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MTN Nigeria Plans N52Bn Recapitalisation

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MTN Nigeria plans to issue two series of commercial papers worth N52.895bn, according to a corporate notice filed with the Nigerian Exchange Limited on Thursday.

MTN Nigeria Plans N52Bn Recapitalisation

In the notice, the company said that Series 8 & 9 Commercial Paper notes would be under its N250bn Commercial Paper Issuance Programme.

The notice signed by Uto Ukpanah, company secretary, said, “The issuance is part of the company’s strategy to diversify its financing options with the funds being deployed towards short-term working capital and funding requirements,” with a promise to provide more details to the market later.

Recently, MTN Nigeria raised N125bn through the issuance of commercial papers series 6 & 7.

Although, the company said it sought to raise N100bn, the offer recorded 146 per cent subscription with N125bn raised across both series.

The series included a 181-day commercial paper at a yield of 13 per cent and a 265-day CP at a yield of 13.50 per cent with an issue date of August 23, 2023.

In its recently released financial results for the first nine months of 2023, MTN Nigeria said its N250bn commercial paper programme was issued in March and August 2023 and that N52bn was redeemed in the month of September 2023 with the remaining tranches maturing in November 2023 (N72bn) at 12.5 per cent, February 2024 (N52bn) at 13 per cent and May 2024 (N72bn) at 13.5 per cent.

In the period ended September 2023, MTN reported a 21.8 per cent growth in its revenue from N1.45tn in September 2022 to N1.77tn at the end of the same period in 2023.

Its net finance cost rose by 174.4 per cent to N375.95bn, and profit before tax decreased by 42 per cent to N232.46bn.

Also, the telco’s earnings per share decreased by 45.2 per cent to N7.06 kobo while profit after tax declined by 45.2 per cent to N147.36bn.

MTN’s mobile subscriber base reached a new high of 77.6 million users as it added approximately 2 million users in the nine months. 3.6 million active data users were added in the nine months as its total data traffic rose by 46.3 per cent, and data usage (GB per user) grew by 29.1 per cent.

On the side of its fintech business, MTN Nigeria said it was recovering from the slowdown in H1 as active wallets rose by 1.6 million to 3.6 million, with over 293,000 MoMo agents and 197,000 merchants.

 

 


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Vitel Wireless Partners Fintechs to Expand Access to Services

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Vitel Wireless has entered into partnership with OPay Limited and Moniepoint Limited, to expand access to airtime and data services, particularly in Nigeria’s underserved and rural communities.

Vitel Wireless Partners Fintechs to Expand Access to Services

The collaboration enables millions of customers on both fintech platforms to seamlessly purchase Vitel Wireless airtime and data directly from their bank accounts and digital wallets, a move designed to simplify access and improve connectivity nationwide.

Chudi Nwabueze, chief operating officer, Vitel Wireless, said the initiative highlighted the growing convergence between financial services and telecommunications in Nigeria.

He noted that by leveraging the expansive reach and infrastructure of fintech platforms, the company is removing long-standing barriers to mobile access.

Nwabueze added that the move builds on Vitel’s existing partnerships with traditional financial institutions such as Fidelity Bank and Zenith Bank, extending its footprint into the rapidly growing fintech ecosystem.

“This integration allows users to conveniently top up airtime and purchase data bundles through familiar banking and wallet platforms, improving accessibility and overall user experience,” he said.

Also speaking,  Odera Ben-Chiobi, product marketing manager, Vitel Wireless, said the partnership aligns with the company’s mission to democratize access to mobile connectivity across Nigeria.

According to her, the collaboration will bring telecom services closer to millions of Nigerians, especially in areas where access has historically been limited.

She added that combining telecom services with digital financial platforms will also support broader financial inclusion efforts.

Vitel Wireless currently operates nationwide through a network-sharing agreement with MTN Nigeria, leveraging MTN’s infrastructure to deliver its services across the country.

The company noted that the partnership reflects a shared commitment to inclusive growth, with the potential to accelerate both financial inclusion and digital connectivity across Nigeria.

 

 


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Reps Claim NCC’s Weak Regulatory Oversight Responsible for Poor Telecom Services

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House of Representatives on Wednesday claimed that Nigerian Communications Commission’s (NCC)  weak regulatory oversight, was responsible for the country’s ongoing poor telecom service quality.

Reps Claim NCC’s Weak Regulatory Oversight  Resposible for  Poor Telecom Services

The lawmakers accused the NCC of failing to enforce standards that would compel operators to provide reliable connectivity.

They warned that persistent issues like dropped calls, slow data speeds, and network failures pose serious risks to lives and property, particularly during emergencies.

The resolution followed the adoption of a motion of urgent public importance moved by Ahmadu Jaha, representing Chibok/Damboa/Gwoza Federal Constituency in Borno State.

Speaking on the motion, Jaha emphasised the critical role of telecommunications in Nigeria’s economy and daily life, while lamenting the widening gap between subscriber expectations and actual service delivery.

“Telecommunication has become a vital part of everyday life in Nigeria. It connects families, supports businesses, enhances education, and drives economic growth. However, despite its importance, the quality of service provided by many telecom companies remains unsatisfactory,” he said.

Jaha highlighted recurring problems such as dropped calls, poor internet speeds, and failed message deliveries as signs of deeper systemic failures in the sector.“The House is concerned that poor network connectivity is a major issue.

Subscribers frequently experience dropped calls, slow internet speeds, and difficulty sending messages. This affects both personal communication and business operations, leading to frustration and financial losses,” he added.

Lawmakers also expressed dissatisfaction with the high cost of services relative to the quality received.

Jaha noted that Nigerians pay substantial amounts for data bundles that are quickly depleted due to unstable connections and frequent interruptions.

He further pointed to inadequate customer service, where complaints often go unresolved for long periods, hindering emergency communications during fire outbreaks, medical emergencies, or accidents.

The lawmaker attributed part of the problem to insufficient infrastructure expansion, especially in growing urban centres and underserved rural areas.

“Network congestion during peak hours and in densely populated areas shows that infrastructure development has not kept pace with the growing number of users,” he said.

Supporting the motion, George Ozodinobi, deputy minority whip, accused telecom operators of prioritising profits over service quality while faulting the NCC for regulatory complacency.

“It is like these companies have made enough profits in billions, and so, they don’t care about improving the network anymore. The NCC, the regulator, has become complacent,” Ozodinobi stated.

Despite the sector’s rapid growth from under one million lines in the early 2000s to over 200 million active subscriptions today challenges such as insufficient base stations, unreliable power supply, multiple taxation, and infrastructure vandalism continue to hamper service quality.

In its resolution, the House urged telecom companies to invest in modern infrastructure, expand coverage especially in rural communities, improve customer service, and adopt fairer pricing that reflects actual service quality.

The lawmakers also directed the NCC to enforce stricter quality-of-service standards and hold operators accountable.

They further resolved to set up an ad-hoc committee to investigate the root causes of poor service delivery and recommend appropriate legislative measures.

 

 


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GSMA Africa Policy Group Chair Calls for Urgent Tax Reforms to Accelerate Digital Inclusion

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Mr. Daddy Mukadi, the Chief Regulatory Officer of Airtel Africa and Chair of GSMA Africa’s Policy Group, has called on African governments to recognise telecommunications as a core economic pillar and to implement two specific tax reforms that could dramatically accelerate digital inclusion across the continent.

Speaking at the first edition of the États Généraux du Secteur des Postes et Télécommunications in Kinshasa, DRC – an event convened to support the development of a strategic roadmap for the country’s digital and telecommunications sector and attended by H.E. President Félix Tshisekedi – Mukadi, who’s also a member of the GSMA Global Policy Group, urged government and industry stakeholders to rethink the role of telecommunications in national development.

He argued that it should be framed not as a sector specific concern, but as a continent-wide imperative.

“The telecoms sector can no longer be considered merely as a support sector,” Mukadi said. “It is now a core sector. Both are vital, and every other sector, from security and finance to transport and health, depends on digital technology for growth.”

His remarks come at a critical moment for Africa’s digital economy. According to the GSMA’s Mobile Economy Africa 2025 report, the mobile sector contributed US$220 billion to the continent’s economy in 2024. This is equivalent to 7.7% of GDP and is projected to reach US$270 billion by 2030.

Yet despite mobile networks now covering 95% of Africa’s population, nearly 75% of people across the continent remain offline.

The GSMA identifies this gap as Africa’s greatest connectivity challenge, driven above all by the unaffordability of devices.

Mr. Mukadi, therefore, called for strategic adjustments to public policy, as well as legal and regulatory frameworks, to support wider access to digital services.

He asserted that the telecommunications sector should be treated as a foundational pillar of economic development, with stakeholders working together to accelerate investment, expand coverage and close the usage gap across the continent.

The Chief Regulatory Officer of Airtel Africa also highlighted key barriers to digital inclusion, including the affordability of smartphones and the impact of import duties on telecommunications infrastructure.

He proposed a two-to-three-year exemption on import duties and taxes for entry-level smartphones priced between US$40 and US$150 to help bridge the usage gap. He also called for the removal of entry duties on telecommunications equipment for at least three years to support the expansion of network coverage.

According to him, “these measures would help deliver inclusive and sustainable digital technology for economic and social progress,” Mukadi said. “They would also support faster connectivity, improved access and the ability to connect more people, businesses and communities to the digital economy.”

He added that government and the private sector must work closely to create a regulatory environment that encourages innovation, protects consumer interests and supports long-term investment.


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