INFRASTRUCTURE AND TELECOMS INVESTMENTS
SONNY ARAGBA-AKPORE argues for more investment in infrastructure
To achieve a robust telecommunications connectivity and take service to unserved and underserved areas of Nigeria, between 70,000 and 80,000 telecoms towers are required. Only about 40,000 telecoms towers currently exist leaving a short fall of between 30,000 and 40,000 thus creating an opportunity for investors. The existing towers host 145,141 base equipment units across the country.
Indeed, infrastructure deficit remains a primary hurdle to meeting national broadband targets thus creating new avenues for investors. There are only three infrastructure service providers in the country currently. They are IHS Towers, ATC Nigeria Wireless Infrastructure limited and Globacom Limited. This leaves a yawning gap to be filled by existing and potential investors.
In 2025 alone, data consumption rose from 1.13 terabyte to 1.66 terabyte, accounting for about 47% thus putting enormous pressure on existing infrastructure, a situation that has made the Nigerian Communications Commission (NCC) to beckon on investors to intervene and reduce the pressure on the networks by boosting services.
When it hosted the Digital infrastructure Investment forum in Abuja recently Executive Vice Chairman (EVC), Dr. Aminu Maida said the forum was designed to provide a strategic platform for fostering dialogue between regulators, investors, infrastructure providers, and development partners to examine the investment requirements needed to expand connectivity, identify barriers to infrastructure deployment, and explore partnerships capable of accelerating digital transformation and economic development with the overarching objective of mobilising investments that will improve connectivity. Cumulative Value of Investments in the sector so far are over $76 billion across infrastructure and operations since liberalization in 2001.
In 2025, capital expenditure stood at N2.13 trillion (approx. $1 billion+) but 2026 projections by operators is N1.8 trillion to N1.86 trillion for network expansion alone. But Capital importation and foreign investments dropped significantly by about 91% ($7.24 million) in Q1 2026 compared to prior periods), showing a heavy reliance on domestic reinvestment by major players like MTN and Airtel.
Maida told his audience, ”The investment challenge before us is not merely one of expanding coverage. It is also about ensuring that those already connected enjoy better service quality, improved user experiences, and infrastructure capable of supporting future technologies”. Among the measures already implemented, he cited the telecommunications tariff adjustment approved in 2025 to support operators’ capacity for network investment and service improvement, ongoing engagements with state governments on Right of Way issues, and the designation of telecommunications infrastructure as Critical National Information Infrastructure by President Bola Ahmed Tinubu. These initiatives, he said, are aimed at reducing barriers to network deployment and enhancing investor confidence in the sector.
He said that “the investment we advance today must ultimately translate into better opportunities for Nigerians, improved access to services, and a stronger digital economy that supports sustainable national development,”. Maida commended Swed fund and Ookla for their strategic partnership and contributions toward the successful hosting of the forum, noting that both organizations have played critical roles in supporting the Commission’s efforts to deepen data-driven decision-making and improve understanding of connectivity realities across Nigeria.
According to him, the collaboration with Swed fund and Ookla provides independent insights into the actual connectivity experience of consumers and supports the Commission’s efforts to identify service gaps, monitor network performance and assess areas requiring additional investment. The Forum brought together organizations that could help answer questions on the way forward. These included government and regulators, investors, development finance institutions, operators, infrastructure providers, technology companies and development partners.
Although Nigeria has made significant progress in expanding digital infrastructure, but infrastructure need does not automatically translate into an investable project. Investors and infrastructure providers need a clearer picture of where infrastructure is most needed; where demand is growing; what infrastructure already exists; and where coverage, capacity and performance gaps remain. What is constraining deployment and what would make projects commercially viable or financeable are part of the questions asked for informed investments, especially to determine where public and private resources can work together.
As digital adoption grows, so does the demand for reliable infrastructure. Nigeria’s internet usage illustrates the scale of this growth. Monthly data consumption increased from about 518,000 terabytes in January 2023 to more than 1.66 million terabytes in July 2026, more than three times the January 2023 level. July 2026 usage was also about 47% higher than July 2025, according to NCC’s published industry statistics.
At the same time, network performance and infrastructure capacity vary across locations, while some communities remain difficult or costly to serve. This creates a continuing need for investment in fiber, mobile networks, towers, data centers, satellite connectivity, energy and other supporting infrastructure. The wider economic context makes this increasingly important. The Federal Government has set an ambition of building a US$1 trillion economy by 2030, with the 2026–2030 National Development Plan supporting that ambition. Digital infrastructure is not the only requirement for achieving this goal, but it is an important enabler of productivity, enterprise, innovation, investment and inclusion.
In terms of investment opportunities, the forum covered a wider digital infrastructure ecosystem, including Fibre, backhaul and broadband infrastructure to support growing data demand. Reliable and sustainable power for digital infrastructure and potentially surrounding communities formed one of listed especially in reality of poor electricity supply in Nigeria. Technologies that can improve the cost, speed, reach or resilience of deployment were also on the list of investment opportunities.
Conscious of underserved communities in the country the forum listed opportunities for Commercial financing and partnership models for harder-to-serve locations. The NCC boss said that “the investment we advance today must ultimately translate into better opportunities for Nigerians, improved access to services, and a stronger digital economy that supports sustainable national development.” Industry, Trade and Investment Minister, Mrs Jumoke Oduwole said the forum was timely as quality of a country’s digital infrastructure increasingly determines the quality of investment climate, the competitiveness, and ability to participate meaningfully in international trade. This is because the future of trade is now digital and the nature of trade has changed as today “private networks, data centres, digital platforms, and secure data systems for transactions.”
Aragba-Akpore is a member of THISDAY Editorial Board