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Nnamani advocates for AI regulation and data center expansion to boost Nigeria’s digital economy

 

By Juliet Umeh

Chief Executive Officer of Digital Realty Nigeria, Engr. Ikechukwu Nnamani, has called for deliberate moves towards regulating Artificial Intelligence (AI) and accelerating the growth of data centers in Nigeria. Nnamani emphasized the importance of establishing ethical frameworks for AI while addressing infrastructural gaps to support the country’s digital transformation.

Speaking during a courtesy visit by the Nigeria Information Technology Reporters’ Association (NITRA), following its ICT Growth Conference themed “Impact of AI on National Development: Prospects, Policies, and Challenges in Nigeria,” Nnamani expressed concerns about the imbalance between ethical and non-ethical AI development. He stressed that ethical AI development remains underrepresented globally, leaving room for misuse by those solely focused on financial gain.

“Many developers prioritize the value AI adds to their business without considering the broader ethical implications,” Nnamani said. “Countries like the U.S. are already making significant efforts through their Congress and Executive branches to ensure AI is regulated for safety and best practices.”

Nigeria’s AI regulation: A work in progress

On the local front, Nnamani acknowledged that AI regulation in Nigeria is still evolving. While the adoption of AI in the country is relatively low, he highlighted the need for the government to proactively assess potential risks and implement measures to mitigate harm.

“The government must ask critical questions about potential risks posed by AI and take necessary actions to prevent harm. This involves scrutinizing applications to ensure ethical compliance,” Nnamani stated.

Despite concerns that AI could displace jobs, Nnamani reassured stakeholders that AI will drive the need for upskilling. “AI isn’t taking jobs away; it’s reshaping how we work. Nigerians will need to retrain and leverage AI for better efficiency and cost-effectiveness.”

Data Center Growth: The backbone of Nigeria’s digital Future

Nnamani also touched on the state of data centers in Nigeria, highlighting the urgent need to expand the country’s digital infrastructure. He pointed out that Nigeria’s current IT load, a critical measure of data center capacity, is far below what is required to support its growing digital economy.

“With Nigeria’s economy, population, and GDP, we should have at least 600 megawatts of IT load to function as a truly digital economy. Currently, we only have about 30 megawatts—barely scratching the surface,” Nnamani explained.

He further noted that cities like Toronto have over 30 data centers, underscoring the gap Nigeria needs to close to fully integrate into the global digital economy. He called for visionary leadership to attract investors and build necessary infrastructure, alongside robust government support.

Challenges and solutions for data center operations

While acknowledging progress in Lagos, Nnamani stressed that more needs to be done across other states to ensure nationwide access to data services. He identified power supply and foreign exchange (FOREX) issues as two key challenges facing data center operations in Nigeria.

“Business operations in Nigeria are tough, and one of the biggest challenges is FOREX stability. For those of us with access to FOREX, its volatility affects our ability to make accurate business projections,” Nnamani said. He also highlighted the inconsistency of power supply as another major hurdle for data centers.

Nnamani urged the government to address these issues, not only to support the digital economy but also to enhance the overall quality of life for Nigerians. He expressed optimism about the future, given the support of industry regulators, but emphasized that a lot more needs to be done for Nigeria to achieve a fully digital economy.

The NITRA ICT Growth Conference convened industry leaders and stakeholders to explore strategies for deploying AI and addressing the critical infrastructure challenges needed to support national development in Nigeria.

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