September 09, (THEWILL) — A new study has revealed that Nigerian businesses are embracing artificial intelligence not only as a technological tool but as a strategic shift anchored in leadership and workforce development. The report, conducted by Arion Research on behalf of global technology company Zoho, shows that the country’s corporate leaders are deliberately steering AI adoption while investing in skills to ensure employees remain relevant in an increasingly automated economy.
According to the findings, the leadership role is particularly central to the conversation around responsible AI usage in Nigeria. Out of the 386 Nigerian business leaders surveyed, more than half are either in executive or chief executive positions. This demonstrates that AI adoption is being driven from the top, not left to mid-level technical teams. It also explains why implementation has moved at a faster pace than expected, with 31 percent of companies already reporting advanced levels of integration across different parts of their organisations.
This leadership-driven adoption is not without its hurdles. The study found that the lack of technical expertise remains the single biggest challenge, highlighted by 37 percent of respondents. Close behind are concerns around privacy and security, flagged by 35 percent of business leaders. These concerns underscore the dual challenge of acquiring the right skills while also safeguarding customers’ data in a regulatory environment that is becoming stricter by the day.
In response, Nigerian businesses are deliberately building internal capacity. About 69 percent of organisations surveyed said they are prioritising data analysis and interpretation skills for their staff, while 53 percent are focusing on AI literacy programmes to ensure employees understand the potential and limits of the technology. Another 40 percent are training their teams specifically in prompt engineering to improve the use of generative AI tools. By investing in these skill sets, businesses are attempting to strike a balance between technological adoption and human capacity development.
The regulatory environment is also shaping corporate strategies. The study noted a significant rise in awareness of the Nigerian Data Protection Act, which was signed into law in 2023. Nearly two-thirds of companies said they have become more conscious of their obligations under the Act. This has translated into more frequent privacy audits, stricter data minimisation policies, and greater insistence on explainability of AI systems deployed in business processes. Such measures are designed not only to protect consumers but also to build trust in the long-term use of AI technologies.
For Zoho, a company that has consistently marketed itself as privacy-first, the findings confirm what it describes as a maturing Nigerian business environment. Kehinde Ogundare, Zoho’s Country Head for Nigeria, noted that the intersection of leadership, skills development, and regulatory compliance is proof that Nigerian companies are not blindly chasing technology trends. Instead, they are building a framework for responsible AI adoption that can stand the test of time.
“What we are seeing is very encouraging,” Ogundare said. “Nigerian businesses are showing that they want to use AI in a way that builds trust, safeguards privacy, and develops talent. This is not just about deploying tools; it is about ensuring that employees have the skills to use them effectively, executives are providing the right vision, and companies are operating within regulatory frameworks. That is how sustainable AI adoption happens.”
Ogundare stressed that Zoho’s philosophy of contextual and privacy-focused AI aligns with the direction in which Nigerian businesses are heading. He explained that while the company continues to roll out AI features across its suite of applications, it has placed a premium on customer privacy and data security, ensuring that businesses do not have to trade trust for innovation.
Analysts say the report’s findings highlight the importance of leadership in steering AI conversations in emerging markets like Nigeria. While in some countries the push for AI adoption is coming from grassroots innovation, Nigeria’s corporate environment is proving that when executives take ownership, adoption can be faster and more coordinated. By tying AI adoption to leadership priorities, companies are also able to mobilise resources for training and compliance, rather than treating AI as an isolated experiment.
The combination of executive leadership, regulatory readiness, and workforce training is gradually positioning Nigeria as a leader in responsible AI adoption on the continent. With a young population and a rapidly digitising economy, the opportunities are enormous. Yet, as Ogundare warned, the gains can only be sustained if businesses continue to invest in people and operate with responsibility at the core of their AI strategies.
At a time when global conversations around AI are often dominated by fears of job losses, ethical concerns, and regulatory clampdowns, the Nigerian example offers a slightly different narrative — one where leadership, skills, and compliance are placed ahead of reckless adoption. The path may not be without its challenges, but if the current trajectory is maintained, Nigeria could very well emerge as one of the reference points for responsible AI integration in Africa.
Janefrances Ebere Chibuzor is a Tourism Writer at THEWILL
