Page 104 - SAMENA Trends - February-March 2021

REGULATORY & POLICY UPDATES SAMENA TRENDS

NCC Highlights the Role of Telecoms in Nigeria's Exit from Recession

The Nigerian Communications Commission (NCC) has highlighted been remarkable. "The growth trend since 2015 has reawakened
the role played by the telecommunications sector in lifting the hope that the economic diversification dreams of the country may
country out of recession in the recently released fourth-quarter finally be a reality as the sector continues to energize significant
Gross Domestic Product (GDP) figures for the fourth quarter of economic activities in the services sector of the economy," Adinde
2020. The sector contributed 12.45 per cent to the country's GDP said. He added that through effective regulatory regime emplaced
in the fourth quarter of 2020. In a statement signed by its Director by the NCC, under the leadership of its Executive Vice Chairman,
of Public Affairs, Dr. Ikechukwu Adinde, the NCC stated that the Prof. Umar Danbatta, telecoms investment grew from about $38
latest data released by the National Bureau of Statistics (NBS), billion in 2015 to over $70 billion currently. He said broadband
showed that telecommunications and Information Services under penetration also increased from six per cent in 2015 to 45.02 per
Information and Communication, grew by 17.64 per cent in Q4 cent at December, 2020, indicating that 85.9 million Nigerians are
2020 from 17.36 per cent in Q3 2020 and 10.26 per cent in Q4 now connected on 3G and 4G networks, which provide enhanced
2019. According to the NBS report, agriculture, industries, and high-speed internet that has continued to boost efficiency and
services sector, under which telecommunications is categorised, increase productivity across the economic spectrum. "Recent
contributed 26.95 per cent, 18.77 per cent, and 54.28 per cent statistics also indicate that between 2015 and December 2020,
respectively. "This is a pointer to the fact that telecommunications, active voice subscriptions have increased from 151 million to
trade, services and crop production are the main drivers of Nigeria's 204.6 million, with teledensity standing at 107.18 per cent. Basic
exit from recession," Adinde said. In specific terms, NBS report active internet subscriptions grew from 90 million to 154.3 million
showed that largest sub-sectors in Q4 2020 are crop production during the period," Adinde said. He assured Nigerians that the
at 3.68 per cent, crude petroleum and natural gas at 8.2 per cent, commission would continue to be committed to its culture of
trade at 14.9 per cent, telecommunications and information quality regulation of the telecommunications industry and would
services at 12.45 per cent, and real estate at 5.7 per cent. continue to ensure a stable and robust sector which drives the
"Telecommunication sector has, in the last five years been a major digital economy agenda of the federal government and ultimately
driver of the digital economy agenda of the federal government, as leads in the growth of the country's GDP.
it has continued to provide the needed digital sinews that support
the economy, especially during the COVID-19 pandemic and its
attendant restriction period. "Since the outbreak of the pandemic,
government institutions, businesses and individuals have relied
heavily on telecoms services to carry out their daily operations
and official routines. "In response to the increased demand, the
commission put a number of regulatory measures in place to
ensure seamless access by Nigerians to telecommunication
services and protect against any adverse impact on the quality of
service enjoyed by consumers. "The steady growth of the telecoms
sector over the years with its pervasive positive impact on all
other sectors of the economy in terms of increased automation
of processes and digital transformation in service delivery, has

36,700 Additional Base Stations Needed by End-2025 According to Osiptel

Peruvian mobile network operators will 2022, with that figure rising to 49,135 a projected that the figure would rise to
need to deploy an additional 36,695 base year later and 60,771 by the end of 2025. 971.0PB per month by 2025. The regulator
stations by the end of 2025 to support the With a total of 24,076 BTS in service at the also highlights a network development
growing demand for mobile data services, end of 2019, Osiptel estimates that 36,695 gap, identifying five regions where more
according to a study conducted by sector additional sites need to be deployed to than 200% increase in sites will be needed
watchdog the Supervisory Agency for address rising demand – representing an in the coming years, namely: Arequipa
Private Investment in Telecommunications increase of over 150% – but notes that the (1,347 BTS installed at end-2019 and
(Organismo Supervisor de Inversion figure could be less if operators implement 4,367 needed by end-2025, or a 224%
Privada en Telecommuniciones, Osiptel). sharing agreements for passive or active increase), Ica (337%), La Libertad (219%),
According to the regulator’s estimates, infrastructure. Osiptel’s study found Lambayeque (270%) and Ucayali (242%).
the nation will need a total of 34,577 base that average monthly mobile data traffic
transceiver stations (BTS) by the end of stood at roughly 206.7PB in Q3 2020 and

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