The new wave of technology is the newbie “Artificial Intelligence” that is felt in every sphere of human life. It is evident that Artificial Intelligence and e-governance are increasingly recognized as essential pivotal tools for enhancing public administration in countries like Nigeria. This paper relies on secondary data, while examining the integration of AI and Nigeria's public administration framework alongside e-governance, focusing on how the efficacy of government and service delivery can significantly increase. AI has created a viable platform through which Nigeria stands to gain efficiency, transparency, time management, etc. All these can be achieved as a result of automated routine processes, real-time data analysis for decision making, personalized services offered to citizens, and enhanced government responsiveness. However, the adoption of AI in Nigeria is saddled with lots of challenges which include skill gaps, unreliable internet and electricity supply, shortage of professionals capable of managing AI applications and technologies, etc. This paper highlights current AI applications in Nigeria's e-governance such as biometric verification in elections and AI-powered chat box in tax administration alongside divulging infrastructural deficit such as unreliable internet and electricity supply. It also spells out recommendations that will significantly overcome the existing challenges and cut down its vulnerabilities to the barest minimum in order to harness the full potential of AI in Nigeria