By Prince Osuagwu, Hi-Tech Editor

Executive Vice Chairman of the Nigerian Communications Commission, NCC, Prof Umar Danbatta, yesterday confirmed that the telecom sector added 16 percent to the nation’s Gross Domestic Product, GDP, pointing to the federal government, a sector it should look up to for economic revival.

Danbatta also said that barring any unforeseen circumstance, the sector is set to hit 50 percent broadband penetration by the end of this year, in preparation to achieving that 70 percent target contained in the Nigerian National Broadband Plan (NNBP), 2020-2025.

The Chief regulator who stood tall to make these revelations while delivering a keynote speech at a Telecom Executives and Regulators Forum in Lagos said the statistics have made all reasons full proof that the telecom industry is a key sector Nigeria should give priority attention.

 According to Danbatta, the industry hit an all-time-high contribution in second quarter of 2022 with 15 per cent, and now has to shatter the record by moving a step higher to hit 16 per cent by the end of June 2023

Danbatta, while speaking on the theme: “Success Factors and Barriers to National Broadband and Digital Economy Aspirations”, told executives of telecom companies and other industry stakeholders that from about 8 per cent contribution to GDP in 2015, when he came on board as the EVC of NCC, the sector has managed to consistently increase its quarterly addition to GDP to its current height of 16 per cent. He also promised all efforts were being made to ensure it continues in that positive trajectory.

He said: “Through sustained regulatory excellence and operational efficiency by the Commission, the industry has grown in leaps and bounds over the past two decades and this has impacted on all other sectors of the economy. We have also been blessed with the support from all stakeholders and that forms our major success factor,” he added.

He however highlighted some challenges militating against more achievements, to include the issues of right of way (RoW), fibre cuts, huge capital requirement for deployment, multiple taxations and regulations.

He listed others to include regulatory complexities, digital divide and illiteracy, security concerns among others but promised that with firmness and increased collaborations with necessary stakeholders in the industry, the commission is tackling the challenges.

He declared that “with various ongoing regulatory efforts, the NCC is confident that we are going to reach 50 per cent broadband penetration threshold by the end of 2023 and by 2025, we would have met and possibly surpassed the 70 per cent broadband penetration target, as contained in the Nigerian National Broadband Plan (NNBP), 2020-2025.”