Global System for Mobile Communications operator, MTN Nigeria Communications Limited said it has invested over $900million (about N120.6 billion at N134 to a dollar) in equity and infrastructure in Nigeria, in the last three years. This is exclusive of the $285million license fee paid to the Federal Government at inception.
Chief Executive Officer of MTN Nigeria, Mr. Sifiso Dabengwa made this disclosure during the recently concluded 3rd International Nigerian Telecommunications Summit in London. He said MTNN committed $900 million based on its strong belief in Nigeria�s economic potential.
Dabengwa�s speech was delivered by the Chief Corporate Affairs Officer of MTN Nigeria, Mrs. Joke Giwa, at the summit organised by United Kingdom-based CWC Associates Limited, in collaboration with the Federal Ministry of Communications.
According to a statement, which was made available to our correspondent in Lagos on Wednesday, Dabengwa said, MTN came into Nigeria at a time when foreign and local investors were skeptical about the country�s inherent security risks, �but today, with the support of our government, regulators and customers, MTN Nigeria has become an intrinsic fiber of the Nigerian society, both from economic and social perspectives.�
In addition to the financial investment, Dabengwa said MTNN�s contribution to the development of the Nigerian economy was huge. �As at today, MTNN has provided direct employment to about 1800 workers, with over 1200 dealers and thousands of sub-dealers across the country,� he said.
Dabengwa said that MTNN had responded to the challenge of lack of transmission backbone infrastructure in the country by building its own backbone, known as Y�ello Bahn. The digital microwave transmission backbone spanning approximately 7,500 kilometres; more than the distance from Cape Town to Cairo, is providing GSM network transmission to 117 cities and over 5000 communities and villages in the entire six geo-political zones in Nigeria as well as every state of the Federation, including the Federal Capital Territory.
Dabengwa said another major challenge facing Nigerian GSM operators is the nation�s import process, which he reasoned needs improvement.
According to him, �The Nigerian import process is such that from the time of concluding negotiations with the supplier, the import process can add a time frame of anything between two to four months (conservatively) to the equipment delivery time. What this means is that while an operator in Ghana is able to clear his goods promptly and thereby operate supply chain management on a just time basis, MTN Nigeria has to order about six months in advance in order to keep up the pace of deployment.�
In his speech at the summit, the Minister of Communications, Chief Cornelius Adebayo expressed satisfaction with the contributions of Nigerian GSM operators to the development of the country. He said Direct Foreign and Domestic Investment in the telecom sector amounted to $4.1billion in three years.
�The revolution in the telecommunication sector has led to the introduction of a variety of new services, increased foreign and domestic investment, as well as the intensification of healthy competition. Within the past four years, functional telephone lines have increased from a meager 300,000 to over one million; while mobile telephone lines jumped from under 100,000 to about five million,� the Minister said.
