The Minister of Communication, Innovation and Digital Economy, Bosun Tijani, yesterday explained that the 50 per cent increase by telecommunication companies in the country was caused by inflation and rising operation cost. He gave the explanation at the 2025 budget defence session by the joint House of Representatives and Senate Committees on Communication.
He added that the move was in tandem with broader economic patterns, where tariffs lead to higher consumer prices as a result of additional costs on imported goods adding that, tariffs act as a sales tax, causing a oneoff price increase rather than sustained inflation.
Tijani, also disclosed that Federal Government is planning to invest N6 six to deploy 90,000 Kilometres of Fiber Optic cable to expand the country’s capacity from 35,000 Kilometers to 125,000 kilometers.
According to him, the planned deployment of more Fibre Optic cable is an initiative aimed at fostering growth in critical communication sectors in the country.
He said: “Because outside of South Africa and maybe Egypt, perhaps Tunisia, a lot of countries have a serious deficit in cable.
“This is going to become a big business. We want Nigerian companies not only to lay in Nigeria, but become companies that will provide these services for neighboring countries as well. “And we want our people to become the employees that will go out and do this work.
“We’ve seen more companies like South Africa being off the back of global business. They can now create security, but not only have to. “So, this is something we focus on. On security, we’ve seen a problem. You cannot secure a society if you don’t have strong communications.
“And what most people don’t pay attention to is that historically, we’ve left investment in telecommunications infrastructure to private companies. “And these private companies will only go to where they can make money with.
“In fact, they use a data set, which is called nighttime satellite data, which will look down on the economy at night. “And they will see where light exists, and that’s where they will put their money.
Because those lights, for them, indicate economic activities.” He added: The ministry is underfunded. It’s not as funded as NCC. So the ministry, each time, they’re unable to actually track all the people that are using, all the people that are meant to pay on time.
Please follow and like us:
