Investment in telecom grows, 5G subscription hits 60,000 in one year
By Jeph Ajobaju, Chief Copy Editor
Total investment in the telecom sector grew from an initial $500 million in 2001 to $75.6 billion in 2021, according to Nigerian Communications Commission (NCC) Executive Vice Chairman Umar Danbatta.
The inflow comprised foreign direct investment (FDI) and local investment, he disclosed at a session with telecom stakeholders in Lagos, where he also confirmed
5G subscriptions have risen to more 60,000 in cities across 12 states.
Danbatta broke down the investment as follows:
- 2018 – $68 billion
- 2019 – $70.5 billion
- 2020 – $72 billion
- 2021 – $75.56 billion
He said investment in telecom is computed from two sources – the Central Bank of Nigeria (CBN) and financial data the NCC obtains from service providers.
__________________________________________________________________
Related articles:
Beware of Google Play Store apps stealing personal data, NCC alerts
NCC alerts Zoom users criminals can infiltrate undetected
Fake and stolen phones won’t work any more, says NCC
__________________________________________________________________
Telecom investment trajectory since 2001
Danbatta noted investment in telecom has grown tremendously from an initial $500 million at the inception of mobile telephony in 2001, per reporting by The PUNCH.
“In the first quarter [of 2022], the sector contributed 12.94 per cent equivalent to N2.25tn while the second quarter witnessed an all-time high GDP contribution by the telecom sector to the nation’s economy, standing at 15 per cent and valued at N2.59tn,” he disclosed.
“The sector’s contribution to GDP in the third was 12.85 per cent and in the fourth quarter, it grew to 13.55 per cent, which are valued at N2.44tn and N2.85tn respectively.
“The growth trajectory continued this year as telecommunications and Information Services sector in Nigeria delivered a handsome N2.51tn in terms of financial value contribution to the nation’s gross domestic product, GDP, representing 14.13 per cent in the first quarter 2023.”
Nigeria achieves 50% of broadband target, NCC confirms
Nigeria has now achieved 50 per cent of the 70 per cent broadband penetration target by 2025, confirmed Danbatta.
He disclosed this in Lagos in June while receiving the Platinum Award of the Nigeria Academy of Engineering (NAEng) for telecom regulatory process and promotion of engineering as a profession.
“We have a target of 70 percent broadband penetration by 2025, as contained in the Nigerian National Broadband Plan (NNBP). We are around 50 percent currently and I can assure you that we are hopeful that we will achieve and surpass that target,” Danbatta said.
“I want to assure the public that the NCC will do whatever it can, within its mandates, to bring out impactful initiatives that will drive the digital transformation process that will ultimately make telecom services pervasive and affordable to all parts of the country.”
He disclosed NCC initiatives that facilitate socio-economic development include one in which the Commission trains youth, provides them with laptops and other equipment that enable them access the internet and acquire skills to earn a living.
NAEng President Azikiwe Onwualu, a Professor, stressed the NCC deserves the award as it has done the profession proud in its telecom regulatory process and promotion of engineering as shown in its strong support for the NAEng.
The award was presented by former Nigerian Television Authority (NTA) Director General, Vincent Maduka.
“Danbatta has contributed immensely to the sustainability of all initiatives of the professional body, just as his role to the development of engineering profession in general is being felt in Nigeria, through his effective regulation of the telecommunications sector,” Maduka said.
