The National Information Technology Development Agency (NITDA) has formally inaugurated the Technical Working Group (TWG) for the National Regulatory Sandbox in a major step toward accelerating innovation while addressing regulatory bottlenecks.
The multi-agency initiative aims to dismantle the traditional “siloed” approach of government regulations, creating a unified legal framework where innovators can test emerging technologies under supervision before acquiring full licenses.
Delivering remarks on behalf of the Director General of NITDA, Emmanuel Edet, the Acting Director of Regulations and Complaints, highlighted that the rapid growth of the digital economy has left existing regulatory frameworks struggling to keep pace.
He noted that while government agencies possess legitimate mandates, operating in isolation has created barriers to innovation, especially in a digital ecosystem where technologies often cut across multiple sectors.
“Our primary role as government agencies is to provide solutions to the challenges Nigerians face daily. The problem is not the absence of intention, but the structure within which regulators operate. Existing frameworks are no longer adequate to address emerging challenges,” he said.
Edet stressed that the new multi-agency sandbox framework was designed to foster collaboration among regulators, enabling them to collectively support innovation while maintaining strong regulatory oversight.
He explained that the sandbox initiative would create a safe environment where innovators could test solutions under supervision before receiving full regulatory approvals.
“Nobody is taking away anybody’s regulatory power, but we are giving innovation a chance to thrive in the ecosystem; if we continue to work in silos, the ecosystem will leave innovation behind.”
The Acting Director further described the initiative as a long-term governance structure capable of shaping the future of innovation in Nigeria beyond the implementation phase.
Providing an overview of the initiative, the National Coordinator of the Office for Nigerian Digital Innovation (ONDI) Victoria Fabunmi described the National Regulatory Sandbox as a structured, legal, multi-agency framework that enables innovators to test products and services under defined regulatory conditions.
The coordinator said the initiative became necessary due to persistent challenges caused by fragmented regulations, sector-based approvals and the absence of coordinated frameworks for testing emerging technologies.
“To date, regulation remains siloed, with fragmented multi-agency approvals causing delays and creating uncertainty for innovators.”
The sandbox, according to the presentation, is sector agnostic and will support innovation across industries, including artificial intelligence, fintech, digital health, mobility, logistics, clean energy, blockchain and digital public infrastructure.
The coordinator noted that although regulatory sandboxes are often associated with financial technology, Nigeria’s model seeks to integrate multiple sectors and agencies into one harmonised ecosystem.
“It is the platform through which all agencies within this sandbox are able to provide governance support, strategic guidance, and expert regulatory advisory services. We say this because, within the scope of each agency’s mandate, we cannot speak to what is most important to every agency.
“So we believe that the technical working group is a way for all the agencies to work together and provide clarity on how we are collaboratively developing the sandbox. The framework will allow startups and innovators to engage simultaneously with multiple regulators instead of navigating separate approval systems independently.”
The inaugurated working group had representatives from NITDA, Nigeria Data Protection Commission (NDPC), Nigeria Communications Satellites Limited (Nigcomsat), Nigeria Postal Service (NIPOST), Korea International Cooperation Agency (KOICA) and Japan International Cooperation Agency (JICA), amongst others.
Over the next six months, the TWG will oversee the formal integration process, operational finalisation, public stakeholder engagement and pilot implementation of the National Regulatory Sandbox.
