The Nigerian Communications Commission (NCC) has stated that the telecommunication sector is one of the sectors whose performance in the second quarter of 2021, with a contribution of 14.42% to the Gross Domestic Product (GDP) from 11.66%in the first quarter of this year, 2021.
According to the figures cited on the commission’s website showed a growth of 3.76% against 11.66% in Q1 2021 and also surpassed the highest figures ever in the commission recorded which is 14.30% in Q2 of 2020.
Nevertheless, the National Bureau of Statistics (NBS) has stated that the second quarter of 2021 – the information and communication (Telecommunications) the sub-sector continued on a single-digit growth rate at 5.55 percent lower than 6.47 percent (Q1) added that the ban on sales of SIM cards and NIN/SIM linkages singular policy cost four major mobile telecom firms over 12 million subscribers
For the past 5(five) years, the telecommunications sector has consistently been driving the digital economy agenda of the government, as it provided the needed impetus in the digital space in supporting the economy, more especially during the COVID-19 pandemic and lockdown restrictions.
It is important to note that the growth trend since 2015 has reawakened hope that the economic diversification dreams of the country may finally be a reality as the sector continues to energize significant economic activities in the services sector of the economy.
According to the press statement, “Through effective regulatory regime emplaced by the Commission, under the leadership of its Executive Vice Chairman (EVC), Prof. Umar Garba Danbatta, telecoms investment grew from about $38 billion in 2015 to over $70 billion currently.
“Also, broadband penetration increased from 6 per cent in 2015 to 45.02 per cent at December, 2020, indicating that 85.9 million Nigerians are now connected on 3G and 4G networks which provide enhanced high-speed Internet that has continued to boost efficiency and increase productivity across the economic spectrum.”
“Recent statistics also indicate that between 2015 and December, 2020, active voice subscriptions have increased from 151 million to 204.6 million, with teledensity standing at 107.18 per cent. Basic active internet subscriptions grew from 90 million to 154.3 million during the period.