Japan, Nigeria Signs Major Agreements To Promote Development Of Start-ups And Strengthen The Environment
The Federal Government of Nigeria and Japan signed two major agreements in Abuja on Thursday, April 10,2025 to promote the development of start-ups and strengthen the environment for addressing key social challenges.
The ceremony, held at the Ministry of Budget and Economic Planning, marked the official launch of the Project for the Establishment of a Start-up Hub in Abuja and funding mechanism specifically designed to support startups and compliment the establishment of startup hub. The agreements are backed by grants of approximately $9.9 million and $21 million respectively, provided by the Government of Japan.
Speaking at the event, Mr. Hitoshi Kozaki, Deputy Head of Mission and Counsellor at the Embassy of Japan in Nigeria, highlighted the importance of this collaboration.
“It is a great honor to witness the signing of these projects, which reflect the strong and evolving partnership between Japan and Nigeria,” said Mr. Kozaki. “The start-up hub in Abuja will become a central platform for aspiring entrepreneurs, while the funding project will support those offering innovative solutions to social issues. This initiative is the first of its kind and demonstrates Japan’s firm commitment to Nigeria’s development goals.”
He further noted that the funding mechanism, designed to operate over 13 years, will be co-funded by both countries and managed by the Nigeria Sovereign Investment Authority (NSIA). This marks the first time Japan has supported such a long-term entrepreneurship project abroad.
The Minister of Budget and Economic Planning, Senator Abubakar Atiku Bagudu during his Remark,lauded the Japanese Government, the Embassy, and JICA for their continued support to Nigeria’s development priorities, particularly in fostering innovation, job creation, and institutional capacity building.
“This remarkable event is yet another demonstration of Japan’s commitment to Nigeria’s growth. These two projects align directly with our Renewed Hope Agenda, which is based on confronting historical underinvestment and creating new opportunities for our youth and entrepreneurs,” the Minister stated.
He noted that start-ups today are globally recognized as key indicators of innovation and economic vitality, and stressed the importance of public-private collaboration to unlock Nigeria’s full potential.
“We do not have the public resources to compensate for decades of underinvestment, but we are confident in the power of partnerships. Japan has proven to be an exceptional partner,” he added.
Bagudu also underscored the significance of local institutional ownership in development programs, commending the Japanese Government for entrusting Nigerian public institutions—NITDA and NSIA with implementation responsibilities.
“It is not just about the quantum of funds. What matters is the commitment. This gesture represents a leap towards unlocking billions of dollars in private capital, venture funding, and investor confidence,” the Minister said. “We are particularly proud that this support recognizes the credibility and performance of our own institutions.”
He further noted Japan’s growing interest in Nigeria as a destination for software engineering talent and outsourcing opportunities.
“I was told by the Japanese Ambassador that Nigeria ranks among the top countries for sourcing software engineers. This shows our tech ecosystem is already gaining global recognition and this project only strengthens that trajectory.”
The Minister concluded by reiterating Nigeria’s full support for the successful implementation of the projects and called for deeper trade ties and bilateral engagement.
“Our President, His Excellency Asiwaju Bola Ahmed Tinubu, believes in a model of development that is inclusive, reduces poverty, grows trade, and prioritizes human capital. These initiatives are a clear reflection of that vision,” he said. “We must work together as partners to achieve shared prosperity”.
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