The African Finance Corporation (AFC) has teamed up with Nigeria’s digital management company, Itana, to create Africa’s first digital economic zone.
Phase one of this initiative, worth $100 million, is already in progress and involves partnerships with PwC Nigeria, Future Africa, and the Charter Cities Institute. The initiative, known as the Digital Free Zones in Nigeria (DIFZIN), aims to promote the development of digital hubs across the country.
The partnership between AFC and Itana signals a major push toward fostering a robust digital economy in Nigeria and Africa at large. By developing this digital economic zone, the AFC aims to position Nigeria as a leader in the continent’s tech revolution.
As part of this first phase, Itana will build a tech campus in Nigeria, which is expected to host more than 5,000 students. This digital zone will bring together over 2,000 members from various tech fields, fostering collaboration and innovation. The goal is to create a thriving environment for Africa’s digital economy and drive job creation, innovation, and sustainable economic growth.
Since its inception, Itana has already secured $2 million in investments and launched a one-stop-shop app that simplifies company registration and business banking. The platform is also set to offer additional services like visa processing and tax filing to further streamline business operations.
Businesses that register as free zone enterprises with Itana stand to benefit from significant tax exemptions, including relief from corporate income tax, value-added tax, and import duties on physical goods. This will offer startups and digital companies in Nigeria a competitive advantage as they scale up operations.