Total investments into the telecommunication sector rose to $75.6bn as of the end of 2021, the Executive Vice Chairman of the Nigerian Communications Commission, Prof. Umar Danbatta, has disclosed.

According to him, this comprises foreign direct investment and local investment as of 2021. He stated this at an interactive session with stakeholders in the communications media ecosystem, in Lagos on Wednesday.

He also revealed that 5G subscriptions have grown to over 60,000 subscriptions in many cities across 12 states of the federation.

He explained that in 2018, investment profile in the sector stood at $68bn, then increased to $70.5bn in 2019, and $72bn in 2020. He noted that at the end of 2021, the figure rose to $75.56bn. he noted that investment in the telecoms sector is computed from two sources: the Central Bank of Nigeria, and the financial data obtained from service providers by the commission.

Danbatta said the sector’s investment profile has recorded tremendous growth from its initial investment profile of $500m as of 2001.

Commenting on the sector’s contribution to GDP in 2022 and 2023, he said, “In the first quarter, the sector contributed 12.94 per cent equivalent to N2.25tn while the second quarter witnessed an all-time high GDP contribution by the telecom sector to the nation’s economy, standing at 15 per cent and valued at N2.59tn.

“The sector’s contribution to GDP in the third was 12.85 per cent and in the fourth quarter, it grew to 13.55 per cent, which are valued at N2.44tn and N2.85tn respectively.

“The growth trajectory continued this year as telecommunications and Information Services sector in Nigeria delivered a handsome N2.51tn in terms of financial value contribution to the nation’s gross domestic product, GDP, representing 14.13 per cent in the first quarter 2023,” he said.