The Nigeria Data Protection Commission (NDPC) has issued a strong warning to state governments regarding the potential loss of investor confidence due to inadequate data protection measures. Vincent Olatunji, the National Commissioner and Chief Executive Officer of the NDPC, emphasized that as economic activities increasingly shift to digital platforms, establishing robust data privacy systems is crucial for attracting foreign investment.

Olatunji made these remarks during a data privacy implementation workshop held in Abuja, organized in collaboration with the Nigeria Governors’ Forum. He pointed out that effective data protection not only enhances the credibility of states but also fosters public trust, making them more appealing to investors. "A lot of countries that don’t have your data protection law, no party is ready to do business with you," he stated, highlighting the importance of having clear data governance frameworks in place.

The NDPC chief explained that states are significant data controllers, as their various ministries and agencies handle large volumes of personal and commercial information while providing public services. He urged state governments to move beyond mere discussions and take concrete actions to implement the Nigeria Data Protection Act at the state level. This includes establishing necessary frameworks, policies, and institutional structures rather than creating separate state laws.

Olatunji noted the substantial growth of Nigeria's privacy ecosystem, with over 38,000 organizations registered with the NDPC as of last year and 346 licensed data protection compliance organizations. The workforce in this sector has expanded dramatically, increasing from fewer than 1,000 to over 27,000 in just three years, which includes more than 10,000 certified data protection officers. He stated that this growth reflects the potential benefits for states in terms of job creation and revenue generation.

The Minister of Communications, Innovation and Digital Economy, Bosun Tijani, echoed these sentiments, warning that insufficient privacy protections could hinder both investment and the overall digital development of Nigeria. Represented by the ministry’s Permanent Secretary, Nadungu Gagare, Tijani emphasized that without a secure and privacy-compliant environment, citizen engagement and investment would suffer, stalling digital progress.

He pointed out that the Nigeria Data Protection Act 2023 provides the legal foundation for data governance, while the General Application and Implementation Directive 2025 outlines the operational framework necessary for effective implementation across various government levels. Tijani urged states to align their regulatory systems with this national framework to attract private capital and foster innovation.

Further discussions at the workshop highlighted the essential role of states in establishing a credible national data protection system. Abdulateef Shittu, Director-General of the Nigeria Governors’ Forum, stated that as government operations become increasingly digital, maintaining citizen confidence in privacy and security is paramount.

The Deputy Governor of Kano State, Murtala Garo, emphasized the responsibility of state governments in handling vast amounts of personal information across sectors such as education, healthcare, and taxation. He called for practical measures, including staff training and stronger data security protocols, to ensure that sensitive information is managed lawfully and responsibly.

In conclusion, the NDPC and various stakeholders are advocating for a unified approach to data protection across states, stressing that the integrity of Nigeria's digital economy hinges on effective compliance with established data protection standards. Failure to do so could not only deter investment but also tarnish the nation's international reputation in the digital landscape.