How high inflation, low income stall growth for Nigerian edtech startups
- Edukoya secured $3.5 million in funding in 2021 to enhance its technology and expand its business.
- Edukoya shut down core operations in February 2025 due to low disposable income and macroeconomic conditions.
- Zummit Africa faced operational challenges after shifting from free AI services to a subscription model, resulting in a drop in user intake from 80-90% to 30%.
The challenges faced by Nigerian edtech startups highlight the urgent need for innovative revenue models that align with the economic realities of the target market. As inflation and financial constraints continue to impact families, startups must pivot away from traditional subscription models and explore partnerships and flexible payment options to remain viable. A collaborative approach with government and businesses could unlock new opportunities for growth and sustainability in the sector.
