LCCI Advocates More Investments In Telecom Infrastructure For $1trn Economy

The Lagos Chamber of Commerce & Industry (LCCI) said, in a quest for a one trillion-dollar economy, the nation needs more investments in critical infrastructure to drive the much-needed digital revolution for growth and development.

The director-general of LCCI, Dr. Chinyere Almona, who stated this in Lagos, while reacting to a hike in telecoms tariff, noted that, telecom services have become a critical part of our lifestyle and business; however, the telcos must remain competitive to deliver the best quality of services to businesses that can leverage technology to save some costs.

“In Nigeria, the current operating environment in the telecommunications sector has become too expensive for the telcos to operate profitably. Factors such as rising energy costs, the increasing price of network equipment, inflation, and currency depreciation have placed a heavy financial burden on the operators. Telecom providers have resorted to increasing tariffs to mitigate the rising cost,” she stressed.

Almona noted that, “the recent hike in telecom tariffs has attracted mixed reactions. While this hike may offer relief for the operators, it risks placing additional strain on consumers, particularly those in lower-income brackets. Another factor of consideration by most stakeholders is that Nigerian citizens and businesses deserve better services from the operators and more robust regulation from the government.”

She emphasised that, “in our quest for a one trillion-dollar economy, we need more investments in critical infrastructure to drive the much-needed digital revolution for growth and development. A robust digital infrastructure will support innovation across all sectors of the Nigerian economy.”

Looking beyond the hike, she added that, the operators and regulators need to settle down into delivering quality services to drive operational cost efficiency for businesses and support the automation of government services, saying, “we reiterate our call for reducing human interface in the conduct of regulatory services like licensing of products, obtaining necessary permits, issuance of certifications, and port operations.

“These activities can be automated for cost-effectiveness for businesses and better efficiency on the part of the government.

The emerging innovative landscape in food production, surveillance technology for security, citizens’ social engagement, and the exploits of artificial intelligence will all depend on a robust digital ecosystem that is comparable with advanced economies.”

LCCI DG pointed out that, “a significant item for inclusion in the rebasing of Nigeria’s GDP is the activities in the information and communications technology (ICT) sector. This sector recorded resilient growth during the COVID-19 pandemic and has also led other sectors in the post-pandemic recovery and stability.

“This reality should then attract more government attention and funding for the digital and creative industry. Businesses look to our digital infrastructure to support their operations and cost optimisation.

“To remain competitive and continue to provide quality service, telecom operators must overcome significant challenges. Nigeria’s digital economy must be empowered to catalyse economic growth and the driver of innovation and possibilities. We urge continuous engagement with critical stakeholders to create a win-win scenario.”