15 hours Ago By Guardian Nigeria
• Approval to unlock $150m tech investment The GSM Association (GSMA) said the 50 per cent hike in telecommunication services has the potential to unlock more than $150 million in additional mobile network investment and expand 4G coverage to 94 per cent, covering nine million new consumers. Besides, the hike could also create two million new jobs and increase the government’s tax revenue by an additional N1.6 trillion.
GSMA in a statement, yesterday, said the hike approved by the Nigerian Communications Commission (NCC), the first tariff adjustment in 12 years, is set to unlock substantial investment in telecommunications infrastructure in the country. The GSMA, a global advocate for sustainable policy reforms in the telecommunications sector, welcomed the decision as a major step forward for consumers and the economy. By enabling mobile operators to invest in expanding and upgrading their networks, the tariff increase will bridge the digital divide and drive innovation across key sectors, including healthcare, education and agriculture, it said.
Head of sub-Saharan Africa at GSMA, Angela Wamola, noted: “This decision by the NCC is an important milestone for Nigeria’s digital future. By enabling sustainable investment, we are improving the quality of service for consumers and fostering opportunities for innovation and economic growth. However, to fully unlock the potential of this reform, it is critical to implement additional measures such as simplifying right-of-way permits, implementing a critical national infrastructure plan and reducing the mobile sector’s tax burden.
“These steps will be essential to accelerate digital adoption across sectors. It is estimated that increased digitalisation in agriculture, manufacturing, transport, trade and government will increase GDP by around two percentage points by 2028. This would also create nearly two million jobs and raise an additional NGN 1.
6 trillion in tax revenue.” According to the telecoms advocacy body, the milestone reflected the successful partnership between the Nigerian government, industry stakeholders and the GSMA, demonstrating how collaborative policy reforms can drive economic development and digital inclusion. By advocating policies that balance affordability with sustainability, the GSMA has played a critical role in ensuring the benefits of mobile connectivity are accessible to all Nigerians.
GSMA said improved network coverage would enable transformative access to digital services, including online education, telemedicine, e-commerce and mobile financial tools. Also, the investment will drive the adoption of next-generation technologies such as artificial intelligence (AI) and the Internet of Things (IoT), which are essential for advancing innovation across sectors like precision agriculture, connected transportation, and smart healthcare. By fostering the adoption of these technologies, Nigeria is positioning itself as a leader in Africa’s digital economy.
While the tariff increase is a significant step forward, the GSMA calls for further policy actions to amplify its impact. These priorities, outlined in the recent GSMA report – ‘The Role of Mobile Technology in Driving the Digital Economy in Nigeria’ –include streamlining RoW permits, implementing the Critical National Infrastructure (CNI) legislation and reducing the tax burden on the mobile sector. According to GSMA, the recommendations are based on successes in other sub-Saharan African markets, such as Kenya and South Africa, where similar policy reforms have proven effective in driving digital inclusion and fostering economic growth.
.
