Telecom operators push for new policy as NNBP 2020-2025

Nigeria's telecommunications sector is at a critical juncture. Four months after the expiration of the National Broadband Plan (NNBP) 2020–2025, major telecom operators—MTN Nigeria, Airtel Africa, Globacom, and 9mobile—are publicly demanding a successor policy framework. The silence from the Nigerian Communications Commission (NCC) and the Federal Ministry of Communications has created regulatory uncertainty that threatens infrastructure investment, 5G deployment timelines, and rural connectivity targets across Africa's largest economy.

The original NNBP 2020–2025 was positioned as an ambitious roadmap to deliver broadband access to 90 percent of Nigeria's population and achieve 40 percent household penetration by 2025. Reality fell short. Industry insiders cite underfunded last-mile projects, inconsistent right-of-way fee enforcement, and lack of government co-investment in backbone infrastructure as key failures. With no replacement policy announced as of mid-2025, operators face ambiguity on capital allocation, spectrum licensing terms, and infrastructure-sharing incentives—the building blocks of modern telecom investment.

## What drove the NNBP 2020–2025 shortfall?

The plan's collapse stemmed from structural misalignment between public ambition and private investment capacity. Telecom operators bore 80 percent of infrastructure costs while government committed to regulatory support that often didn't materialize. Rural broadband projects—inherently low-margin—were starved of incentives. Simultaneously, the naira's depreciation increased import costs for network equipment by up to 40 percent between 2020 and 2024, squeezing capex budgets. By 2024, Nigeria's rural broadband penetration stood at just 22 percent, a near-total policy failure for semi-urban and underserved communities.

## Why does a new policy matter for investors?

A successor framework signals three critical outcomes: (1) clarity on spectrum auction timelines and 5G licensing costs; (2) tax and duty incentives for equipment imports and tower construction; (3) rural subsidy mechanisms that improve project ROI. International portfolio investors in Nigerian telecom equities—already volatile due to forex headwinds—will price in policy risk until a roadmap is published. Additionally, cross-border digital trade initiatives with ECOWAS partners depend on Nigeria's broadband backbone; policy delay cascades across the region.

## What are operators specifically demanding?

Telecom CEOs have called for: extended tax holidays on infrastructure capex; harmonized right-of-way fees across states (currently chaotic, ranging from ₦5,000 to ₦50,000 per kilometer); co-investment from the federal government in trunk fiber; and clarity on spectrum pricing ahead of the next 5G licensing round. They've also requested regulatory sandboxes for emerging technologies like satellite internet and private 5G networks—competitive pressure that could reshape Nigeria's digital landscape if permitted.

The NCC's 2026 agenda must address this void. Delays beyond Q2 2026 risk a second lost policy cycle, with operators redirecting capex to higher-return markets in South Africa, Kenya, or Egypt. For Nigerian investors and the diaspora, a new broadband plan isn't just telecom policy—it's a prerequisite for digital economy growth, fintech scaling, and tech talent retention.

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