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HomeBusinessHow AI bridges the digital divide for Nigerian small businesses

How AI bridges the digital divide for Nigerian small businesses

GENEVA, Switzerland, (ITC) – In Nigeria’s Imo State, small businesses make food products that could sell well in other parts of the country and the region.

By working with the IDEAS project at the International Trade Centre (ITC), even entrepreneurs with minimal experience on computers learned how artificial intelligence (AI) can boost their business. They learned to generate eye-catching images and compelling product descriptions, so their goods can compete in larger markets.

That’s especially important as the African Continental Free Trade Agreement (AfCFTA) comes into effect, clearing the way for new business opportunities in the region.

‘While we do not employ professional content creators, the simple-to-use digital tools allow us to present our products in a compelling way and engage potential customers,’ said Ogechukwu Domendu, founder of Crème Bay Integrated Services.

Through the IDEAS (Inclusive Digital Entrepreneurship in the Agri-food Sector) project, he learned to use generative AI tools for creating social media posts and product descriptions, communication with buyers, and more. He also listed his products on the Jiji marketplace, a major online platform in Nigeria.

‘I am happy to see that our products gain more traction as we reposition our business for selling across Nigeria and Africa, taking advantage of AfCFTA. Today, we aim to find new markets domestically and aspire to become an international trading company.’

Ohakwe Uchechi Cynthia, founder of Grandeur’s Foods, agreed that the training showed her how to make her products more visible online.

‘The IDEAS project helped me understand how to better position my product and reach new customers through online channels,’ she said. ‘I am happy to see that my products gain visibility and new clients. While I am currently targeting the domestic market, the IDEAS project helped me shape the vision for the future export journey by assessing the demand in various markets through digital tools. I am looking forward to growing my business to other African markets and beyond.’

The project’s closing ceremony on 9 July in Nigeria’s capital Abuja celebrated the achievements of entrepreneurs.

IDEAS was funded by the government of Japan. The Nigerian Federal Ministry of Industry, Trade and Investment provided the necessary framework and resources to ensure the project’s success.

AI makes digital trade easier for small businesses 

IDEAS brought ITC, with its extensive e-commerce training experience, into a partnership with Microsoft. The non-profit Data Science Nigeria worked with Microsoft to train local agri-food producers on generative AI tools. Wootlab Innovations, another Microsoft partner, provided foundational training on office suite software and business management. Hands-on workshops also helped entrepreneurs create logos, social media posts, and product descriptions.

Navigating the future of e-commerce – policy and regulatory initiatives 

The IDEAS project closing ceremony coincided with a public-private dialogue titled ‘Navigating the Future of E-commerce’, which touched on national policy and regulatory frameworks. It also looked at multinational initiatives, such as the World Trade Organization’s Joint Statement Initiative on E-commerce and the AfCFTA Protocol on Digital Trade. Government officials provided an update on Nigeria’s digital trade policies. Business leaders shared insights into the regulatory and investment challenges they face, particularly on how to support e-commerce growth. At the end of the day, the participants concurred that coordinated efforts across various sectors could unlock the vast potential of e-commerce in Nigeria.

A shared vision for the future 

Nura Abba Rimi, Permanent Secretary of the Federal Ministry of Industry, Trade and Investment, said the National E-Commerce Policy and Strategy (NEPS) would harmonize guidelines to foster job creation, entrepreneurship, and digital transformation. Nigeria is emerging as Africa’s largest e-commerce market. NEPS envisions doubling the e-commerce market and creating 2.5 million jobs by 2027. NEPS outlines 10 focus areas, such as digital payments, logistics infrastructure, and consumer protection.

Hiromi Otsuki, deputy head of mission from the embassy of Japan in Nigeria, said the IDEAS project exemplifies how strategic collaboration can unlock new pathways for inclusive growth and prosperity. Japan actively supports initiatives like IDEAS, empowering small businesses, especially those from disadvantaged communities, to embrace e-commerce.

The IDEAS project is not just about digital literacy and e-commerce skills; it’s about creating an inclusive digital economy that benefits everyone. The insights gained from the public-private dialogue and lessons learnt from the IDEAS project implementation, along with the partnership with Microsoft, will serve as a foundation for future initiatives aimed at promoting e-commerce in an inclusive manner.

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