By 
The National Information Technology Development Agency (NITDA) has called on Nigeria’s regulatory agencies to strengthen collaboration as the Federal Government moves to establish a National Regulatory Sandbox for testing emerging technologies under appropriate regulatory supervision.
The Director-General of NITDA, Kashifu Inuwa, said coordinated action among regulators would be essential to creating a sandbox that allows innovators to develop and test new technologies while preserving regulatory standards, consumer protection and public trust.
Inuwa made the remarks through the National Coordinator of the Office for Nigerian Digital Innovation (ONDI), Victoria Fabunmi, at the National Regulatory Sandbox Governance and Implementation Planning Workshop in Abuja.
The workshop represents a transition from the design stage of the initiative to implementation, with participating regulatory institutions expected to review and validate the proposed governance framework before the sandbox becomes operational.
According to Inuwa, ONDI has spent several months laying the groundwork for the initiative through stakeholder consultations, ecosystem mapping, regulatory assessments and the development of a draft governance and implementation framework.
“The work completed so far provides a solid foundation, but the National Regulatory Sandbox can only achieve its objectives through collective ownership by all relevant regulatory institutions,” he said.
Creating a coordinated testing environment
The proposed sandbox is designed to provide innovators with a controlled environment to test emerging technologies and business models in collaboration with regulators.
The approach would allow regulatory authorities to identify potential risks at an early stage, assess how existing rules apply to new technologies and determine where additional regulatory guidance may be required.
The initiative could be particularly relevant as Nigerian startups increasingly expand beyond established areas such as financial technology into healthcare, agriculture, mobility and other sectors where regulatory responsibilities are distributed among different government agencies.
Inuwa said the Technical Working Group was established to bring together the expertise, experience and statutory mandates of participating institutions in developing a regulatory framework suited to Nigeria’s rapidly evolving digital economy.
He urged regulators to view their respective mandates as complementary, rather than competing, responsibilities, noting that greater coordination would help create a flexible framework capable of responding to emerging technologies without compromising regulatory integrity.
The workshop is expected to review the proposed governance structure, test its underlying assumptions and incorporate recommendations from regulators and other stakeholders before the final framework is adopted.
Participants are also expected to identify implementation gaps, clarify institutional responsibilities and agree on priority actions required to operationalise the National Regulatory Sandbox.
Startups seek greater regulatory clarity
Implementing Partner at Druve, Ojonoka Yusufu, said the sandbox would provide a structured mechanism for regulators and innovators to engage on emerging technologies while ensuring compliance with applicable laws.
She said the workshop was intended to establish a common understanding among participating agencies, build consensus around the sandbox’s operating model and identify potential challenges before implementation.
“We do not have anything set in stone yet. The idea is to work together to build a common understanding and ensure that all participating regulators and stakeholders are aligned on the objectives and implementation of the National Regulatory Sandbox,” Yusufu said.
The emphasis on inter-agency coordination reflects the regulatory challenges faced by technology companies operating across multiple sectors.
A startup developing a product that combines financial services, healthcare, telecommunications or transportation technologies, for instance, may need to engage several regulators with different mandates and compliance requirements.
A coordinated regulatory sandbox could provide a common mechanism for assessing such innovations while giving businesses greater clarity about the requirements they need to satisfy before commercial deployment.
The proposed framework is intended to complement existing regulatory institutions rather than replace them.
Yusufu said the need for a coordinated regulatory approach has become more pressing as Nigeria’s technology and startup ecosystem continues to expand.
Nigeria’s ICT sector remains an important contributor to economic activity, while its startup ecosystem has attracted international investment and produced companies operating across an increasingly diverse range of industries.
According to Yusufu, the expansion beyond fintech has created a need for regulatory mechanisms capable of addressing technologies and business models that may not fit neatly within traditional regulatory boundaries.
Supporting responsible innovation
The National Regulatory Sandbox is backed by the Nigeria Startup Act, which provides a legal foundation for initiatives designed to support startups and improve Nigeria’s innovation ecosystem.
Yusufu described the proposed sandbox as a multi-agency innovation governance mechanism that would allow regulators and innovators to engage earlier in the development cycle of emerging technologies.
Such engagement could help reduce regulatory uncertainty for startups while enabling authorities to identify consumer protection, market and public-interest risks before new technologies are deployed at scale.
For NITDA and participating agencies, the immediate task is now to translate the proposed framework into an operational model that regulators and innovators can use effectively.
Inuwa said the Abuja workshop would help establish clear implementation pathways, strengthen institutional partnerships and identify priority actions required to bring the initiative into operation.
He encouraged participants to provide practical recommendations that would shape an effective, innovation-focused framework capable of supporting sustainable economic growth and strengthening Nigeria’s competitiveness in the global digital economy.
Comments