Politics

Nigeria proposes comprehensive AI regulation bill with mandatory licensing and oversight

Friday, 28 November 2025 4:47PM UTC

Nigeria has introduced its first legal framework for AI governance, mandating registration, licensing, and the establishment of a National AI Council to oversee ethical development and deployment of AI technologies across sectors.

Nigeria is advancing towards formal regulation of artificial intelligence through a newly proposed bill that aims to introduce mandatory registration and licensing for all entities developing or deploying AI technologies within the country. The proposed legislation, titled "A Bill for an Act to Ensure Proper Control of Usage of Artificial Intelligence (AI) Technology in Nigeria and for Related Matters, 2023," was introduced by Representative Sada Soli of Katsina State and had its first reading in the House of Representatives on 22 November 2023.

If enacted, this bill would create Nigeria’s inaugural legal framework for AI governance, targeting ethical use, oversight, and accountability across all sectors impacted by AI in the digital economy. Central to the proposal is the establishment of a National Artificial Intelligence Council, envisioned as the supreme regulatory authority overseeing all AI development and deployment activities. This council would be responsible for approving AI projects, setting ethical and technical standards, conducting audits, and enforcing compliance through penalties or potential suspensions of non-compliant systems.

A notable feature of the legislation is the requirement for any organisation or individual that develops, imports, distributes, or utilises AI systems to register with the council and obtain prior approval before deploying such technologies. This registration and licensing obligation applies primarily to developers and businesses incorporating AI into commercial operations, rather than everyday users of AI tools like ChatGPT. The bill also categorises AI systems by risk level, imposing more stringent rules for high-risk applications such as healthcare, finance, public service, and national security. Developers would be compelled to conduct impact assessments, disclose data sources and algorithmic designs, and submit to regular compliance reviews.

Transparency and fairness are emphasised throughout the proposal. Developers must document system designs and operational details for regulatory scrutiny, particularly for decisions with significant societal impact like hiring, credit scoring, or law enforcement. Furthermore, the law mandates that individuals affected by automated decisions be informed and given avenues to challenge those decisions. AI operators are also required to maintain detailed audit trails to ensure explainability and traceability of AI decisions.

The bill aligns closely with Nigeria's Data Protection Act (NDPA) of 2023, underscoring the necessity for AI systems to comply with existing data protection laws. It mandates lawful processing of personal data, prohibits discrimination based on factors such as gender, race, or religion, and integrates AI oversight with established digital governance institutions like the Nigeria Data Protection Commission (NDPC) and the National Information Technology Development Agency (NITDA). However, specifics about the council’s institutional placement remain unspecified.

Foreign AI platforms would also fall under these regulations, needing registration and approval before operating in Nigeria. The council would hold the authority to restrict or ban AI products that fail to meet local standards or pose threats to national security or public interest, including the power to investigate complaints, suspend approvals, or block non-compliant systems. Channels for public complaints and remedies are built into the framework, supporting accountability and public oversight.

Alongside regulatory control, the bill encourages collaboration with academia and the private sector to bolster AI training, research, and innovation. It further aims to promote digital inclusion for women, underserved regions, and marginalised communities, reflecting a holistic approach to AI governance and equity.

Despite its comprehensive nature, the bill has attracted criticism from various stakeholders. Concerns include the broadly defined scope of AI, which some fear could subject basic automation processes to onerous regulation, potentially hindering startups and innovation. Observers also warn about possible regulatory overlap with existing bodies such as NITDA, NDPC, the Nigerian Communications Commission, and the Central Bank of Nigeria. There are apprehensions regarding the council’s discretionary power to suspend AI systems deemed contrary to the "national interest," a clause that might risk excessive control or censorship.

Nigeria's move comes amid growing efforts across Africa to address AI governance. Countries like Mauritius, Egypt, and Kenya have formulated national AI strategies, while Rwanda and South Africa are in advanced stages of establishing legal frameworks. Unlike these nations, which tend to favour capacity building and fostering innovation, Nigeria’s approach emphasises regulatory oversight, mandatory registration, and licensing, potentially positioning it as one of the first African countries to embed AI regulation directly into law rather than policy.

Nigeria’s legislative effort notably ties into the broader context of the country’s evolving data privacy and protection landscape. The Nigeria Data Protection Act, enacted in 2023, has established the Nigeria Data Protection Commission as the regulatory body responsible for overseeing data privacy, including within AI systems. However, enforcement challenges persist; between 2019 and 2023, only a limited number of investigations under data protection regulations occurred, with no specific AI-related enforcement actions reported. Commentators stress the importance of mandatory transparency and explainability in AI algorithms and advocate for a harmonised regulatory approach to enhance enforcement capabilities across overlapping mandates.

Legal analyses also highlight that the NDPA restricts exclusive use of automated decision-making and profiling, especially when these processes result in significant legal or similar effects on individuals. Compliance with these data protection requirements is crucial for businesses leveraging AI in sectors such as finance and public services. The NDPA incorporates principles like lawfulness, fairness, transparency, and data minimisation, which the new AI regulation bill would complement by ensuring ethical and accountable AI development.

In summary, Nigeria’s Artificial Intelligence Control and Regulation Bill represents a critical legislative milestone aimed at balancing innovation, public safety, and individual rights in an increasingly AI-driven environment. The eventual impact will depend significantly on how effectively the proposed National AI Council is empowered and resourced, and on the broader regulatory ecosystem’s ability to adapt to the rapid evolution of AI technologies.

📌 Reference Map:

^[1] (iafrica.com) - Paragraphs 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11
^[2] (ThisDayLive) - Paragraphs 12, 13
^[3] (Mondaq) - Paragraphs 12, 13, 14
^[4] (Mondaq) - Paragraph 13
^[5] (AdeolaOyinlade) - Paragraph 13
^[6] (MetaLex Legal) - Paragraph 13

Source: Noah Wire Services

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https://www.mondaq.com/nigeria/privacy-protection/1567242/the-adoption-of-artificial-intelligence-ai-in-nigerias-legal-landscape-examining-intellectual-property-data-privacy-and-ethical-considerations - This article examines the adoption of AI in Nigeria's legal landscape, focusing on intellectual property, data privacy, and ethical considerations. It discusses the Nigeria Data Protection Act (NDPA) of 2023, which regulates the processing of personal data and restricts the exclusive use of automated decision-making processes, including profiling, that produce legal effects on data subjects. The article also highlights the Nigeria Data Protection Commission's (NDPC) role in enforcing these regulations and the need for compliance with data protection standards in AI systems.
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https://www.mondaq.com/nigeria/privacy-protection/1567242/the-adoption-of-artificial-intelligence-ai-in-nigerias-legal-landscape-examining-intellectual-property-data-privacy-and-ethical-considerations - This article examines the adoption of AI in Nigeria's legal landscape, focusing on intellectual property, data privacy, and ethical considerations. It discusses the Nigeria Data Protection Act (NDPA) of 2023, which regulates the processing of personal data and restricts the exclusive use of automated decision-making processes, including profiling, that produce legal effects on data subjects. The article also highlights the Nigeria Data Protection Commission's (NDPC) role in enforcing these regulations and the need for compliance with data protection standards in AI systems.

Noah Fact Check Pro

The draft above was created using the information available at the time the story first emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed below. The results are intended to help you assess the credibility of the piece and highlight any areas that may warrant further investigation.

Freshness check

Score: 10

Notes: The narrative is current, with the article published today, 28 November 2025. The proposed bill was introduced on 22 November 2023, and the article provides recent developments, including the bill's progress and related discussions. No evidence of recycled or outdated content was found. The article appears to be based on a press release, which typically warrants a high freshness score.

Quotes check

Score: 10

Notes: The article does not contain any direct quotes.

Source reliability

Score: 8

Notes: The narrative originates from iAfrica.com, a news outlet that appears to be a single-source platform. While it provides detailed information, the lack of multiple reputable sources raises some concerns about the reliability of the information presented. The absence of corroboration from other established news organisations suggests a need for cautious interpretation.

Plausability check

Score: 7

Notes: The claims about Nigeria's proposed AI regulation align with previous reports, such as those from The Guardian Nigeria News ([guardian.ng](https://guardian.ng/news/nigeria/national/reps-step-down-bill-on-artificial-intelligence-regulation/?utm_source=openai)) and OYO Gist ([oyogist.com](https://oyogist.com/2025/11/21/nigerias-ai-bill-puts-control-first-but-at-what-cost-to-innovation/?utm_source=openai)). However, the lack of corroboration from multiple reputable sources and the absence of direct quotes in the article raise questions about the depth of reporting and the potential for incomplete information. The reliance on a single source and the absence of direct quotes may indicate a need for further verification.

Overall assessment

Verdict (FAIL, OPEN, PASS): OPEN

Confidence (LOW, MEDIUM, HIGH): MEDIUM

Summary: The narrative presents current information on Nigeria's proposed AI regulation, with a publication date of 28 November 2025. While the content appears fresh and relevant, the reliance on a single source without corroboration from multiple reputable outlets and the absence of direct quotes raise concerns about the reliability and depth of the reporting. Further verification from additional reputable sources is recommended to confirm the accuracy and completeness of the information presented.

Artificial Intelligence
Regulation
Nigeria
Legislation