The first-ever Arewa Tech Fest is scheduled for September 25 and 26, 2024, in Kano, Nigeria. To support young Nigerian innovators, a tech fund will be launched as part of the event.

On Monday, September 23, the Arewa Tech Fest, a technology festival in northern Nigeria, announced the launch of a $50 million fund named the Arewa Tech Fund. The initiative aims to foster a strong digital ecosystem in the region.

“The Arewa Tech Fund represents a significant step towards harnessing the potential of our youth and fostering a culture of innovation that will not only benefit Northern Nigeria but also have a far-reaching impact across the nation. We are committed to investing in solutions that drive sustainable growth, and this fund will play a vital role in building the next generation of tech leaders and innovators,” said Mallam Nasir El-Rufai, former governor of Kaduna State and one of the project’s initiators.

This initiative comes at a time when investment in Africa’s tech sector has been declining. According to the Africa 2023 Investment Report Crisis or Adjustment by Briter Bridges, this drop is not due to a lack of sector appeal but rather the absence of mega-deals ($100 million+ funding rounds) as global venture capital markets slow down. 

This global slowdown has impacted African start-ups, with 89% of venture capital in the continent’s tech ecosystem coming from foreign sources, according to the United Nations Development Programme (UNDP). In Nigeria, start-ups raised $1.8 billion in 2021, $1.2 billion in 2022, and just $469 million in 2023, according to Partech Africa data.

The Arewa Tech Fund will provide local innovators with the capital and resources necessary to develop their tech projects. In the long term, the fund is expected to stimulate economic growth and create jobs in the region.

Adoni Conrad Quenum