Nigeria’s Senate is moving forward with legislation that would require major social media platforms, including Meta, TikTok, Google and X, to establish physical offices in the country, a proposal lawmakers say could strengthen tax compliance, create jobs and improve regulatory oversight in Africa’s largest digital economy.
The proposed legislation, formally titled the Bill to Amend the Nigeria Data Protection Act, 2023, is sponsored by Senator Ned Nwoko (APC, Delta North). The bill passed second reading in March 2025, while a public hearing held on July 23, 2026, drew submissions from regulators, industry groups and other stakeholders. The Senate Committee on ICT and Cyber Security is expected to review the memoranda before presenting its recommendations to the full Senate.
Supporters argue that Nigeria has not fully benefited from the economic activities of global digital platforms because many operate in the country without substantial local corporate presence. Nwoko said the proposed law would encourage greater tax compliance, increase government revenue and create thousands of skilled jobs across engineering, artificial intelligence, legal services, public policy, advertising, cloud computing, customer support and product development.
The senator also argued that local offices would strengthen engagement between technology companies and Nigerian regulators, making it easier to address complaints relating to user accounts, data protection, content moderation and cybersecurity incidents. He said the measure aligns with Nigeria’s ambition to deepen its digital economy and attract more technology investment.
While Nwoko has claimed Nigeria loses billions of dollars annually in potential tax revenue because of the absence of local offices, those estimates have not been independently verified by government agencies. Existing tax obligations for foreign digital companies are already governed by Nigerian tax laws, although enforcement has remained a challenge.
The proposal has nevertheless generated mixed reactions. The Nigerian Bar Association recommended that lawmakers consider requiring designated local representatives instead of mandatory physical offices, warning that the current provisions could become overly burdensome for investors. It also urged the Senate to extend the proposed compliance timeline and refine the bill’s legal drafting.
The Nigeria Internet Registration Association argued that stronger data governance measures, including requirements for local data hosting or greater jurisdictional control over Nigerian users’ data, would be more effective than mandating physical offices alone.
Another controversial provision would require bloggers operating in Nigeria to register with the Corporate Affairs Commission and belong to recognised professional associations, a clause that is expected to face further scrutiny over its implications for digital rights and freedom of expression.
A related bill sponsored by Senator Yemi Adaramodu seeks to establish an Artificial Intelligence Academy in Ekiti State as part of broader efforts to develop Nigeria’s digital talent pipeline.
The Senate’s final decision will depend on the committee’s report and subsequent votes by lawmakers. If enacted, the legislation could reshape how social media platforms operate in Nigeria, with implications for taxation, investment, regulation and the country’s long-term digital economy strategy.
