The Africa Finance Corporation (AFC) has announced its role in leading the financing for Itana’s Digital Economic Zone, a project estimated at $100 million. This facility, to be constructed in Lagos, is designed to support global and Pan-African technology, finance, and service-based businesses, facilitating their expansion across Africa and unlocking the continent’s digital economy.
In a statement by the AFC, the partnership with Itana was formalized during the Global Africa Business Initiative (GABI), held on the sidelines of the United Nations General Assembly (UNGA) in New York, in the presence of global government and business leaders.
Project Overview
The Itana Digital Economic Zone, based in Lagos, Nigeria, is envisioned as a pioneering online jurisdiction and a gateway for global businesses to operate in Africa. Through this zone, companies will be able to remotely incorporate and run their operations with access to optimized business incentives, including favorable tax, immigration, and banking policies tailored for the digital economy.
The zone will feature eco-friendly live-work districts, a live-in accelerator program, and a tech campus in Lagos. It aims to provide the necessary infrastructure and support for startups and established businesses to scale and compete globally. Additionally, the project will fund startups through Itana’s accelerator program, Accelerate Africa, in partnership with Future Africa.
Africa’s Silicon Valley
Luqman Edu, CEO of Itana, likened the project’s vision to global hubs such as Delaware, Silicon Valley, Dubai’s DIFC, and Estonia’s e-government model. He noted that Itana will serve as a crucial entry point for both local and international businesses looking to expand their operations across Africa.
“Itana is poised as the gateway to doing business in Africa. Local and international businesses looking to expand their operations across Africa will naturally look to Itana as their point of entry,” Edu stated.
AFC’s Role and Commitment
AFC President and CEO, Samaila Zubairu, emphasized the importance of the digital economy for Africa’s future, particularly with the increasing adoption of mobile technology, a growing youth population, and the rise of digital commerce. Zubairu highlighted AFC’s pride in partnering with Itana to create Africa’s first digital economic zone, describing it as a significant step toward driving innovation, job creation, and sustainable economic development across the continent.
“Africa’s digital economy is poised for significant expansion and innovation following the rapid adoption of mobile technology, a burgeoning youth population, and the growing importance of digital commerce and services,” Zubairu said.
Itana is Nigeria’s first licensed digital economic zone management company. The AFC, in collaboration with partners such as Future Africa and PwC Nigeria, has been working closely with Itana to advance the establishment of digital free zones in the country. This initiative is supported by the Nigerian Federal Government, with a steering committee chaired by President Bola Tinubu.
Last year, Itana secured a funding round supported by major technology venture capital firms and industry leaders, including LocalGlobe, Amplo, Pronomos Capital, and Future Africa. The Itana Digital Zone, to be located in Alaro City within the Lekki Free Zone, is set to position Nigeria as a major player in the global digital economy.
