The World Bank has highlighted the positive impact of broadband expansion and digital investment on job creation and productivity in Nigeria.
In its latest Africa’s Pulse report, the Washington-based institution noted that the deployment of submarine fibre optic cables and last-mile digital infrastructure contributed to a 5–7 per cent increase in employment in countries including Nigeria, Kenya, and Ghana.
“Evidence shows that adopting digital technologies significantly boosts productivity and job creation. In Sub-Saharan Africa, labor market impacts of digital technologies have been overwhelmingly positive,” the report stated.
The report further noted, “Access to fast internet via submarine fibre cables has increased employment by about 7 percent. Hours worked have also increased substantially. Similar effects have been observed in South Africa and with mobile broadband expansion in Nigeria, Rwanda, Senegal, and Tanzania.”
World Bank explained that these impacts are driven by both supply factors such as increased access to jobs and higher education uptake and demand factors, including enhanced business dynamics via net firm entry and productivity growth.
Access to reliable and affordable internet has enabled new forms of enterprise in Nigeria, from e-commerce and digital payments to remote work and tech-enabled services.
“For example, high-speed internet in Africa has attracted more foreign direct investment (FDI), particularly in finance, technology, retail, and health services. Such investments foster new firm entry, enhance competition, and increase aggregate productivity and employment,” the report said.
Nigeria’s ICT sector remains one of the country’s fastest-growing industries, contributing significantly to GDP and supporting innovation in finance, education, and agriculture. The report added that the digital economy now represents a growing share of Nigeria’s formal employment base, with startups and tech hubs playing key roles in youth employment and service exports.
However, the World Bank cautioned that benefits remain uneven, citing rural access gaps, high data costs, and limited electricity supply as constraints to wider participation. The bank recommended affordable access, expanded infrastructure, and strengthened data systems, supported by shared facilities and entrepreneurship hubs.
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