By Abel Johngold
In a significant step to safeguard Nigeria’s digital economy and ensure fair contributions from global tech companies, Senator Prince Ned Nwoko has outlined the reasons behind his bill to amend the Nigerian Data Protection Act, 2023 (SB 650, 2025).
The proposed amendment seeks to mandate social media platforms and digital enterprises to establish physical offices in Nigeria—ensuring they pay taxes, create jobs, and operate within the framework of Nigerian law.
Senator Nwoko, a known advocate for economic and social equity, stated that this legislation is long overdue.
For years, major tech corporations have operated in Nigeria, reaping enormous profits while sidestepping accountability.
These global companies have extracted billions of dollars from Nigeria’s digital market without making substantial contributions to its economy.
Lacking physical presence, they avoid taxation, limit employment opportunities, and provide no local channels for legal recourse. This bill aims to address these imbalances.
1. Repatriation Through Taxation
Nigeria is estimated to lose around $10 billion annually in tax revenue due to these companies’ refusal to set up local offices. Over the past decade, the nation has forfeited over $50 billion in potential earnings.
The bill would require these digital platforms to register with the Corporate Affairs Commission (CAC), ensuring they pay appropriate taxes and contribute directly to Nigeria’s economy.
2. Job Creation for Nigerian Youth
With millions of talented young Nigerians seeking employment, the bill proposes that digital firms not only open offices but also hire local staff.
This move could result in over 200,000 direct jobs in areas like customer service, content moderation, cybersecurity, and tech development—empowering youth and spurring economic growth.
3. Technology Transfer & Compliance
A local presence would enforce compliance with Nigeria’s data protection and cybersecurity laws while encouraging technology transfer.
By engaging directly with Nigerian professionals, these companies can help grow the domestic tech sector and integrate global expertise into local industries.
4. Accountability & Legal Recourse
Currently, Nigerians affected by online abuse, defamation, or data breaches have limited options for redress.
This bill ensures that digital companies register within Nigeria, making them accessible and accountable under Nigerian law.
Senator Nwoko noted that nations like France, Ireland, and the UK have enacted similar legislation, compelling tech giants to comply, pay taxes, and generate jobs.
Some countries have even restricted access to non-compliant platforms until they align with local laws.
“If they can do it, why not Nigeria? Are we less of a nation?” Senator Nwoko challenged, underscoring that the bill is not anti-business but pro-fairness and economic justice.
Senator Ned Nwoko’s message is clear: To operate in Nigeria’s digital space, companies must register, pay taxes, and contribute to job creation.
Nigeria is taking control of its digital future—and under Senator Nwoko’s leadership, the era of unregulated exploitation by global tech giants is nearing its end.
