As a data scientist at the University of Hull’s Energy and Environmental Institute in England, Olabode Adebola sheds light on the critical issue of unreliable data hindering the growth of Nigerian businesses. Nigeria’s data capacity is currently unreliable due to a poor data culture, reflected in the discrepancies in population figures ranging from 180 million to 200 million. The politicization of census numbers further exacerbates the problem, highlighting Nigeria’s problematic relationship with data.
The lack of skilled personnel, manual record-keeping, limited digitization, and data collection methods contribute to Nigeria’s weak data capacity. Without a dependable database, most data from Nigeria remains estimates from international organizations like the World Bank and the International Monetary Fund. Despite the establishment of the National Bureau of Statistics, the agency lacks strong institutional support from other government bodies, hindering efforts to improve data capacity.
In the face of unreliable data, the importance of data for development cannot be overstated. Accurate data is essential for making informed decisions and planning for the future. However, Nigeria faces challenges in collecting accurate data due to the absence of a strong data infrastructure and inefficient data collection processes across government agencies.
For startups in Nigeria, leveraging data for innovation and growth poses challenges. The lack of knowledge about the importance of data and the shortage of skilled data professionals hinder startups’ ability to collect and analyze data effectively. Limited access to relevant data sources further complicates the situation, making it difficult for startups to make informed decisions based on data-driven insights.
While the National Bureau of Statistics uses data to evaluate economic indicators, most businesses in Nigeria lag behind in utilizing data for decision-making. Businesses need to focus on analyzing customer data to improve service delivery and customer retention. Without proper investment in data infrastructure and analytics tools, startups risk hindering their progress and sustainability.
Data breaches pose a significant threat to startups, leading to operational disruptions and financial losses. To mitigate these risks, startups must invest in robust cybersecurity measures and comply with data protection laws. By leveraging data-driven insights, startups can attract investments by providing reliable information to investors, demonstrating a clear understanding of their market, and showcasing key financial metrics.
In conclusion, addressing the challenges of unreliable data and leveraging data effectively are crucial steps for Nigeria’s businesses and startups to drive growth and attract investments. By prioritizing data management and investing in data infrastructure, Nigeria can unlock its full potential for development and innovation.
