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NCC Moves to Review International Termination Rate for Voice Services

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L-R: Peter Osayande, Consultant, Messer's Payday Advances and Support Services; Sunday Atu, Head, Competition and Tariff, Nigerian Communications Commission (NCC); Austin Nwaulune, Director, Spectrum Administration, NCC; Yakubu Gontor, Director, Finance Services, NCC; Josephine Amuwa, Legal & Regulatory Services, NCC; Adeleke Adewolu, Executive Commissioner, Stakeholder Management, NCC; Yetunde Akinloye, Director, Policy Competition & Economic Analysis, NCC; Usman Malah, Director, Human Capital & Administration, NCC; Ibrahim Dikko, Regulatory Expert, Messer's Payday Advances and Support Services; Mohammed Babajika, Director Licensing & Authorization,
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The Nigerian Communications Commission (NCC) has embarked on a cost-based study to set the new pricing regime for mobile international termination rate (ITR) for inbound international voice calls in the country.

The ITR is the rate paid to local operators by international operators to terminate calls in Nigeria.

As part of the process for the rate determination, the Commission has organised a virtual stakeholder engagement forum with relevant industry stakeholders to intimate them with the ongoing cost-based study and the need to cooperate with Messrs Payday Advance and Support Services Limited, the consultants engaged to carry out the study

Addressing the stakeholders in Abuja recently, Prof. Umar Danbatta, executive vice chairman of NCC, said the study has become imperative following the various implementation constraints arising from contending industry and market dynamics that met previous efforts at finding an optimum price for the termination of international voice services in Nigeria.

Danbatta, who was represented at the forum by Adeleke Adewolu, executive commissioner, Stakeholder Management, NCC, said through the new ITR pricing, the Commission will be able to balance the competing objectives of economic efficiency and allowing operators the latitude to generate reasonable revenue.

The EVC, however, explained that in 2013, the Commission issued a determination stating that mobile termination rate (MTR) rates were the same irrespective of where the call originated, a clause he said was largely misconstrued by operators at that time to mean that ITR should be the same rate as the MTR.

He said this led to operators ignoring the international cost portion, where ITRs were agreed at MTR level without a positive residual to cover the costs of the international leg for local operators.

“As a result of this, the ITRs continued to decline, in line with the MTR glide path and as the ITR was set in Naira, it suffered a further downward slide in dollar terms following the currency devaluation.

“Ironically, the Nigerian operators paid the international operators in dollars to deliver international calls which created an imbalance of payments as the ITR in Nigeria declined,” he said.

As a result, Danbatta said Nigerian operators’ profitability and commercial results were negatively affected putting Nigeria’s ITR below that of most countries with which it makes and receives the most calls, thereby making Nigerian operators perpetual net payers.

“This has, therefore, led to undue pressure on the nation’s foreign reserves, which continue to get depleted by associated net transfers to foreign operators on account of this lop-sidedness, hence the need for Nigeria, with volatile currencies, to regulate the ITR to prevent or mitigate the imbalance of payments with international operators,” the EVC said.

According to Danbatta, where ITR is not properly regulated, it tends to have a negative effect on a market like Nigeria with major supply-side challenges and associated socio-economic implications.

“So, setting a rate substantially above the MTR has resulted in a number of repercussions. One of such is the consumer shift to online channels as calls are increasingly made through Internet Protocol (IP)-based technologies such as Skype and WhatsApp because of high international call prices.

“To this end, an economically-efficient ITR that is cost-based will maximise economic benefits to all stakeholders,” Danbatta told the stakeholders.

Earlier in her remarks, Director, Policy, Competition & Economic Analysis, Yetunde Akinloye, said the forum is aimed at formally engaging with and sharing the perspectives and insights of industry stakeholders and ultimately enlisting their collective support in relation to the inputs and requirements towards the determination of a mutually- realistic ITR in Nigeria.

She noted that the project commenced on March 10, 2020 with a kick-off meeting but was stalled by the challenges associated with the COVID-19 pandemic, necessitating the need to explore emerging channels of engagement to move forward and ensure the completion of the project.

Akinloye reiterated the Commission’s commitment to continuously provide a conducive environment and level-playing field for the effective interplay of factors that would sustain market development and growth, while ensuring the provision of qualitative and efficient telecommunications regulatory services for the benefit of consumers and licensees.

 


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Ugo Onwuaso is an ICT enthusiast. He believes technology should be used for general good. He holds a Master of Public Administration (MPA) degree from the Lagos state University. Dear Reader, Your support matters. But we believe that technology makes life more exciting and helps improve the lives of people around Nigeria and indeed the world. That is why, we have devoted our energy to independent reportage of technology and finance and how they affect lives. Our incisive and analytical view of how technology news affects the daily life help individuals and organizations make up their minds. Quality journalism costs money. Today, we're asking that you support us to do more. Kindly support our effort to deliver technology and finance journalism to everyone in the world. Donate as little as N1,000. Bank transfers can be made to: UBA Plc 1017156876 Communication Week Media Ltd

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NCC Blames Growing Data Demand Network Quality Issues

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Nigerian Communications Commission (NCC) has linked Quality of Service (QoS) challenges across telecom networks to rising data consumption, stating that operators are ramping up efforts to sustain investments to improve coverage and capacity.

NCC Blames Growing Data Demand Network Quality Issues

Dr Aminu Maida, executive vice chairman, NCC,

Dr Aminu Maida, executive vice chairman, NCC, stated this during a breakfast meeting with the media in Abuja on Friday, where he noted that while service quality is improving, it is yet to meet regulatory expectations.

He said recent data shows positive signals from independent user-based measurements, indicating that network performance is getting better rather than deteriorating.

However, he explained that increased usage is offsetting gains, creating a cycle where improved services trigger higher demand, which in turn puts fresh pressure on infrastructure.

“We’re still not where we want to be, but are we satisfied as a regulator? I would say within the context for which we operate, I think the area of satisfaction is the fact that we’re beginning to see the right signals. But at the same time, we also see a rise in consumption. So it’s like a cycle. As they’re making investments and making upgrades, people are consuming more,” he said.

Maida disclosed that data consumption has risen by about 170 per cent in the last two years, describing the surge as a major factor behind network strain.

The EVC added that operators are responding with increased investments, with site upgrades expected to rise significantly this year to expand both coverage and capacity.

He also highlighted regulatory efforts to improve industry sustainability, including ongoing policy reviews, cybersecurity framework implementation, and collaboration with security agencies to protect telecom infrastructure.

 

 


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FG Pushes Digital Economy Bill to Fast-Track AI, Cloud Adoption

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Nigeria’s drive toward a fully digital economy is gathering pace as the Federal Government intensifies work on e-governance and digital economy bill to strengthen the regulatory framework for emerging technologies and boost public sector innovation.

FG Pushes Digital Economy Bill to Fast-Track AI, Cloud Adoption

The Director General of the National Information Technology Development Agency (NITDA), Kashifu Inuwa Abdullahi, CCIE, represented the Minister of Communications, Innovation and Digital Economy, Dr. Bosun Tijani, at the Global Partnership for Human-Centric ICT Standardisation (GIST) Nigeria Introductory Stakeholder Workshop in Abuja.

At the Global Partnership for Human-Centric ICT Standardisation (GIST) Nigeria Introductory Stakeholder Workshop in Abuja, the Director-General of the National Information Technology Development Agency (NITDA), Kashifu Inuwa representing the Minister of Communications, Innovation and Digital Economy, Bosun Tijani said the country has moved beyond strategy design to implementation of its national Artificial Intelligence (AI) roadmap.

He noted that the current phase focuses on developing clear guidelines and regulatory frameworks to ensure AI deployment aligns with ethical standards, accountability, and strong safeguards.

As part of the broader digital transformation agenda, the government is also advancing data classification efforts to ensure the availability of clean, reliable datasets for AI training. In parallel, it is promoting cloud adoption across public institutions to enhance efficiency, scalability, and service delivery.

Inuwa stressed the importance of a “cloud-first” policy, warning that continued dependence on premise systems could slow large scale digital transformation. However, he added that cloud integration would be approached cautiously to safeguard Nigeria’s digital sovereignty and protect critical national data.

Progress is also being recorded in the e-governance space, with the development of an interoperability framework and the Nigerian Government Enterprise Architecture. Additionally, work is ongoing on a data exchange platform to support Government Statistics Digital Public Infrastructure (DPI), aimed at improving data sharing and coordination among Ministries, Departments, and Agencies (MDAs).

The initiative is expected to harmonise public sector digital projects while creating opportunities for private sector participation.

Inuwa stressed the need for stronger collaboration among government, industry, and other stakeholders to build resilient digital infrastructure. He expressed confidence that the proposed legislation and related initiatives would enhance Nigeria’s standing in digital governance while promoting innovation, transparency, and inclusive growth.

Earlier, the European Commission’s Team Leader for Digital Governance, Peter Marien DG INTPA, highlighted the role of international cooperation in shaping global digital standards. He said the European Union’s digital strategy prioritises partnerships and ecosystem alignment across regions, including Nigeria and the United Kingdom.

Marien referenced a recent engagement in Brussels on e-governance, organised with Smart Africa, which included participation from NITDA. He described Nigeria’s involvement in the GIST initiative as a strong signal of its commitment to global digital governance.

He emphasised the EU’s focus on a human-centric digital ecosystem that prioritises inclusivity, privacy, and security, noting that its 27 member states have, over two decades, built a cohesive digital framework centred on citizens.

Marien also identified Nigeria as a strategic player in Africa’s quest for a unified digital market, highlighting its role in advancing cross-border digital integration.

According to him, standards serve as the “invisible backbone” of modern societies, supporting critical systems across sectors. He said the GIST platform enables alignment of technical standards and fosters knowledge exchange between regions.


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How Nigerians Are Secretly Using AI to Master Creative Skills Fast

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Google has revealed new insights showing that Nigerians are increasingly leveraging Search and artificial intelligence tools to develop creative skills and explore artistic pursuits in 2026.

How Nigerians Are Secretly Using AI to Master Creative Skills Fast

Google AI

According to the latest trends for March, there is a growing shift toward using technology as a practical assistant for personal growth, learning and creative expression across the country.

Nigeria’s longstanding reputation as a creative powerhouse continues to shape this trend. From the global dominance of Afrobeats to the rise of Nollywood—now ranked as the fifth-largest film industry globally—the country’s cultural influence remains strong. Industry data shows Nollywood’s value is approaching $8 billion, with over 70 per cent of viewership for Nigerian-produced content coming from international audiences. Similarly, Afrobeats continues its global surge, recording more than 13 billion streams annually on platforms like Spotify.

Google’s data indicates that Nigerians are deliberately using digital tools to sharpen their creative abilities. Interest in learning painting has surged by 90 per cent over the past year, while calligraphy has emerged as a breakout trend, reflecting new forms of artistic exploration.

Music-related learning is also on the rise, with searches for guitar lessons increasing by 80 per cent. At the same time, users are exploring emerging AI-powered tools such as Lyria 3, highlighting a blend of creativity and advanced technology.

Beyond the arts, Nigerians are turning to digital tools to broaden global connections. Interest in learning Italian has jumped by 130 per cent, while searches for Japanese language learning have doubled within the past year.

This growing appetite for digital learning is supported by Nigeria’s expanding tech-driven economy. Research by Public First suggests that every dollar invested in digital technology generates more than eight dollars in economic value. The ICT sector has also emerged as a key contributor, accounting for over 16 per cent of the country’s real GDP.

Students and families are equally tapping into AI-powered tools for education. Searches for AI tutors have become a breakout trend, while interest in combining AI with subjects like chemistry has doubled over the past year. Homework-related searches have also risen by 70 per cent.

These developments are being bolstered by improved digital infrastructure, including projects such as the Equiano subsea cable, which significantly increases internet capacity and connectivity across the region.

Commenting on the trend, Taiwo Kola-Ogunlade said it is encouraging to see Nigerians using AI creatively to unlock new opportunities.

He noted that the rise in creative arts and language learning reflects a population actively shaping its future with technology, using AI tools as “24/7 tutors” to build skills and connect globally.

Google added that tools such as Search and Workspace are already delivering measurable productivity gains, with Nigerian knowledge workers saving over 22 million hours weekly—equivalent to an estimated $4.7 billion boost in productivity.

The surge in AI literacy, which has grown by 840 per cent, further underscores a broader shift as Nigerians increasingly integrate technology into their creative, academic and professional lives.


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