The Nigerian government has announced plans to commit an additional $2 billion investment in fibre optic infrastructure as part of its comprehensive strategy to digitalize the nation's economy and improve telecommunications access across the country.
Dr. Bosun Tijani, Minister of Communications, Innovation, and Digital Economy, revealed this during an interview for an upcoming State House documentary marking President Tinubu's second anniversary in office. The minister also disclosed that Nigeria's Communications and Digital Economy sector attracted $191 million in foreign direct investment (FDI) during the fourth quarter of 2024.
The ambitious $2 billion investment will fund the deployment of 90,000km of fibre optic infrastructure nationwide, with implementation scheduled to begin in the fourth quarter of 2025. This initiative aims to provide affordable, high-quality connectivity to all Nigerians regardless of their location.
Significant Growth in Foreign Investment
Minister Tijani highlighted the remarkable growth in foreign direct investment in the sector, noting that FDI inflows increased from $22 million in Q1 2023 to $191 million by Q1 2024, followed by $114 million later in 2024. This ninefold increase reflects growing international confidence in Nigeria's digital economy.
"We are preparing a $2 billion investment to ensure every Nigerian can access affordable, high-quality connectivity regardless of location. Increasing connectivity hubs by just 10 per cent could yield a 2.5 per cent GDP growth," Tijani stated.
Digital Skills Development and AI Advancement
The minister also provided updates on the 3 Million Technical Talent (3MTT) programme launched in October 2023. The initiative has already facilitated training for over 117,000 Nigerians in digital skills, far exceeding its initial target of 30,000. With an additional 35,000 currently in training, the programme is approaching 10 percent of its ultimate goal.
Nigeria has made significant strides in artificial intelligence, now ranking among the world's top 60 countries for AI readiness. The government has launched the AI Collective platform in collaboration with Pierre Omidyar, Google, and Microsoft to foster innovation in this field.
For the first time in Nigeria's history, the ministry has funded 55 academic researchers to explore technology applications in agriculture, healthcare, and education. Additionally, N300 million has been invested in 10 startups using AI and blockchain to enhance agricultural productivity.
Bridging Rural Connectivity Gaps
To address connectivity challenges in rural areas, the government plans to deploy 7,000 telecom towers with a target of achieving 98% nationwide coverage. Progress on Right-of-Way issues has been described as a game-changer, with 12 states having adopted zero-rated Right-of-Way policies.
These efforts support the National Broadband Plan's goal of increasing penetration from 48% last year to 90% this year, which would significantly boost the sector's contribution to Nigeria's Gross Domestic Product (GDP).
"If a sector can increase its contribution by three to four per cent to the GDP, we're about to see economic growth we've not seen before. Technology allows us to bridge the gap between governments and the people," Tijani projected.
The minister expressed optimism that these comprehensive efforts would deliver "long-lasting reforms that will transform our economy for generations to come."
