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MTN Surprised over Growth in Voice Revenue in Nigeria

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As part of its financial results for 2017, MTN has reported that voice (measured as talk time in minutes) in the Nigerian market increased by 17% year-on-year (y-o-y).

The company has experienced a 7.2 % y-o-y growth in the contribution of voice to overall service revenue in that country. Voice revenue for 2017 stands at 3.2 billion naira.

Ralph Mupita, Group Chief Finance Officer at MTN says the telco was pleased to achieve the growth in voice, although it does not expect this trend to continue for much longer, particularly given the experience in other markets where voice revenue remains flat in constant currency.

“It was really good to see the continued growth in our voice market where we had a pleasing seven percent in growth for the period. Voice represents seventy five percent of service revenue in Nigeria and seeing that level of growth left us pleased. Two big factors added to that growth and those are that we had net subscriber growth and we have returnees to the network. These two factors had an impact during the year. We expect positive growth for voice in 2018 but not at the exceptional level that we saw in 2017.”

MTN defines returnees as subscribers who stopped using their MTN SIM card and moved to another network before eventually returning to the MTN network.

Rob Shuter, Group president and CEO at MTN says the development is a reminder that voice remains a cornerstone of the business at MTN.

“Some in the industry think everything is about data and digital, but let’s remind ourselves that for MTN as a Group we are a sixty percent voice business and for MTN Nigeria it is a seventy five percent voice business. We are certainly building the data and digital businesses, but we better take good care of voice. Voice in Nigeria is still a growth story.”

Shuter adds that while data in Nigeria saw growth of 86.6% in 2017, this was off a low base.

MTN has only 14.1 million active data users in the country. Shutter says data has very low tariffs and modest adoption in Nigeria (digital business declined by 3.5%, according to the latest financial results), but the company says the market remains well-suited to data monetisation going forward and so has invested in 1520 new 3G sites and 538 4G sites.

During the last quarter of 2017 the operator’s Nigerian business recorded net additions of 1 965 518 to bring the subscriber base at year end to 52,3 million.

MTN noted that Nigeria experienced a markedly weaker naira in 2017, as well as tough currency liquidity challenges earlier in the year, but there was an improvement as the year progressed.

The company expects to achieve double‐digit constant currency service revenue growth in Nigeria over the next few years.

It is also confident the IPO will go ahead in the country by the end of the first half of 2018.

Capital expenditure by the telco in Nigeria over 2017 reached R9 billion and was second only to the R11, 5 billion spent in South Africa, among all of MTN’s 23 markets.


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Telecom

Reps Approve NCC’s N479.508Bn Budget for 2026

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House of Representatives, during Tuesday’s plenary, approved the sum of N479.508 billion budget for the Nigerian Communications Commission (NCC) for the 2026 fiscal year.

Reps Approve NCC’s N479.508Bn Budget for 2026

The resolution was passed after the clause-by-clause consideration of the report at the Committee of Supply.

While giving synopsis of the report,  Peter Akpatason, chairman, House Committee on Communications, explained that the total sum of N479,508,260,000 is to be issued from the Statutory Revenue Fund of the Nigerian Communications Commission.

Out of the issued sum, N124,440,652,000 is meant for Recurrent Expenditure; N26,779,045,000 is for Capital Expenditure; N32,011,492,000 is for Special Projects, while the sum of N20 billion is for Transfer to Universal Service Provision Fund (USPF), N276,277,071,000 is for Transfer to Federal Government for the financial year ending 31st December, 2026.


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NCAN Commends NCC for Mandating Telcos to  Compensate Subscribers for Poor Services

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National Consumers Advocacy Network (NCAN), a  consumer advocacy group focused on protecting the rights of consumers, has commended the Nigerian Communications Commission (NCC),for introducing a policy compelling telecom operators to compensate subscribers for poor network service.

NCAN Commends NCC for Mandating Telcos to  Compensate Subscribers for Poor Services

In a statement issued on Tuesday and signed by Dr Tobi Olanrewaju, its president, the group described the directive as a bold and consumer-focused intervention.

The group noted that the move, which has already seen major telecom operators begin compensating subscribers with airtime credits, marks a shift from what it described as regulatory leniency to measurable accountability.

“For years, Nigerian telecom subscribers have endured suboptimal service quality with little or no consequence for operators,” the statement read.

“What we are witnessing under Dr Aminu Maida is a clear assertion that regulatory oversight must translate into tangible benefits for consumers. This is not merely about compensation; it is about restoring trust in the system.”

According to Olanrewaju, the policy’s provision for automatic compensation without requiring subscribers to lodge complaints demonstrates a strong understanding of the challenges faced by many Nigerians.

“This intervention acknowledges a fundamental principle that the burden of service failure should not rest on the consumer,” he said.

He added that linking compensation directly to actual service disruptions at the local level sets a new standard in regulatory practice.

The group also praised the Commission’s decision to monitor service quality at the Local Government Area level, describing it as a step towards capturing real user experiences rather than relying on general national data.

Olanrewaju further commended the Commission’s simultaneous push for telecom operators to invest in network upgrades, noting that the approach addresses both immediate and long-term concerns.

“While consumers receive immediate value for past deficiencies, the root causes of poor service are being systematically addressed,” he said.

The advocacy group urged telecom operators to embrace the directive as an opportunity to rebuild consumer trust and improve service delivery.

It also called on other regulatory agencies to adopt similar people-centred approaches in tackling systemic challenges across sectors.

“Dr Maida has demonstrated that regulation, when properly executed, can serve as a powerful tool for social and economic justice,” Olanrewaju added.

The group reaffirmed its support for the Commission’s ongoing reforms and called for sustained collaboration between regulators, operators, and consumers.

It added that the true success of the policy would be measured by lasting improvements in network performance across the country.


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Telcos Recover N2 Trillion following Crackdown on Indebted Subscribers

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Telecommunications operators in Nigeria have reportedly recovered over N2 trillion from subscribers in a sweeping debt recovery campaign that has left millions unable to make calls due to unpaid airtime and data loans.

Telcos Recover N2 Trillion following Crackdown on Indebted Subscribers

The aggressive enforcement follows new compliance requirements introduced by the Federal Competition and Consumer Protection Commission (FCCPC), which telecom operators reportedly failed to meet, according to The News Chronicle.

This led to the suspension of airtime and data lending services and triggered a nationwide push to recover outstanding debts.

As part of the measures, indebted subscribers have had their lines restricted from making calls until their loans are fully repaid.

The move has disrupted daily life across Nigeria, particularly for small business owners and workers who depend heavily on mobile connectivity.

The lending service, valued at over N400 billion annually, has long served as a financial lifeline for many Nigerians, especially those without access to formal credit systems.

However, its sudden suspension has forced users to seek alternative means to clear their debts or abandon their lines altogether.

Meanwhile, a legal dispute involving Nairtime Nigeria Limited has added another layer of complexity.

A Federal High Court in Abuja recently ordered MTN Nigeria and Airtel Nigeria to maintain access to key telecom infrastructure, including USSD and SMS services linked to the platform.

Despite the court’s interim injunction, lending services tied to the platform remain unavailable, indicating ongoing tensions between telecom providers, regulators, and fintech firms.

Industry stakeholders warn that the disruption highlights deeper challenges within Nigeria’s digital economy, where telecom infrastructure increasingly supports financial services.

Millions of users who rely on airtime and data borrowing remain disconnected, caught between regulatory policies, corporate disputes, and the need for affordable communication.

As pressure mounts, both regulators and telecom operators are expected to seek a resolution that balances consumer protection with uninterrupted access to essential digital services.


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