ABUJA: The Nigerian Senate has taken a major step toward requiring global social media and technology companies operating in the country to establish physical offices in Nigeria, as stakeholders overwhelmingly supported the proposal during a public hearing held in Abuja on Thursday.
The hearing, organised by the Senate Committee on Information and Communications Technology (ICT) and Cyber Security, also received widespread backing for another bill seeking to establish an Artificial Intelligence (AI) Academy in Omuo-Ekiti, Ekiti State.
The social media bill, sponsored by Senator Ned Nwoko (Delta North), proposes an amendment to the Nigeria Data Protection Act, 2023, making it mandatory for social media companies serving Nigerian users to maintain physical offices within the country’s territorial boundaries.
The AI Academy bill is sponsored by Senator Yemi Adaramodu (Ekiti South), Chairman of the Senate Committee on Media and Publicity.
Opening the public hearing, Chairman of the Senate Committee on ICT and Cyber Security, Senator Shuaib Salisu (Ogun Central), described both bills as strategic initiatives aimed at accelerating Nigeria’s digital transformation.
According to Salisu, compelling international technology firms to establish local offices would improve regulatory engagement, strengthen data protection, and enhance accountability within Nigeria’s rapidly expanding digital ecosystem.
He added that the proposed Artificial Intelligence Academy would serve as a national centre of excellence for AI education, research, innovation and technological development.
President of the Senate, Godswill Akpabio, represented by Deputy Senate Leader Senator Lola Ashiru (Kwara South), assured stakeholders that the proposed legislation is not intended to discourage investment or restrict the operations of technology companies.
Instead, he said, the objective is to encourage stronger corporate engagement with Nigeria, Africa’s largest digital market.
According to him, requiring companies to maintain a local presence would improve collaboration with regulators, users and government institutions while promoting responsible corporate citizenship.
Defending the bill, Senator Ned Nwoko rejected claims that the legislation targets global technology firms or creates barriers to investment.
“This Bill is neither punitive nor hostile to innovation. It is not designed to frustrate investment or discourage technology companies from operating in Nigeria,” he said.
“Rather, it seeks to deepen their engagement with Nigeria by encouraging them to become true corporate citizens.”
The Delta North lawmaker noted that several countries with smaller populations and digital markets than Nigeria have successfully attracted global technology firms to establish regional headquarters and operational centres.
He cited countries including the United Kingdom, India, the Netherlands, Spain, Singapore, the United Arab Emirates, South Africa, Brazil, Australia and Japan as examples.
According to Nwoko, offices established in these countries support engineering, artificial intelligence research, cloud services, customer support, legal compliance, public policy, advertising, trust and safety operations, sales and product development.
The senator argued that encouraging companies such as Meta, Google, TikTok, LinkedIn and X to establish Nigerian offices would deliver significant economic benefits.
These, he said, include job creation, increased tax revenues, technology transfer, improved regulatory cooperation, innovation and expanded opportunities for Nigerian technology professionals.
Using Ireland as a case study, Nwoko explained that the presence of major technology companies had transformed the country into one of Europe’s leading technology hubs.
He questioned why Nigeria, despite having Africa’s largest digital market and millions of active internet users, should continue to miss out on similar opportunities.
If countries with significantly smaller populations and digital markets than Nigeria have secured these investments and benefits, why should Nigeria continue to stand on the sidelines?” he asked.
The Senate Committee is expected to review memoranda submitted by stakeholders before presenting its report and recommendations to the Senate for further legislative consideration.
If eventually passed by the National Assembly and signed into law by President Bola Tinubu, the legislation could significantly reshape the relationship between Nigeria and major global technology companies by requiring them to establish a formal operational presence within the country.
Supporters believe the move would enhance accountability, improve user engagement, strengthen regulatory oversight and position Nigeria to benefit more fully from the rapidly growing global digital economy.
