,

“It is an honour to contribute my expertise to the development of the state and the country through my membership on the council, in addition to the initiatives we undertake at the Eko Innovation Centre. I have no doubt that the team assembled by Mr. Governor will deliver exceptional results.”

Nkemdilim Begho, the CEO of Future Soft Resource Ltd., a beneficiary of the LASRIC grant in 2020 and a two-time member of the LASRIC board, echoed similar sentiments.

She emphasized the urgency of swift action, stating, “I think the first thing is to really jump into it and get to work.”

Begho also highlighted the importance of strategic planning, suggesting, “Some of the other things to really look at are strategic directions on how we also look at emerging technologies like AI.

Aligning with the Deputy Governor’s vision, she proposed engaging with universities to align students’ thesis projects across levels within the state to ensure that funding is directed toward initiatives that create tangible impact.

Engr. Ibilola Kasunmu, the Permanent Secretary of the Ministry of Innovation, Science and Technology, the inauguration of the council and the N1 billion seed fund as proof  to the Lagos State Government’s commitment to empowering youth in the state.

She emphasized the evolving nature of the technology landscape, stating, “Gone are the days when people thought about information technology solely in terms of computer science; we now understand that information technology encompasses a vast array of disciplines, including cybersecurity, AI, software development, and more.”

Kasunmu encouraged the youth to explore niche areas that align with their interests, enabling them to contribute to the state’s digital and technological advancement, thereby keeping pace with global trends.

This collaborative effort which stemmed from bilateral meetings with the IT Ecosystem members during the Reverse Trade Mission in the United States of America, is geared towards addressing emerging challenges, fostering innovation, and enhancing the overall cybersecurity infrastructure.

This no doubt resonates with the Federal Government’s call, through Dr. Bosun Tijani, the minister of Communications, Innovation, and Digital Economy, at the recently concluded meeting of the Nigeria National Council of ICT Heads of Ministries, Departments and Agencies in Abeokuta, Ogun State, for the digitalization of MDAs operations.

According to the Minister, there was a need for immediate provision of ICT Infrastructure that would aid data sharing among government agencies, which in turn, would not only aid proactiveness in the business of governance but would also block fraudulent activities, help improve Nigeria’s economy, and set government priorities right at all times.

The objectives and key highlights of the Anambra/Lagos partnership include Cybersecurity Collaboration, Protection of IT Assets, Cyber protection measures, and expansion of IT service platforms.

Both parties will implement new methods of cybersecurity to fortify IT infrastructure as well as Formulate strategies to comprehend and counter the evolving threat landscape in cyberspace.

Both states will also explore the Introduction of advanced cyber protection measures for safeguarding critical IT assets, familiarization with cutting-edge tools to mitigate and reduce cybercrime risks, and understanding new tools to enrich IT service platforms, including cloud solutions like AWS.

There is also the issue of aligning with digitization and customer service agenda, to enhance service delivery and developing initiatives for rapid onboarding of new skills in the IT sector as well as Upscaling the skill system to meet the evolving demands of the IT landscape.

Both parties will equally seek joint efforts to bolster the pool of skilled professionals in the Information Technology sector.

Tunbosun Alake, Lagos State commissioner for Innovation, Science and Technology, expressed optimism about the collaboration, stating,

“This partnership signifies a crucial step in fortifying our technological capabilities. By combining forces with Anambra State, we aim to create a resilient IT infrastructure that not only addresses current challenges but also anticipates and adapts to future advancements.”

Chukwuemeka Fred Agbata, the MD/CEO of Anambra State ICT Agency, believes,

“Collaborating with Lagos State is an opportunity to leverage each other’s strengths and elevate our IT services market. Together, we can achieve technological excellence and contribute significantly to Nigeria’s digital transformation.”

This imminent partnership between Anambra and Lagos states is poised to make tangible strides in the Information Technology sector, setting a precedent for collaborative efforts in advancing the nation’s technological landscape.

A startup, according to the Act, is “a firm that has been in operation for no more than ten (10) years and whose aims include the invention, innovation, production, development, or adoption of a new digital technology creative product, service, or method.”

Interpretatively, the act aims to provide a legal and institutional framework for Nigerian startups, as well as an enabling environment for their establishment, development, and operation.

The Lagos State Government has organized a policy review workshop in an effort to implement the Act’s policies for the state’s growth.

The workshop, which was held on Friday, October 11, 2022, at Eko Innovation Centre, brought together startup founders, tech experts, innovators, and enthusiasts to join the state government in domesticating the policies in the Nigerian Startup Act.

The event led to the establishment of Knowledge, Innovation, Technology, and Entrepreneurship (KITE) Project which will equitably localise the Act.

The KITE project is expected to significantly contribute to Nigeria’s economic development and position Lagos State as the hub for innovation in Nigeria. Also, as the state is becoming a popular location for technology investors and entrepreneurs, it will enable the state to further push its technology and innovation agenda.

It will begin in Yaba, which will serve as a medium for the government and private sector to create an ICT cluster. Yaba is known as the bedrock of internet-enabled businesses, with over 60 startups and active venture capital firms in residence. It is also a thriving centre for innovation in Nigeria.

By 2030, the Yaba KITE cluster is expected to be Africa’s main source of transformational solutions, propelling the continent’s socio-economic progress via technological leadership, disruptive innovation, and high-quality stem talent. Access to financing, advocacy and marketing, research and development, network and cooperation, talent, skills, education, infrastructure, policy, regulation, and governance are also goals of the KITE initiative.

According to the workshop anchor, Mr Wale Adelaja, the workshop was organised to allow the private sector and government agencies to review the policies established in the KITE project. “For an ICT business, cluster, or ecosystem to be sustainable, policies to support its longevity are required,” he said.

Hon. Olanrewaju Suleiman Afinni, Head of the House Committee on Science and Technology, at the event, urged the private sector stakeholders to look over the law and make it as complete as possible so that it doesn’t need to be changed often.

On her part, Tracy Okoro, one of the private stakeholders who championed the Nigerian Startup Act movement, acknowledged that the NSA2022 is the result of people’s desire for change and it succeeded because a group of young people came together to champion the move.

Her words, “We have a volunteer group of over 800 people who drove this from beginning to end without demanding payment. The Act is significant for connecting the government with the business sector.”

During the workshop, the Special Adviser to the Governor of Lagos State on Innovation and Technology, Mr. Tunbosun Alake, said the NSA2022 regulations will assist startups in registering quicker, and obtaining permits faster, thereby boosting the ease of doing business.

“To drive the ecosystem and boost innovation, each state throughout the federation needs to adopt distinct legislation that will help foster and deepen startup activity.

“Lagos’ startup policy structure has been in development for some time before the Act. The regulations will assist startups in registering quicker, obtaining permits faster, and easing business for commercial organisations classified as startups.

“It is critical for entrepreneurs in the ecosystem to participate in the workshop review to have an impact on the state legislation being drafted. The KITE project is like Silicon Valley in that it will be a state-wide initiative that will create ICT clusters, which will promote innovation throughout the state and benefit the nation’s economy,” Alake enthused.

Startup founders, innovators, and other workshop attendees participated in a break-out session to share their thoughts on the policies discussed as a government representative listened in and took notes and feedback.

The session was interactive, as the workshop served as a forum for attendees to voice concerns and receive answers to pressing issues.