Can Africa Build a Digital Economy Without Better Data? Nigeria Thinks the Answer Is No

The Nigerian Communications Commission is pushing for a data driven approach to telecoms regulation across Africa, arguing that policy decisions based on evidence, rather than assumptions, will determine whether the continent’s digital economy can compete globally.

Africa talks a great deal about building a trillion-dollar digital economy. The harder question is whether regulators have enough reliable data to make that ambition realistic.

That was the challenge thrown down by the Nigerian Communications Commission, NCC, at the African Telecommunications Union conference in Abuja. The Commission urged regulators across the continent to stop relying on fragmented information and begin making regulatory decisions based on credible data, industry evidence and closer cooperation.

It may sound like another policy discussion. It is not.

Poor regulation rarely begins with bad intentions. More often, it starts with weak information. If regulators do not understand how consumers use digital services, where investment is flowing or what risks are emerging, they end up reacting instead of planning. That creates uncertainty for businesses, slows infrastructure investment and leaves consumers exposed.

Speaking at the conference, NCC Executive Vice Chairman, Dr Aminu Maida, argued that the size or maturity of African telecom markets should not prevent countries from adopting evidence-based regulation. Instead, he called for greater collaboration among regulators to tackle common challenges facing the continent’s digital economy.

That point deserves more attention than it often receives.

Across Africa, digital services are growing much faster than the rules that govern them. Artificial intelligence, fintech, cloud computing, cross border payments and digital identity systems increasingly overlap. Yet regulation often remains fragmented, with multiple agencies collecting different datasets and applying different standards.

The result is predictable. Businesses spend more time navigating regulatory uncertainty than investing in innovation.

Compliance officers understand this problem well.

Good compliance depends on good information. Whether the issue is anti money laundering, cybersecurity, consumer protection or data privacy, organisations cannot manage risks they cannot measure.

That is why the NCC’s call matters beyond the telecommunications sector.

Data driven regulation is becoming the foundation of modern compliance. Regulators want evidence before making policy. Companies are increasingly expected to produce evidence that their controls work. Investors want evidence before committing capital. Even consumers are demanding greater transparency about how their information is collected and used.

The direction of travel is clear.

Evidence is replacing assumption.

Africa also faces another challenge that receives less attention. Digital businesses rarely stop at national borders, but regulation often does. A fintech company operating in several African countries may face different reporting requirements, licensing rules and data governance standards in each jurisdiction. That raises compliance costs and makes expansion more difficult, particularly for smaller firms.

A more consistent, evidence based regulatory approach would not eliminate those differences overnight, but it could reduce unnecessary complexity while strengthening consumer protection.

There is another reason this conversation matters.

Artificial intelligence is moving rapidly into financial services, telecommunications, healthcare and public administration. AI systems depend on high quality data. Regulators overseeing AI will also need high quality data to understand emerging risks and enforce new rules fairly.

Without that foundation, digital regulation risks becoming reactive, with policymakers constantly trying to catch up with technologies that have already changed the market.

For compliance professionals, the NCC’s message carries an important lesson.

Regulation is no longer simply about writing rules. It is increasingly about collecting reliable information, analysing risk and responding quickly as markets evolve. Organisations that invest in strong data governance today will be better prepared for tomorrow’s regulatory expectations.

Africa’s digital economy will not succeed because more laws are passed.

It will succeed if regulators, businesses and policymakers make better decisions because they have better information.

That may not sound as exciting as the next breakthrough technology.

In the long run, it is probably far more important.