Nigeria’s Information and Communication Technology (ICT) sector grew at 8.6% year-on-year in the second quarter (Q2) of 2023, the highest increase in three years.
According to the latest Gross Domestic Product (GDP) report released by the National Bureau of Statistics (NBS), the ICT sector contributed 19.54% to the Q2 GDP, a notable increase from 18.44% recorded during the same period in 2022.
Ajibola Olude, the Executive Secretary of the Association of Telecommunication Companies of Nigeria (ATCON), attributed this robust growth to the increasing digital literacy within the country.
He explained that many Nigerians have gained digital knowledge, particularly regarding broadband penetration.
Also, Olude noted that the industry has significantly expanded its services in rural areas, thus signifying the gradual penetration of technology into previously untapped regions of the economy.
Experts also highlighted that Nigeria’s technology sector, as exemplified by the thriving telecoms industry, has made substantial progress. However, there is a consensus that the nation is yet to fully exploit its potential, especially when compared to smaller African countries like Rwanda, Botswana, and Mauritius, which have taken the lead in technological advancements on the continent.
To unlock the immense potential of Nigeria’s ICT sector, analysts argue for a substantial departure from conventional approaches, with the driving force behind this transformation being Bosun Tijani.
Earlier this year, the Nigerian Communications Commission (NCC), the independent National Regulatory Authority for the telecommunications industry in Nigeria, reported a remarkable 37.04% reduction in the number of Nigerians without access to telecommunication services in 2022, bringing the figure down to 27 million.
Similarly, the NCC highlighted a substantial decrease of 53.1% in the number of identified clusters in the country lacking telecom access by the end of the year.
Umar Danbatta, the Executive Vice Chairman and Chief Executive Officer of NCC, expressed their commitment to extending telecom services to rural, unserved, and underserved areas.
He stated, “By 2022, we have reduced the clusters of access gaps to 97 from 207 in 2013. The number of Nigerians again has come down from 37 million in 2013 to 27 million as we speak.”
Chris Uwaje, Chairman of Mobile Software Nigeria, pointed out that while Nigeria possesses immense creative and innovative capabilities in the ICT sector, it is still performing below global expectations. He stressed the importance of focusing on core competencies and digital innovation to fulfill the nation’s potential.
Uwaje also highlighted the critical role of software in Nigeria’s digital transformation and innovation but raised concerns that Nigeria has yet to establish a specialized Software Engineering Institute (SEI), a crucial component of digital innovation and transformation.