Computer Village has become Africa’s largest gadget hub in two decades. Now its future is uncertain

Femi Benson* has been selling gadgets at Computer Village for seven years and has never fallen behind on his shop rent until earlier this year.

His business, with more than 10 employees, was profitable and thriving. He had enough money to pay, but he procrastinated. The rent was due in January 2024, but he procrastinated for three months until his landlord had to close the store, which finally forced him to pay.

All the while, Benson was pondering whether to pay for another year or postpone the decision, fearing the government’s earlier promise to close Computer Village, Africa’s largest gadget market.

On December 30, 2023, the POWA complex, a commercial unit located in Computer Village that houses over 300 shops and 1,000 residents, was demolished within 24 hours. This demolition, despite the Lagos State Government’s decision Claims lack of commitment led Benson to delay rent payments.

“After I saw what happened to the people at POWA Complex,” Benson said, “I just told myself that the government can do and undo and nothing will happen.”

Benson and thousands of other Computer Village vendors are concerned about the government’s plan to relocate them to a new location and its potential impact on their business.

A vibrant technology market

What started as a makeshift strip of shops in Ikeja, between 1996 and now, has quickly grown into Africa’s largest gadget market. Now spanning several streets, it has become a magnet for ICT companies.

It’s hard to imagine Lagos’ Computer Village as anything other than a bustling technology marketplace, but in 1996 it was a quiet residential suburb. The transformation began when visionary entrepreneurs saw the area’s potential for technological innovation.

By 2001, the area had undergone a transformation. Homeowners were selling their properties, which were being converted into shopping malls. As demand grew, vendors adapted, selling phones, accessories, and internet modems. Today, it features LED-lit displays of major smartphone brands, SIM card registration, mobile money transactions, and a variety of electronic devices.

Computer Village spans seven main streets and features a mix of low-rise buildings, shopping malls, converted bungalows, iron kiosks and freestanding umbrellas. Although the market struggled during lockdowns in 2020, it has bounced back, thriving with daily activity.

For over two decades, it has become a destination for on-demand mobile phones, laptops and gadgets, generating as much as ₦1.5 billion (~$1 million) per day. Some studies show that it generates over $2 billion per year, which is 2 percent of Nigeria’s GDP. In addition, the community generates over ₦60 million (~$38,000) in taxes for the Ikeja metropolitan area.

But today its future is uncertain

The Lagos State government’s plan to relocate the market to the Gatankowa ICT Park in Agbado/Oke-Odo was first proposed in April 2017. The move was intended to ease traffic congestion in Ikeja, the state capital, and provide a modern facility for traders. The state government had anticipated the move would be completed by the end of that year. However, seven years later, the plan has yet to materialize.

Special Adviser to the Lagos State Governor on e-GIS and Urban Development, Olajide Babatunde, I recently visited the market and announced that the contract with the project consultant, Bridgeway Global Project Ltd., was terminated two years ago due to non-performance. “Even after the contract was terminated, the consultant continued to occupy the premises and collect illegal fees from traders,” Babatunde said.

At the proposed Gatankov site, the lack of infrastructure around it and the constant bureaucracy have caused several companies to reconsider their investments. Babatunde stressed that the Department of Urban Development, headed by Bola Bello, will manage the project in the future. “The consultant cannot collect any fee or money from anyone under the pretext of developing the market after the contract ends.” he stated.

Bridgeway Global Project Ltd., the now-disbanded developer, has denied the fraud allegations. Jimmy Onyemenam, a Bridgeway representative, said the company stopped charging fees after receiving the termination letter. “We maintained cleanliness, security and other services at our own expense despite the termination,” he argued.

Stakeholders are also concerned about the communication and decision-making process surrounding the relocation. Adebowale Soyebo, chairman of the Ikeja Computer Village Market Board, stressed the need for transparency. “If you want to create another market and relocate traders, you have to take them with you,” Soyebo said. “We were not informed of the termination by either the government or the developer.”

Tobuson Alake, Lagos State Commissioner for Innovation, Science and Technology, shared his insights on the complexity of the problem and the plans in a recent interview with Bendada.com.

“The plan was to move Computer Village to another location. Unfortunately, that location is not ready yet because if you are going to move a market, they need to have the facilities, the infrastructure to grow,” Alake explained.

“But rest assured there will be enough time, and it will not be a sudden move where the government asks people to move tomorrow. They will be given many months’ notice of when they will move, when the location is ready.”

Alake also pointed out the importance of structuring businesses to attract investment before they move. “Currently, Computer Village is not structured. So how do you structure it to attract investment? There are a lot of individual entities, but instead of investing in one, how can they create teams or cooperatives that an investor can look at?”

The vision for the new ICT Park involves a number of ministries and the federal government. The initiative initially fell under the Ministry of Physical Planning, given its focus on urban development. However, the project requires a coordinated effort from different ministries to ensure both urban development and economic growth. The collaboration aims to create a comprehensive and holistic plan that leverages the strengths and resources of different departments.

Despite the setbacks, the Lagos State government remains optimistic, noting that high-tech parks are still a new concept in Nigeria. It will take time. However, the current state of the project leaves many traders and entrepreneurs uncertain about their future.

While the market awaits decisive action, the bustling streets of Computer Village continue to flourish, albeit under a cloud of uncertainty. The hope is that Gatankowa ICT Park will ultimately deliver on its promise and ensure a sustainable future for Nigeria’s largest ICT market.

Torn Between Resilience and Doubt

As government officials debate the future of Computer Village, traders who have built their lives and businesses around the vibrant market are facing a different reality. For them, the proposed move to Gatankovo ​​ICT Park is not just an administrative maneuver but a potential upheaval of their livelihoods.

Obinna Uzor*, a trader who has been selling mobile phones and accessories for more than a decade, shares her concerns. “This market is not just a place where we trade; it’s our community,” she says. “Moving us to Gatankovo ​​without the right infrastructure and support is like asking us to start all over again.”

As a result, some are starting to operate remotely. Traditionally, the Village has been a bustling hub of physical stalls and shops that serve a large number of in-person customers.

However, as the future of the market becomes fluid, merchants are adapting by creating e-commerce platforms and using social media to reach their customers. This allows them to continue their business and generate income without a physical presence in the market.

Parts of the market are already being demolished, despite the government saying these are isolated incidents. For some non-natives, this means more than just moving to “greener pastures.”

Bendada.com spoke to some of these traders who believe it is tribal. According to them, there is a threat of some kind of ethnic cleansing. Non-natives believe it is an opportunity for the government to relocate shops based on ethnic sentiments.

“I personally don’t like the tribalism of it. Most people would rather avoid getting involved in this network, stop trading locally, or maybe even go so far as not to get a place in a village, whether existing or new, and just run their businesses from home, especially those that already have a strong online presence,” said Paul*, one such trader who went remote long ago.

Still, other salespeople are indifferent. Take Babatunde, another salesperson who has been feeling disconnected by the prospect of adjusting to a new location. With a long history and comfort with his current situation, he sees the move as a distant problem rather than an immediate challenge.

“The government has been pushing for this move for about 15 years. It’s gotten to the point where I don’t care anymore. Anyone who’s been here long enough is reluctant to invest in change until there’s a clearer, more concrete plan. Our focus remains on maintaining our customer base and managing day-to-day operations,” Babatunde told Bendada.com.

The resiliency of the merchants has been a cornerstone of Computer Village’s success. Despite frequent power outages, cramped spaces, and inadequate amenities, they have managed to create a thriving ecosystem. They have learned to work with what we have, but moving to a location that lacks basic amenities will significantly disrupt operations.

Babatunde’s concerns are shared by many others in the market. Bob Iden, a resident of another city who runs a small shop selling phone cases and chargers, worries about the potential impact on his customer base. “Our customers know where to find us here. If we move to Gatankovo, it will take them a while to adjust, and we could lose business in the process,” he told Bendada.com.

Comparing this to failed Bangabandhu Hi-Tech City in Bangladesh is a cautionary tale. The promised infrastructure and benefits never materialized there, leading to disappointment and financial losses for businesses. There are fears that Gatankov could suffer a similar fate.

Despite these concerns, some retailers see potential opportunities in relocation. “If the government can provide the right infrastructure and facilities, Gatankovo ​​could be a fresh start for us,” says Tunde*, who sells refurbished laptops. “A more organized market could attract more international companies and increase sales.”

However, the optimism is tempered with caution. The government’s previous track record on infrastructure projects has been far from ideal, and traders are wary. Many promises have been made before. As such, they need to see concrete action before they can fully commit to the idea.

While the debate continues, Computer Village traders remain resilient, adapting to the uncertainty of their future. They hope that Gatankova ICT Park, if and when it is finally fully configured, will not become a symbol of unfulfilled promises.

For now, the market is in a state of recovery, which is a testament to the indomitable spirit of traders.