The Consul General at the United States Consulate in Lagos, Will Stevens, has stated that 60 per cent of Nigerian tech startups are incorporated in the United States, highlighting the growing collaboration between the tech sectors of both countries.

He stated this recently at the Africa Startup Festival in Lagos, where he discussed the increasing importance of Nigeria’s tech sector to its economy.

The annual event brought together top investors, founders, builders, and operators across the tech ecosystem.

In his keynote address, Stevens pointed out that the Information and Communication Technology sector now contributes 18 per cent to the country’s GDP, surpassing the share of the oil and gas industry.

“You represent the future of Nigeria’s economy and its relationship with the United States,” he told the gathering.

“By incorporating in the US, startups gain valuable protections for intellectual property and have access to venture capital in dollars, which helps minimise risks tied to currency fluctuations.”

The consul also noted that the US market is particularly attractive to Nigerian entrepreneurs seeking connections with global funding sources.

Stevens shared that 60 per cent of the venture capital invested in Nigeria’s tech sector comes from the US, underscoring the vital role American investors play in the growth of Nigerian startups.

Over the past two years, Stevens mentioned, the US Mission in Nigeria has worked to deepen these ties.

He referred to the Select USA programme, which connects US investors with international companies looking to incorporate or expand in the US.

He also noted that half of Nigeria’s delegates to the programme have come from the tech sector in recent years.

“We’ve made significant efforts to support the tech ecosystem here,” Stevens said. “Our goal is to connect Nigerian startups with US investors, providing them with the resources and opportunities they need to grow.

“The increasing flow of US venture capital into Nigeria shows that our efforts are making a difference.”

Stevens also spoke about the benefits for Nigerian startups to join the American Business Council, which provides direct access to US policymakers.

The consul added that the US government is committed to supporting policy reforms in Nigeria that will encourage more investment, as well as offering expedited visa processing for startups.

Stevens explained that “About 60 per cent of Nigerian startups are incorporated in the US and are considered US businesses.

“This means they enjoy the same benefits as major corporations like Chevron, Exxon, and Microsoft, including the opportunity to participate in ABC and other business networks.”

Stevens also highlighted Nigeria’s growing significance in the global tech scene. He said. “Africa is the future.

“Nigeria, in particular, is on track to become one of the world’s largest economies by 2050.

“As startups, you hold the key to driving this transformation. We want to continue strengthening this relationship to ensure that both the US and Nigeria lead the way in technological innovation.”

Stevens reaffirmed the US government’s commitment to supporting Nigeria’s tech sector and ensuring its continued growth.

“We see tremendous potential for economic growth here,” he concluded.

“The future of Nigeria and its relationship with the US is incredibly bright, and we are committed to ensuring that the ties between our two nations continue to flourish.”

Punch

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In a groundbreaking revelation at the Global Tech Africa Conference in Lagos, the United States Consul General in Nigeria, Will Stevens, unveiled a staggering statistic: 80% of Nigerian startups are incorporated in the United States.

Stevens emphasized the pivotal role the U.S. plays in Africa’s digital landscape, with up to 60% of African startups being incorporated in the U.S. at the continental level.

Speaking on the increasing venture capital investments in African startups, Stevens highlighted that over 60% and 40% of venture capital funding in Nigeria and Africa, respectively, originates from the United States.

This robust financial support has contributed to the growth of the digital economy in the continent.Stevens underscored the active participation of U.S. private sector entities in advancing technology across various sectors of the African economy.

He noted that U.S. venture capital firms are heavily investing in African tech startups, with major players such as Techstars, Y-Combinator, and 500 closing over 100 significant deals in the first nine months of the year.

The Consul General expressed pride in the collaborative efforts between the U.S. government and African partners, particularly in Nigeria.

He outlined initiatives aimed at leveraging technological innovations to address pressing challenges in education, healthcare, agriculture, and other vital developmental areas.

Stevens disclosed that the U.S. government is working closely with Nigerian partners to implement electronic health records systems, provide technology training for healthcare workers, and improve access to affordable medicines and vaccines.

Notably, Nigerian health technology companies like Healthbotics and Helium Health have capitalized on U.S. programs to develop groundbreaking technologies, enhancing healthcare systems for underserved communities.

Highlighting the U.S.’s commitment to Africa’s digital transformation, Stevens concluded by stating that the United States remains the largest single donor of bilateral aid to health in Nigeria, with funding exceeding $15 billion over the last two decades.

The U.S.-Africa startup/venture capital scene, according to Stevens, continues to be a crucial bilateral corridor, fostering mutually beneficial partnerships between the two regions.

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