Nigeria Struggles With AI Skills Despite Increase in the Investment Sector

Nigeria struggles with AI skills despite a growing investment sector, according to a recent report released during Microsoft’s AI Skills Week in Lagos. The whitepaper titled “AI in Nigeria: Opportunities, Challenges, and Strategic Pathways,” published by Microsoft Nigeria in partnership with Lagos Business School and PwC, reveals that although Nigeria has about 50,000 AI workers, over 200 AI startups, 15 AI-focused universities, and produces around 2,500 AI graduates annually, there is still a short supply of AI skills in Nigeria.

Investment in Nigeria’s AI sector has increased significantly, from $150 million in 2022 to $400 million in 2025, showing strong confidence in the country’s AI potential. However, the report highlights a large gap between the demand for AI professionals and the supply of job-ready AI specialists. This shortage is mainly due to qualified AI professionals leaving the country and a lack of accessible, high-quality training programs specifically designed for AI skills development.

Artificial intelligence skills are in short supply in Nigeria because developing and deploying AI systems require expertise in areas like machine learning, data engineering, and model optimization, which remain scarce locally. The complexity of AI concepts also discourages many beginners from pursuing careers in this field. Additionally, many business leaders lack understanding of AI and its ethical considerations, which further slows down AI adoption in organizations.

To address the Nigeria AI skills gap, several initiatives have been launched. The Federal Ministry of Communication and Digital Economy runs the 3MTT (Three Million Technical Talent) program, aiming to train millions of technical talents. Microsoft has also committed $1 million to provide AI skills training for 1 million Nigerians through its AI Skilling Initiative. These programs focus on equipping youth, women, business leaders, and public sector executives with in-demand AI skills to prepare a future-ready workforce.

The report recommends that businesses invest in training and upskilling their employees so that workers view AI as a tool that enhances their abilities and opens new career opportunities. Integrating AI into Nigeria’s education system is also seen as a crucial step to speed up AI skills development. This will help bridge educational gaps and prepare Nigeria’s large youth population for the global digital economy.

Despite the challenges, Nigeria’s AI market is expected to grow rapidly, projected to increase by 27.08% annually from 2025 to 2030. With the right skills and infrastructure, AI could add an estimated $15 billion to Nigeria’s GDP by 2030, making it a key driver of economic growth.

Nigeria struggles with AI skills because the supply of qualified AI professionals is not keeping pace with growing demand. The short supply of AI skills in Nigeria is a major barrier to fully benefiting from AI investments. However, ongoing government and private sector initiatives aim to close this gap by training more Nigerians in AI, thus unlocking the country’s potential in this transformative technology.

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