OFFICIAL: Nigerian Government approves the use of blockchain
Article summary
- The federal government of Nigeria passed a nationwide blockchain policy with the aim of institutionalizing blockchain technology in the economic and security sectors of the country.
- The policy is the result of consultations with 56 institutions and figures, and a National Steering Council coordinated by NITDA will be established.
- NEPZA is in talks with Binance to set up a digital hub to accelerate blockchain technology in Nigeria, and the Central Bank of Nigeria has used blockchain to power the eNaira digital currency.
The federal government passed a nationwide blockchain policy on Wednesday, May 3rd, 2023.
Communications and Digital Economy Minister Isa Pantami made the announcement following the weekly meeting of the Federal Executive Council (FEC), chaired by President Buhari, in the meeting room of the Presidential Palace in Abuja.
Pantami said the new policy is the result of consultations with 56 institutions and figures, with the ultimate goal of institutionalizing blockchain technology in Nigeria’s economic and security sectors.
- “Nigeria has institutionalized blockchain technology, with all its components and types, with today’s approval of the National Blockchain Policy,” he said.
He said the Security Council has instructed regulators to work with the National Information Technology Development Agency to develop sector-wide regulatory tools.
The approval highlights the potential opportunities for blockchain technology, even though the study predicts that blockchain will contribute $1.76 trillion to global GDP by 2030. The establishment of a National Steering Council coordinated by NITDA is also part of the approval.
Some context
Last year, NITDA partnered with Domineum Blockchain Solutions to launch the 2022 Blockchain Scholarship Program. The program aims to train 30,000 Nigerians in blockchain technology and develop their professional skills in emerging technologies.
The Nigerian Export Processing Zone Authority (NEPZA) has announced that it is in talks with Binance to set up a digital economy that will help entrepreneurs accelerate blockchain technology in the West African country.
The partnership aims to create a digital hub similar to Virtual Dubai, as the report reveals. Free trade zones offer zero percent tax rates, preferential tariff rates, and 100% import and export tax exemptions to help improve international business.
NEPZA Managing Director Adesoji Adesugba said: “Former Flutterwave and Andela CEO Talent City, the latest initiative of Iyin Aboyeji, is also involved in the partnership.”
Blockchain is not a new technology for the Nigerian government. For example, the Central Bank of Nigeria (CBN) used the Hyperledger Fabric blockchain to power the country’s digital currency, eNaira.
This is a developing story.
