Starting in October 2026, Nigeria’s certified cloud register will list the technology firms cleared to host the nation’s most sensitive digital assets, a move that could reshape how banks, fintechs and government agencies manage data.
New certification framework aims to close a regulatory gap
The Federal Government, through the National Information Technology Development Agency (NITDA), is launching the National Sovereign Cloud Initiative. It will certify cloud service providers, data‑centre operators, managed service firms and AI infrastructure companies that meet a common set of technical and regulatory standards.
Until now, banks followed the Central Bank of Nigeria’s (CBN) data‑localisation directive but lacked a national mechanism to verify which providers complied with those rules. The new register offers a public list of approved vendors, giving regulated entities a clear path to demonstrate compliance.
Related: SpaceX shares fall Kenya eyes AI ETF
From 1 January 2027, the CBN directive mandates that all payment transaction data generated in Nigeria stay within the country. While the rule set the requirement, the certification framework supplies the assurance tool that institutions can use to prove they meet it.
Impact on the cloud market and spending trends
Nigeria’s ten largest banks spent roughly N177.91 billion on information technology in the first quarter of 2026, a rise of almost 31 percent year‑on‑year. Much of that outlay currently supports cloud platforms hosted abroad.
The upcoming certification regime is expected to steer future investments toward domestic or certified foreign providers. NITDA says the standards apply equally to indigenous providers and global hyperscale operators, meaning both local data‑centre firms and international cloud giants will have to earn the same certification to win contracts for regulated workloads.
Related: Millions of Chinese orders for Vietnamese durians placed via livestream
For local cloud companies, being listed could serve as a valuable commercial credential, offering government‑backed recognition when competing against multinational players. The larger hyperscalers will have a transparent pathway to continue serving Nigeria’s regulated sectors, provided they meet the country’s technical and assurance criteria.
More than 85 percent of Nigerian businesses already use cloud services, most of which are hosted outside the country. By encouraging the use of certified infrastructure within Nigeria, policymakers hope to keep more technology spending domestic while tightening oversight of critical financial and governmental data.