The African Development Bank Group has approved an $80 million to fund the Ekiti Knowledge Zone (EKZ) project in Nigeria. EKZ, a federally supported and state-driven Special Economic Zone, offers fiscal incentives to draw private sector investment into digital technology and the knowledge economy value chains.
The project aims to foster digital innovation and entrepreneurship, creating 26,000 jobs and contributing approximately $14 million annually in net economic benefits.
Initiated by former Governor Kayode Fayemi, the EKZ project seeks to transform Ekiti State into a knowledge-based economy. Under the leadership of Governor Biodun Oyebanji, the project is being expanded to position Ekiti as a hub for attracting and integrating ideas, talents, and innovations at both state and national levels.
The project will attract technology firms and investors, establishing a Special Purpose Vehicle to pool financing and manage Zone operations. The Zone aims to draw tech start-ups, business process outsourcing firms, fabrication and production companies, research institutes, and corporate back-office operations.
The Ekiti Knowledge Zoneâs incubator program will support start-ups with pre-seed and seed funding and provide skills-enhancement training in ICT for youth in Ekiti and neighbouring states. Granted “free zone” status by the Federal Government, the Zone offers incentives such as free repatriation of capital, profits, and dividends for foreign investors, rent-free land during construction, tax holidays, waivers on import/export duties, and expatriate quotas.
The total project cost is estimated at $94.8 million, with the Ekiti State government providing $14.8 million in counterpart funding. The Bankâs financing will leverage other development partnersâ programs and bolster the development of world-class infrastructure, including a 20-hectare green technology park and services infrastructure like roads, electricity, water supply, and wastewater treatment facilities.
The project will provide ICT training to youth, nurture innovation, and enhance entrepreneurial skills. It advances government-enabling policies and establishes the Ekiti State Innovation Fund to provide pre-seed and early growth stage funding for entrepreneurship, innovation, and investment.
The Ekiti Knowledge Zone targets more than 19,000 youth and aims to attract investment commitments from at least fifteen firms, generating revenues of about $10.8 million.
The Government of Ekiti State continues to lead as a model sub-national government with a commitment to creating an attractive destination for innovation, technology, work, living, and investment.
Peoplesmind
