IDICE Programm: AfDB ready to Disburse $618m to Nigerian Digital and Creative Economy
The African Development Bank (AfDB) has successfully concluded an agreement to allocate $618 million to Nigeria under the Investment in Digital and Creative Enterprise (i-DICE) initiative. Mr. Lamin Barrow, the Country Director-General for Nigeria at AfDB, revealed in Marrakesh, Morocco, that the Nigerian government is in the process of hiring a fund manager for the project.
Initiated on March 14, Nigeria’s iDICE programme introduced a $618 million technology fund to aid young investors, addressing fundraising challenges in the country’s technology and creative sectors. Former Vice President Yemi Osinbajo played a key role in the fund’s launch.
The funding structure includes a $170 million contribution from AfDB, $116 million from Agence Francaise de Developpement, and $70 million from the Islamic Development Bank. Barrow noted that due to Nigeria’s government transition, the project’s implementation experienced a staggered timeline, allowing the new government to settle in.
The steering committee, chaired by the vice-president and comprising representatives from key ministries, has progressed to the disbursement stage. Barrow highlighted ongoing activities, including the recruitment of a transaction adviser and the Expression of Interest process for firms interested in managing the DICE funds.
The project gained support from the French government, with financial commitments amounting to millions of dollars. French Minister Catherine Colonnade, during her recent visit to Nigeria, endorsed the programme, foreseeing its potential to generate 65,000 startups in the country.
Barrow affirmed the collaborative effort between AfDB and the French government in investing in the i-DICE project. The French minister formalized the co-financing agreement, emphasizing that the French Development Agency and the Islamic Development Bank are key contributors. Barrow anticipates the imminent occurrence of the fund and fund manager recruitment processes, emphasizing the fund’s independent management to support startups.
Barrow further emphasized the significance of recent developments, stating, “Last week, the French minister that visited Nigeria signed the agreement for the co-financing as DICE is being co-financed by the French Development Agency and the Islamic Development Bank. All the processes are now virtually completed.”
He highlighted the imminent steps in the project, emphasizing the crucial role of the fund manager in independently overseeing the fund and providing vital support to startups. This collaborative effort, encompassing international financial institutions and government bodies, underscores a concerted push to boost Nigeria’s technology and creative sectors.
The commitment from the French government aligns with their belief in the transformative potential of the i-DICE initiative. The anticipated creation of 65,000 startups reflects a shared vision for fostering innovation and economic growth.
As the project advances, it stands as a testament to the cooperative efforts between the African Development Bank, the French Development Agency, the Islamic Development Bank, and the Nigerian government. The staged implementation, influenced by the transition in Nigeria’s government, demonstrates a strategic approach to ensure the project’s success.
In conclusion, the Investment in Digital and Creative Enterprise (i-DICE) initiative’s progress signifies a landmark collaboration in bolstering Nigeria’s technology and creative landscape. With substantial financial commitments and strategic planning, the project is poised to make a significant impact on the entrepreneurial ecosystem, fostering innovation and economic development in the region.
