Today, Nigeria’s Telecommunications Investment is Estimated at $8 Billion and is Expected to Reach $12 Billion by the End of Year 2007

Dublin (PRWEB) November 23, 2005

Research and Markets ( has announced the addition of The Nigerian Telecoms Investors Report to their offering.

After successfully liberalizing the telecommunications sector and auctioning three Global Systems for Mobile (GSM) licenses in January 2001 for $ 285 million each and further reserved a license for NITEL, the antecedents recorded have been astounding.

Two (2) out of the three (3) companies at the auction, MTN Communications, ECONET Wireless and NITEL were awarded full GSM licenses. The third successful company, Communications Investment Limited (CIL), at the auction was refused a license on the grounds that it did not meet payment deadline. However, the NCC granted a license for Second National Operator (SNO) to Globacom Nigeria on August 12, 2002. Globacom met the obligation to pay the mandatory $ 200 million for the license – which contains National Carrier Services, Digital/ Mobile Services, Long Distance Communication and Fixed Wireless Services – before the August 30, 2002 deadline

Licenses were also granted to the fixed wireless networks, internet services, VSAT (Very Small Aperture Satellite System) and telecommunication equipment services. Other licenses, such as Fixed Wireless Access (FWAs) licenses, have also been issued to private companies to operate their services.

Today, Nigeria’s telecommunications investment is estimated at $ 8 billion and is expected to reach $ 12 billion by the end of year 2007. On the continent, both fixed and mobile line subscribers’ base in Africa is about 100 million when combined. About 68% of the lines, as at December last year were mobile lines. It is therefore projected that in the next five years, 2005 – 2009, African subscribers’ base will climb to 140 million. Nigeria, followed by South Africa, is expected to lead African countries that will benefit from the telecoms infrastructure investments.

Comparatively also, West Africa is ahead of Northern and Southern regions in the investment forecast. Fresh investments would focus basically on infrastructure development in the fixed and mobile networks, growing subscriber base from 17.4million in 2005 to over 24.1 million covering 2005 – 2007. Most new investments are expected to go into transmission and access components of the networks. Also, a significant shift of investment would go towards the operating systems, base stations and network servers’ element of the network, as it matures and operators begin to rollout more sophisticated services to their subscribers.

This report is based on primary interviews with 60 major investors and is invaluable for dimensioning the investment terrain and for quantifying the opportunities within the telecoms market.

Why you should read this report-

Financial Institutions:

Use this report to develop investment portfolio into the burgeoning Nigerian ICT market especially the telecoms sector.

Telecom Service Provider:

It would serve as a catalyst for developing market leads and driving sales of desired services.

Regulatory Bodies:

Would use this report to observe how implemented regulatory policies have evened out in the telecoms sector and assist in making further future plans.


To observe and appreciate investments in the country towards the telecoms sector with a view of anticipating where and how to invest in the vast opportunities that abound in ICT and telecoms especially.

Companies Mentioned:



First Bank





Nigeria Stock Exchange




Union Bank

For more information visit

Laura Wood

Senior Manager

Research and Markets

Fax: +353 1 4100 980