Given the importance of broadband in driving digital connectivity across sectors of the Nigerian economy, the CEO, Financial Derivatives Company, Mr. Bismarck Rewane, has said further investment in broadband will create more technology jobs and drive demand for digital skills.
Rewane disclosed this at the launch of the National Broadband Alliance for Nigeria (NBAN) by the federal government in Lagos, while moderating a panel session that discussed the challenges and ways forward for a digitally connected Nigeria. According to him, expanding rural broadband will promote inclusive access empower underserved communities with education, healthcare and economic opportunities. He said investment in internet infrastructure and broadband connectivity would increase data consumption by Nigerian businesses and individuals, adding that with the right investment, the Nigerian telecoms contributions to Gross Domestic Product (GDP) can be increased from 12.1 per cent in 2024 to 16.8 per cent by 2028.
“Global information technology spending is expected to rise by 9.3 per cent from 7.2 per cent last year and the key areas are Data center systems, Software enterprise, Artificial Intelligence (AI) technology, Deepstick technology and navigation activities, Cloud services, Cybersecurity, and e-Commerce.
“If Nigeria is going to achieve a $1 trillion economy in the next 10 years, then we have to start working towards achieving it now. Nigeria secured a grant of $500 million from the World Bank for its metro expansion, and it’s expected to deliver 1.5 per cent of GDP growth per year and raise the income per capita of Nigeria over the next four years, directly and indirectly,” Rewane said.
Speaking about the impact of increased connectivity and internet penetration on Agriculture, Oil and Gas, Manufacturing, and Commerce, Rewane said it has impacted these sectors in several ways, and gave instances of e-Commerce growth and the growth of mobile payment, which according to him, mobile payment system has gone from $13 trillion in 2020 all the way to $78 trillion in 2024, while instant payment alone has reached $17 trillion, which he projected to reach $1 quadrillion at the end of next year.
He however said the major challenges facing Nigeria today, were income inequality and opportunity inequality. “The only way to bridge that gap is to have affordable, accessible connectivity so that people can actually increase their productivity, and we have to go beyond talking and acting,” Rewane further said.
The panel session which was moderated by Rewane, had Governor Abdulrahman
Abdulrazaq of Kwara State, who represented the Nigeria Governors’ Forum (NGF); Commissioner for Innovation, Science and Technology, Olatunbosun
Alake, who represented Lagos State government; Director General, Zamfara State Information Technology Development Agency ( ZITDA), Dr. Habib Gajam, who represented Zamfara State; and Tizeti, an Internet Service Provider (ISP) that represented ISPs in Nigeria.
Addressing the impact of NGF on state development, Abdulrazaq said over the years there had been a certain level of misalignment between the national and sub-nationals, but explained that it was already changing, evidenced by the large number of states that were present at the launch of NBAN that is designed to drive broadband connectivity across states.
“We are not where we want to be in terms of the results that we want to see, but compared to where we are coming from, we have made significant progress, even though there are still some challenges that needed to be addressed,” Abdulrazaq said.
Giving explanations why Lagos State government is ahead of other states in the area of digital transformation, Alake said: “One of the greatest advantages that Lagos has is the size of its market. Lagos State has high-capacity fiber optic infrastructure and because of that availability of infrastructure, a lot of small companies and startups moved into Lagos and started opening up businesses, and today that’s what we know as the Yaba Silicon Valley. So I think an open and competitive market that really takes into consideration the private sector is what is largely driving digital development in the state. When you look at Lagos today, at least over the lifetime of our administration, in conjunction with private a sector partner, there has been over 2,000 kilometers of fiber optic cable laid, including duct infrastructure.”
Speaking about the digital development in Zamfara State, Gajam said: “In Zanfara State, we used to have an agency called the Zanfara Urban and Rural Electrification and Telecommunication Agency, but the state governor saw the need to expand that agency for optimal performance. Now, there’s a new bond establishing a new agency called the Zanfara Electricity Agency that is driving national grid development, alternative energy sources, renewable energy, wind and all other sources of energy, and tapping into the opportunities that are out there.”
Source: Thisday
