By Chinedu Okafor, African Business Correspondent
Nigeria’s Entertainment and Media (E&M) industry is on track to hit $4.9 billion in revenues this year, up from $4.5 billion in 2025, according to projections by PwC Nigeria. The creative economy is expected to contribute about two per cent of this growth, underscoring the sector’s rising influence in Africa’s largest economy.
PwC’s latest report, 2026 Nigeria Economic Outlook: Turning Macroeconomic Stability into Sustainable Growth, highlights demographic trends, streaming adoption, and the rapid expansion of digital distribution channels as key drivers of this surge. The report reinforces Nigeria’s position as Africa’s fastest-growing E&M market.
Digital-Led Growth
The creative economy segment—comprising Over-The-Top (OTT) video, cinema, music, radio, and podcasts—is projected to account for two per cent of total revenues in 2026. OTT video revenues are expected to climb from $33 million to $37 million, while music, radio, and podcasts will expand from $67 million to $73 million, reflecting the boom in streaming and audio consumption.
Mobile internet penetration, cheaper data plans, and widespread smartphone adoption are reshaping consumer behaviour, particularly among Gen Z and millennials, who increasingly favour on-demand, digital-first content.
Infrastructure and Policy Support
PwC notes that continued investment in fibre rollout and 5G deployment will unlock new digital experiences and monetisation opportunities, driving sector expansion beyond 2026. Government and private sector interventions, such as the Creative Economy Development Fund, are also expected to boost growth.
In 2025, the creative sector saw a surge in technology adoption, supported by initiatives like the National Council for Arts and Culture’s Council for Creative Technology Futures (CCTF). The CCTF is leveraging Artificial Intelligence (AI), Augmented and Virtual Reality (AR/VR), Web3, and blockchain to empower creators across more than 49 industry sectors.
Afrobeats, Nollywood, and Tech-Driven Expansion
Nigeria’s global cultural exports—Afrobeats and Nollywood—continue to fuel international recognition. PwC predicts wider use of AI in content creation, OTT streaming, AR/VR experiences, and gaming, all supported by 5G expansion.
The Federal Government’s Investment in Digital and Creative Enterprises Program (iDICE), valued at $617.7 million, is another major catalyst. Targeting Nigerians aged 15 to 35, the program supports early-stage, tech-enabled start-ups and creative sector SMEs. It is co-financed by the Bank of Industry (BoI), African Development Bank (AfDB), Agence Française de Développement (AFD), and Islamic Development Bank (IsDB).
Challenges Ahead
Despite the optimistic outlook, PwC warns that funding gaps, infrastructure challenges, and piracy risks could temper growth. However, sustained public and private investment may help Nigeria’s entertainment and media sector maintain its upward trajectory.
