In a pivotal move to bolster Nigeria’s digital economy, the African Development Bank (AfDB) has approved an $80 million loan to finance the Ekiti Knowledge Zone (EKZ) project. This groundbreaking initiative is poised to transform Ekiti State into a hub for digital innovation and entrepreneurship, generating employment opportunities, fostering economic growth, and contributing to the nation’s overall competitiveness.

The EKZ project envisions a vibrant ecosystem where cutting-edge research, innovation, and entrepreneurship converge. This ambitious undertaking aims to position Ekiti as a global destination for talent and investment, accelerating the development of digital technologies and driving economic diversification.

The EKZ is a federal government-backed and state-led Special Economic Zone (SEZ) designed to attract private sector investment in the digital technology and knowledge economy. The SEZ offers a range of fiscal incentives, including free repatriation of capital, profits, and dividends for foreign investors, tax holidays, waivers on import and export duties, and expatriate quotas for companies operating within the Zone.

The EKZ project is expected to generate over 26,000 jobs and contribute an estimated $14 million annually in net economic benefits. It will attract technology firms, investors, and businesses, including tech start-ups, business process outsourcing firms, fabrication and production companies, research institutes, and corporate back-office operations.

The AfDB’s financing will support the development of world-class infrastructure within the EKZ, including a 20-hectare green technology park and essential services infrastructure such as roads, electricity, water supply, and wastewater treatment facilities. The project will provide ICT training to youth, fostering innovation and enhancing entrepreneurial skills. It will also establish the Ekiti State Innovation Fund to provide pre-seed and early growth stage funding, mobilizing investments into over 50 seed and early-growth start-ups.

Commenting on the approval, The Governor of Ekiti State, Mr. Biodun Oyebanji, stated, “This historic moment for Ekiti State is a testament to our commitment to fostering innovation, job creation, and sustainable economic growth. EKZ is not just a project; it’s a commitment to a better future for our State and Nigeria. We thank the AfDB, but also specially thank Mr. President, His Excellency, Bola Ahmed Tinubu; the Federal Executive Council, the Ministry of Finance and Coordinating Minister of the Economy, and all other stakeholders for their unwavering support during the approval process.”

Lamin Barrow, Bank Group Director General of the Nigeria Country Department, said: “The Ekiti Knowledge Zone Project design responds to the requirements of technology firms and prospective investors as indicated during the preparation phase, lessons learnt from similar Bank-financed projects such as the Cabo Verde and Senegal technology parks, and drew insights from good practices of similar initiatives in the continent and globally.”

The realization of the EKZ project is a testament to the collaborative efforts of the AfDB, the Ekiti State government, and various stakeholders. The project’s success will depend on continued collaboration and a commitment to innovation, entrepreneurship, and economic transformation.

With the EKZ project taking center stage, Ekiti State is poised to emerge as a gateway to innovation and technological advancement in Nigeria. The state’s commitment to knowledge-driven development, coupled with the support of the AfDB and the visionary leadership of the Ekiti State government, paves the way for a brighter future, where innovation and technology fuel economic growth and transform lives.