Nigeria has initiated the active investment phase under its Investment in Digital and Creative Enterprises (iDICE) program, marking a major step forward in the development of Nigeria’s startup ecosystem by providing both funding and non-financial support to help local startups grow and thrive.
The iDICE program is backed by a mix of international development partners and the Nigerian government, with its Bank of Industry being the executing body for the initiative, working alongside the African Development Bank (AfDB), the Islamic Development Bank (IsDB), and the French Government’s Agence Française de Développement (AFD).
iDICE is built upon three main pillars: skills and enterprise development, access to finance, and enabling environment and institutional support.
- Skills and Enterprise Development: The iDICE program aims to train approximately 175,000 young individuals in digital and creative skills, as well as support over 200 tech and creative startups and provide non-financial services to around 450 digital technology SMEs.
- Access to Finance: There is also the aim to establish the DICE Fund as an independently managed venture capital that provides equity, quasi-equity, and debt capital funding to startups and SMEs. As such, iDICE will invest up to $137 million as equity and $110 million as loan to startups.
- Enabling Environment and Institutional Support: The Nigerian government aims to use iDICE to create pro-business policies and regulatory frameworks, including operationalizing the 2022 Startup Act, and to improve conditions for technology and creative businesses.
In the program’s recent major move, iDICE became an anchor investor in Ventures Platform Fund II, a pan-African seed-stage venture fund that reached a $64 million first close this month, with a target final close of $75 million. The fund’s co-investors include the International Finance Corporation (IFC), Standard Bank of South Africa, and the British International Investment (BII).
Ventures Platform was also selected as the Fund Manager for the technology component of iDICE back in August, as it has a strong track record of investing in African startups like Paystack, Piggyvest, Moniepoint, and LemFi.
Now looking ahead, Nigeria under the iDICE program plans to launch two additional funds in 2026, which includes a Creative Sector Fund dedicated to creative startups and a Fund of Funds to invest in smaller capital pools and emerging fund managers. These expansions will particularly help extend support to startups across Nigeria, furthering the goal to accelerate tech growth and innovation across the entire continent.
Nigeria’s tech ecosystem has long been one of the largest and most dynamic in Africa, boasting of incredible startups that have achieved unicorn status like Flutterwave, Moniepoint, Paystack, Opay, etc.
However, it doesn’t erase the fact that early-stage startups often struggle with funding gaps. It is why the government’s direct participation through iDICE is designed to de-risk investment, attract private capital, and provide a clear signal of policy commitment to innovation.
This initiative is expected to help bridge the funding gap and support the next generation of Nigerian startups as they scale and compete on the global stage.
Vice President Kashim Shettima, who chairs the iDICE Steering Committee, described the launch of the investment phase as a significant milestone that is aligned with current President Bola Ahmed Tinubu’s Renewed Hope agenda.
“The commencement of investing by iDICE is an exciting milestone and a leap forward in the determined efforts of the Government of Nigeria, under the leadership of His Excellency President Bola Ahmed Tinubu, to deliver on our vision of unleashing the full potential of Nigeria’s young people, in line with the Renewed Hope agenda,” Shettima said.
iDICE’s success is also tantamount and seen as crucial for unlocking the potential of Nigeria’s youth population and achieving innovation-driven transformation. As such, the program is expected to generate $6.4 billion in economic benefits and create around 6 million jobs for young Nigerians.
However, what remains to be seen is how these ambitious plans will quickly translate into tangible results on the ground and whether the broader African continent can replicate this model to unlock its untapped potential.
