These days, the expression’ data is the new oil’ seems so familiar that even those unaware of what data is feel somewhat confident saying it. The importance of this analogy stems from the fact that, for a good many times, oil was perceived as the most potent force driving more and more economic transformation. In the 21st century, information or data has come closer to it and even surpassed it in some aspects of economic growth. In Nigeria, the growth in data usage and analytics, for instance, is colossal and cuts across healthcare, finance, agriculture, and adoption of technologies. The problem, however, is how to achieve development using this potential while tackling data privacy, ethical concerns, and data literacy, among others.
People have always relied on trade, capital, and investments, and in the modern world, simply embracing socio-economic activities will only take one step. Regardless of the country’s economy, data is central to the pursuit of health improvements. For instance, let’s consider health. In Nigeria, where many problems hinder operating a functional healthcare system, existing problems and data analytics may help overcome some of them. With big data in patient analytics, healthcare experts can forecast disease spread, individualize treatments, or even prevent chronic diseases like diabetes, hypertension, and malaria. This more dynamic health management system will result in faster detection of illness, better management and prevention of diseases, and consequently, healthier individuals.
The use of data for innovation is also evident in the employment of data in Nigeria’s financial sector. With the advancement of mobile banking and information technology-enabling companies, data is being leveraged to enhance the provision of financial services. They use the data collected to analyze risks associated with lending, identify and mitigate fraud, and create products tailored to specific customer classes in collaboration with banks and fintech companies. This enhances safety and expands the range of persons who can use banking services for many Nigerians, especially those located in the last mile.
Again, even retailers and businesses in Nigeria are not being left out in exploiting the use of data, as most Nigerian merchants understand the need to research consumers through data. Companies can enhance or develop their products or marketing strategies that best suit their consumers by studying the sea of consumer spending, social media activities, and market wishes. This helps ensure that stocks in businesses are well managed, promotional activities are directed at the right audiences, and profits are maximized even in very competitive environments.
Even with the clarity of the benefits of data, significant issues must be addressed. Data privacy is one of the foremost challenges facing Nigeria and many other countries. As companies gather the personal data of many customers, the worries about the means of storage, sharing, and usage of the said data are increasing. Noteworthy incidences of data leakage and rampant abuse of individual information have raised the issue of stricter legal frameworks on data protection in the Nigerian populace. The Nigeria Data Protection Regulation (NDPR), enacted in 2019, is a step in the right direction. However, there is a need for adherence to the practice and orientation of the population on data rights protection.
On the contrary, there needs to be more data literacy. Some institutions in Nigeria are data-rich, meaning they have access to abundant data, but their data capability is limited. Addressing this gap requires establishing educational and capacity-building initiatives that help individuals gain knowledge and skills on how to use data in making decisions and inform organizations on how data should be handled appropriately.
In most cases, data-driven innovation activities employ ethical tools. As Nigeria remains unfazed about data analytics in law enforcement, employment, education, etc., there should be measures to prevent algorithms and data from being abused or employed to finance and preach existing stereotypes. In criminal justice or recruitment, if the data is not moderated and controlled, it can lead to cliched data results, which would be disadvantageous to a particular segment of society. This makes it essential for the Nigerian government and organizations to create and implement policies and strategies to ensure ethical data usage.
To fully tap into the opportunities presented by data in Nigeria, it is crucial for all critical stakeholders to come together and forge a united front. The government needs to implement data protection legislation that safeguards privacy while encouraging innovation. Corporations, on the other hand, need to be held accountable for their data use, which will enhance trust in their practices. Public and business partnerships can facilitate literacy through raising finance that helps cultural practices such as using data skills for self-benefit and growth in Nigeria. Each stakeholder has a crucial role to play in this process, and collaboration is key to its success.
Businesses in Nigeria also have a responsibility to consider the moral aspects of how they use data. It is crucial that they are transparent about how they gather and use data, and that they make objective, data-driven decisions. By encouraging this responsible usage of data, businesses can improve trust in their practices and foster a culture of innovation. This is not just a business imperative, but a societal one, and it will benefit all Nigerians.
Data can be vital in accelerating outstanding value creation in all kinds of verticals in Nigeria, including but not limited to healthcare, finance, education, and agriculture. But for that potential to be fully cultivated, Nigeria must solve core issues surrounding data privacy, literacy, and ethics. In doing this, the nation can harness data to enhance its economy and support equitable development of society. In such a way, Nigeria can drive data effectively to create an innovative and equal society.
Tajudeen writes from London, United Kingdom.
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