Senate backs plan to compel social media companies to establish Nigerian officers

The Senate on Thursday moved closer to requiring global social media companies operating in Nigeria to establish physical offices in the country after stakeholders endorsed the proposal at a public hearing in Abuja.

The hearing, organised by the Senate Committee on Information and Communications Technology and Cyber Security, also backed a bill seeking to establish an Artificial Intelligence Academy in Omuo-Ekiti, Ekiti State.

The social media bill, sponsored by Senator Ned Nwoko (Delta North), seeks to amend the Nigeria Data Protection Act, 2023, to make local offices mandatory for social media firms operating in Nigeria.

Defending the proposal, Nwoko dismissed fears that the legislation would discourage investment.

He said, “This Bill is neither punitive nor hostile to innovation. It is not designed to frustrate investment or discourage technology companies from operating in Nigeria.

“On the contrary, it seeks to deepen their engagement with Nigeria by encouraging them to become true corporate citizens of our country.”

He argued that countries including the United Kingdom, India, South Africa and the United Arab Emirates had attracted global technology firms by encouraging them to establish local operations.

According to him, such offices support engineering, artificial intelligence research, customer service, regulatory compliance and product development while creating jobs and boosting tax revenue.

He added, “The question therefore is simple: if countries with significantly smaller populations and digital markets than Nigeria have secured these investments and benefits, why should Nigeria continue to stand on the sidelines? Why should Africa’s largest digital market not enjoy the same opportunities?”

The Senate committee will review stakeholders’ memoranda before submitting its report to the Senate for further legislative action.