The inaugural Arewa Tech Fest, set to take place on September 25 and 26, 2024, in Kano, Nigeria, has announced the creation of the Arewa Tech Fund, a $50 million initiative aimed at nurturing young Nigerian innovators and strengthening the digital ecosystem in northern Nigeria.
Mallam Nasir El-Rufai, former governor of Kaduna State and a key figure behind the initiative, highlighted the fund’s strategic importance. “The Arewa Tech Fund is a major stride towards unlocking the potential of our youth and promoting a culture of innovation. This will benefit not just Northern Nigeria but also create ripple effects across the country. We are dedicated to fostering solutions that drive sustainable growth, making this fund crucial for developing future tech leaders,” said El-Rufai.
The announcement comes amid a challenging climate for African tech investments. The Africa 2023 Investment Report by Briter Bridges notes that the recent downturn in venture capital is not due to diminished interest in the sector but rather the absence of large funding rounds that had buoyed the market in previous years.
With a significant portion of venture capital for African tech startups historically coming from abroad, as noted by the United Nations Development Programme (UNDP), local initiatives like the Arewa Tech Fund are increasingly vital. In recent years, Nigerian startups have faced declining funding, dropping from $1.8 billion in 2021 to just $469 million in 2023, according to Partech Africa.
The Arewa Tech Fund aims to reverse these trends by providing crucial financial support and resources to local innovators, thereby stimulating economic growth and job creation in the region. This initiative represents a significant investment in the future of Nigeria’s technology sector and its capacity for driving broad economic transformation.
