The Institute of Software Practitioners of Nigeria, ISPON, has raised concerns over the low economic contribution of the country’s indigenous software industry, questioning how a sector with more than one million direct and indirect workers could account for less than 0.2 per cent of Nigeria’s Gross Domestic Product. The concern was raised by the newly inaugurated ISPON President, James Agada, who said the figure reported by the National Bureau of Statistics appeared inconsistent with the size and level of activity within the industry.
Agada said Nigeria has more than 100,000 registered software companies, while ISPON itself has about 500 corporate members and 10,000 individual members. He suggested that the low GDP figure could partly reflect an undercounting of the industry’s economic activities, particularly as Nigerian businesses and government institutions spend significant amounts on foreign software licences, subscriptions, support and service fees.
The ISPON president also blamed limited local patronage and inadequate opportunities for indigenous software companies for restricting the sector’s growth. He argued that countries that have successfully developed their software industries deliberately use government patronage to support local firms, provide opportunities to test their products and help them develop solutions capable of competing internationally. He further identified access to capital, stronger business models and improved organisational structures as areas requiring urgent attention.
To improve visibility and documentation of the industry, Agada announced that ISPON would establish a National Software Industry Registry within the next six months. The registry is expected to document Nigerian software companies, practitioners, innovations and achievements. His concerns come against the backdrop of a broader technology sector that is making a significant contribution to the economy, with the wider Information and Communication sector accounting for 11.74 per cent of Nigeria’s real GDP in the second quarter of 2026.