Nigeria’s Telecom Sector Navigates Economic Headwinds Through Reforms

Vanessa Obioha

Nigeria’s telecommunications sector continues to demonstrate resilience amid significant macroeconomic challenges, with recent regulatory reforms under NCC leadership providing a pathway for stability. The sector, which contributes 14.4% to national GDP, faces mounting pressures from currency volatility, rising energy costs, and infrastructure constraints—yet strategic interventions offer grounds for optimism.

At the centre of these stabilisation efforts is NCC Executive Vice Chairman, Dr. Aminu Maida, appointed in October 2023, who has instituted critical reforms focused on professionalism, cost-reflective policies, and data-driven oversight. His tenure has marked a pivot towards regulatory consistency, backed by compliance frameworks that operators say have brought predictability to an often volatile ecosystem. These changes arrive at a critical juncture, as forex scarcity continues to inflate the cost of telecom equipment by over 70%, while diesel prices have quadrupled from ₦300 to ₦1,200 per litre in just two years.

“As a regulator, we are committed to ensuring a competitive, fair, and forward-looking telecoms industry,” Maida said in a recent press briefing. “Our responsibility is to protect consumers while also enabling the long-term sustainability of service providers. A data-driven and transparent approach is non-negotiable.”

Among recent interventions, the Commission approved adjustments to International Termination Rates (ITR) for inbound calls to reflect global cost realities, while also capping domestic tariff increases at 50%—a measure aimed at balancing operator sustainability with consumer affordability. The tariff decision alone is projected to unlock over $150 million in network investments, particularly in 4G expansion across underserved areas.

The Commission also launched the Revenue Assurance Solution (RAS) to curb sector leakages and improve fiscal transparency, alongside a joint committee with the Federal Inland Revenue Service (FIRS) to enhance telecom tax administration and subscriber database integrity. These efforts align with the ongoing amendment of the Nigerian Communications Act 2003, a process the NCC is actively contributing to.

“Through the RAS project, we are able to track industry revenue more accurately and ensure accountability. This is part of a broader reform agenda to make regulation smarter and more effective,” Maida stated.

While internal resistance to change within the NCC persists—particularly among staff adjusting to new digital processes—Maida has received support from the Presidency, which emphasises merit-driven leadership across critical sectors.

The numbers reflect a sector in transition. Mobile subscriptions reached 224 million in 2023 before adjustments from the NIN-SIM linkage policy. Broadband penetration climbed to 48.15% as of May 2025, a steady progression toward national coverage targets. The sector supports approximately 2.3 million direct and indirect jobs, while mobile financial services helped lift financial inclusion from 56% to 64% between 2020 and 2023.

The Commission’s deployment of new Emergency Communication Centres (ECC) in Enugu and Ogun states underscores its commitment to public safety, while the Digital Job Creation for Youths (DJCY) program continues to equip young Nigerians across geopolitical zones with marketable digital skills.

Looking ahead, the implementation of the revised National Broadband Plan sets out ambitious goals, including increasing penetration to over 70% and reducing average data costs to ₦390 per GB. Infrastructure sharing, right-of-way harmonisation, and 5G rollout remain focal points of the Maida administration.

“Our long-term vision is anchored on resilient infrastructure, competitive service delivery, and a regulatory environment that supports innovation,” Maida added. “We are building a sector that works for everyone—from rural communities to global investors.”

As the telecom industry navigates economic turbulence, the NCC’s reform-driven agenda, coupled with structural adjustments and strategic foresight, offers a pathway not only for resilience—but for sustainable growth.

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    PDP Criticises Okpebholo’s Reckless Allocation of N2.5bn to UBTH

    Adibe Emenyonu in Benin City

    The Peoples Democratic Party (PDP), Edo State Chapter, yesterday condemned, in the strongest terms, the decision of the Edo State Government under Senator Monday Okpebholo to allocate a staggering N2.5 billion to the University of Benin Teaching Hospital (UBTH), a federal institution, at a time when state-owned hospitals are in ruins, according to him.

    Governor Okpebholo had during a courtesy visit to his office by the Chief Medical Director (CMD) of UBTH, Prof. Idia Niboku Ize-Iyamu,  announced the allocation of N2.5 billion to the teaching hospital.

    In a statement in Benin City by the Publicity Secretary, Edo State chapter of  the PDP Caretaker Committee, Chris Nehikhare, described Okpebholo’s gesture as not only a misadventure and reckless, but a glaring example of the 2027 election fixation and desperate eye-service politics that has defined his administration almost one year in office.

    According to the statement, Edo people are being made to suffer while their resources are squandered on federal facilities that are not the primary responsibility of the state.

    “We align with the position of the Association of Resident Doctors under Edo State Government Employment (ARD EDGE), who  has openly decried this misplaced priority. Their statement exposes what Edo people already know—our hospitals are collapsing, yet the Governor prefers to chase cheap popularity.

    “Let us be clear: Stella Obasanjo Hospital, rebuilt with state funds, remains under lock and key, with less than a tenth in use. Why is N2.5 billion not channelled here?

    “Edo Specialist Hospital continues to cry for expansion and adequate support, but has been ignored by a government obsessed with pleasing political benefactors and seeking headlines.

     General Hospital in Abudu is no more than a mere patent medicine store and yet, N2.5 billion, that belongs to Odogwu is been given to Caesar,” the statement declared.

    The party observed that Edo doctors, who only recently suspended their strike, still have their legitimate demands unmet, but rather than engage with them and strengthen the state health system, the governor is busy dashing billions to a federal hospital, in a display of sycophancy and ill-thought politicking.

    The statement further read: “Edo people obviously did not elect a Governor to act as a philanthropist to federal institutions. They elected a leader to fix our hospitals, build capacity, and ensure access to healthcare for all. By neglecting this sacred duty, Okpebholo has shown that he is unprepared, unserious, and out of touch with the realities of Edo citizens.

    “We in the PDP demand that this decision be reversed and that urgent attention be given to Edo-owned hospitals which directly serve our people. Edo deserves working hospitals, not political monuments built with eyes on 2027 elections.

    “This is not leadership. This is reckless waste. And Edo people will not forget.”

    The post PDP Criticises Okpebholo’s Reckless Allocation of N2.5bn to UBTH appeared first on THISDAYLIVE.

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    Adibe Emenyonu in Benin City The Peoples Democratic Party (PDP), Edo State Chapter, yesterday condemned, in the strongest terms, the decision of the Edo State Government under Senator Monday Okpebholo to
    The post PDP Criticises Okpebholo’s Reckless Allocation of N2.5bn to UBTH appeared first on THISDAYLIVE.

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