Microsoft closes down Nigeria’s Africa Development Centre

Microsoft Corporation has closed down the engineering division of its Africa Development Centre in Nigeria, just two years after its establishment in the West African nation, Bloomberg reported.

The centre, located in Lagos, was one of two such facilities on the continent, the other being in Kenya. Launched in 2022, its purpose was to provide advanced engineering solutions for Microsoft. The Nairobi centre remains unaffected, according to a statement from the US-based company.

Microsoft’s departure adds to the growing list of multinational companies, including Procter & Gamble Co., GSK Plc, and Bayer AG, that have had to restructure their operations or withdraw from Africa’s most populous nation amid the pandemic. Nigeria has grappled with a currency crisis, dollar shortages, and soaring inflation, all of which have stymied business expansion and diminished consumer purchasing power.

“Organisational and workforce adjustments are a necessary and regular part of managing our business,” a Microsoft spokesperson responded in an email.

“We will continue to prioritise and invest in strategic growth areas for our future and in support of our customers and partners.” the email included.

The Guardian newspaper in Nigeria, which initially broke the story, reported that over 100 engineers would be impacted by the closure, though it did not disclose its source for this information.