Enugu Govt moves to domesticate Nigeria Startup Act for economic growth 

Enugu state Government has held a workshop on domestication of  Nigeria Startup Act (NSA) to create a conducive legal and operational environment for startups in Enugu State,.

Speaking at the event Organised by the Enugu State Government through the Enugu SME Center in conjunction with the National Information Technology Development Agency( NITDA) through its Office for Nigerian Digital Innovation (ONDI) on Friday, in Enugu , the Special Adviser to the Governor on Digital Economy & MSMEs and Director-General, Enugu SME Center, Arinze Chilo-Offiah, said the Nigeria Startup Act is also aimed at promoting innovation, regulatory efficiency, and improved funding access for startups.

 He said the  Nigeria Startup Bill was passed   in 2022 . to help the digital ecosystem, people in the digital economy space, people in the creative space, which is thriving significantly now. and were one of the major contributors to Nigerian Gross Domestic Products(GDP).

Pix- Arinze Chilo-Offia

He noted that last two years , Nigeria received Billions of dollars in FDI investments technology related industries and Startups especially around renewable energy.

He explained that they will take the tenants of the Nigerian Bill and domesticate it  for Enugu.

Chilo- Offiah also said the essence of, the programme was  to invite meet some of the stakeholders which included Startup founders ,academia,  government officials, those that fall into that space and get their feedbacks on each of the segments of the Startup bill.

“Some of the segments were ,things around funding, things around skills development, Startup registration, Startup labelling, setting up of the national council for innovation, digital economy, how to domesticate it to realize maximum benefits among others.

Pix: Adenike Okegbu (L) Arinze Chilo-Offia (R)

He noted that His Excellency, Dr Peter Mbah had the mandate to take Enugu state’s GDP to $30billion  and the Tech ecosystem was going to be a major contributor to that.

 On Startup fund he said, the federal Government had a Startup scheme of N10billion annually and NISA, Nigerian Investment Bond was going to manage the fund.

He added that there were several programs that came from the federal Government, for instance, Investment in Digital and  Creative  Enterprise ( IDACE) which was a a $217million project for people in the Tech and Creative legal system.

Pix: Zane

“So, what this does for Enugu is how we will create our own system that will tap into this funding as well as invest your own seed capital into the funds.Enugu state can start up with a particular amount and investors can invest in that fund,” he said.

He further explained that , ” it’s an investment fund. We bring in our own funding to it. We can bring in our own seed capital and cap into that fund as a State government’.

According to him, “the Nigeria Startup Bill is under NIDA and we have our partners, ONDI that are supporting in this initiative , but like I said, it’s for every state tto domesticate it to their own need.”

 Speaking at the event, an investor in Enugu ,Ugochukwu Aronu, said the N10billion waa a small amount for 36 states. He however commended the provisions of the Nigeria Startup Act which says state can focus on one thing to solve their local problems .

Pix: Participants

“I think it is a great value  that they are bringing. I think  to be able to do that , we have to identify those major  values  that companies  in Enugu state  basically was trying to brings to the table. . We should be thinking about research  that will make us different.

In terms of entertainment people can make money on their own without waiting for Enugu . People can make video games.. It’s a big market. People can make money on it, he suggested.

  .

 Pix: Aronu

In his speech, , head, Strategy,   research and Analytics,   Office of Nigeria Digital Innovation , Jerry Zanes ,said what they were trying to do was to ensure that ,” the  Startup Act is not just held at the national level but to be domesticated across the  states. He said State can exceed the federal Government ‘s fund. He called for creation of enabling environment for businesses to thrive.

Zane said the aim of the Act was to enable growth in the digital sector.. According to him, the first part  is for the federal government to  implement the provisions of the Act which included,  training, regulations, , support, technology development among others.

He added that the second part for the state government to ensure that the  provisions  were domesticated, saying that Enugu can create it’s own investment scheme.

pix: Zane

He noted that the forum was to create awareness of the NSB, to come out with a specific framework for adoption of a domestication of the Act in Enugu and to ensure that the Startup is domesticated through the House of Assembly.

 “State can raise the N10billion According to him, between 2019 to 2022  the Start up ecosystem raised $4billion and that was before the Start up Act was in place.

“Create that enabling environment for eco system not just at the federal level but bringing it down to state level, he urged the government.

Pix : Participants

A resource person , Ahmad Sagir spoke on the Nigeria Startup Act and the Nigeria Start up portal. He said the Nigeria Startup Bill was signed in  October,2022 .

According to him, the Act provides access to finance, access to tools, resources, opportunities for contracts and other engagements.

The Act would  help in shaping the future of innovation and entrepreneurship in Enugu State.

Other benefits include tax reliefs, streamlined compliance processes, and incentives for youth- and women-led startups, particularly in AgTech, health innovation, and clean energy sectors.

Proposed initiatives for Enugu State feature a startup portal, seed fund, innovation hubs, and specialized training programs to advance the digital economy

Bernard Nwabueze, ONDI Consultant spoke on objectives and Application of the Act. He said the objectives were to provide  the legal framework for Startup, promote innovation,  and technology driven Startup as drivers of Nigeria digital economy., to provide for tech related talents  among others.

On registration, he said the Act is applicable to only entities registered with Corporate Affairs Commission(CAC) and they should be limited liability companies.. He explained that for companies pre labelled  as partnership, they will  operate for six  and convert as a limited liability  company.

Adenike Okube

Fielding questions from newsmen, the Special Adviser to the Governor on Revenue, Adenike Okebu, said the program  was very vital  for State to achieve what it had to achieve. She noted that when the youth thrive, states will thrive..

On the issue of multiple taxation in the state, Okebu said the  state government had brought it down through payment of revenues into one account.

The two day workshop which will end on Saturday had over 100 participants in attendance.

Author: Maureen Ikpeama

.

Leave a Reply

Your email address will not be published. Required fields are marked *