MTN to invest N640b on broadband expansion

MTN Nigeria plans to invest N640 billion, about $1.5 billion, over the next three years to expand broadband access across Nigeria.

The multi-billion naira investment plan is in line with the Federal Government’s 2020-2025 National Broadband Plan and in support of MTN Group’s strategy, Ambition 2025: Leading Digital Solutions for Africa’s Progress.

Group President and Chief Executive Officer, MTN Nigeria, Ralph Mupita, who spoke after a three-day visit to Abuja and Lagos after meeting a number of key stakeholders, said Nigeria is one of the group’s most important markets.

“We have a proud history of partnering with Nigeria and Nigerians to drive faster and more inclusive growth through digital transformation,” Mupita said.

He said MTN Group’s plans to sell down 14 per cent of MTN Nigeria to Nigerian investors were well advanced and this would happen as soon as conditions were conducive. MTN Nigeria, in which MTN Group has a 78.8 per cent stake, sought to have the largest retail shareholder base on the Nigerian Exchange (NGX), where it has a market capitalisation of N3.4 trillion (S$8.2 billion).

Mupita had met with President Muhammadu Buhari; Vice President Yemi Osinbajo; Minister of Communications and Digital Economy Dr Isa Ali Pantami; Executive Vice Chairman, Nigerian Communications Commission (NCC), Prof Umar Danbatta as well as Central Bank of Nigeria Governor Godwin Emefiele.

Mupita who was accompanied by MTN Group Chief Financial Officer Tsholo Molefe, MTN Nigeria Chairman Ernest Ndukwe and MTN Nigeria CEO Karl Toriola – reiterated the telco’s support for Nigeria’s plans to secure 90 per cent broadband population coverage by 2025. This aligns with MTN Group’s belief that everyone deserves the benefits of modern connected life and our work to extend digital and financial inclusion across Africa.

The delegation welcomed Nigeria’s plans to auction 500megahertz (MHz) of 5G spectrum: five blocks of 100MHz in the 3500MHz band, which Mupita said would facilitate accelerated broadband access.

“To mark the 20th anniversary of MTN’s operations in Nigeria, MTN Nigeria plans to build a new flagship headquarters in Lagos,” Mupita said.