The Nigerian Communications Commission (NCC) has urged the Federal Government to fast-track the proposed 90,000-kilometre national fibre backbone, Project BRIDGE, as rising data consumption strains network capacity.
In a statement dated October 4, 2026 and signed by Nnenna Ukoha, Director of the Public Affairs Department, the Commission said the call was a major resolution of the Nigeria Digital Connectivity Investment Forum 2026. The NCC convened the forum in Abuja with Swedfund and Ookla on September 29 and 30, under the theme “Unlocking Infrastructure Investment through Data, Transparency and Partnerships.”
Data demand surges
Participants reported that Nigeria consumed about 1.6 million terabytes of data in July 2026, almost 47 per cent more than a year earlier. Subscriptions are projected to rise from about 195 million to 350 million within 10 to 15 years, while cloud computing and artificial intelligence will add pressure on networks, data centres and power.
The forum said connectivity should now be treated as economic infrastructure, not just a telecoms service. Telecoms and information services made up 9.72 per cent of real GDP in the second quarter of 2026, and mobile technology contributed about $240 billion to Africa’s economy in 2025.
It noted that Nigeria, as Co-Champion of the AfCFTA Protocol on Digital Trade and the first state party to ratify it, is well placed to serve as a digital platform for the African market.
From coverage to usage
Participants said the challenge is shifting from coverage to usage. Mobile broadband covers about 90 per cent of Nigerians, but smartphone ownership is only about 27 per cent. Broadband penetration is 57.4 per cent, against a national target of 70 per cent.
They named device affordability, digital skills and trust as major constraints and stressed the value of independent data in reducing investment uncertainty. They recommended screening connectivity problems nationally, validating them locally and verifying the impact of interventions after deployment.
Power, middle mile and financing
The forum called power and the middle mile “binding constraints.” It said the cost of inland connectivity has confined data-centre and internet service investment largely to a few metropolitan centres. Because power is central to tower companies’ business, it said energy and connectivity investments should be planned together, and it proposed that clusters of towers serve as anchor off-takers for distributed power generation.
On financing, it said digital infrastructure lasts 20 to 30 years, making it unsuitable for conventional five-year bank tenors alone. Infrastructure financing in Nigeria grew from less than ₦70 billion in 2004 to ₦19.4 trillion in 2025, but access depends on governance, management capacity and policy predictability, and long-term financing alone does not make a project bankable.
States and Right of Way
A pilot of the Nigeria Digital Connectivity Index across 12 states showed that Right of Way reforms led directly to fibre growth of 22 to 95 per cent in states that undertook them. The number of states charging zero Right of Way fees has risen to 12, from seven in December 2024.
Participants also pointed to lower-cost models for underserved areas: shared rural networks, satellite services delivered directly to unmodified handsets, micro-cabling, solar-powered rural sites and local manufacturing of devices and SIM cards. None, they said, removes the need for affordable devices.
Key recommendations
Federal Government: Accelerate Project BRIDGE, improve power availability and reliability for digital infrastructure, keep policy consistent and support financing structures that lower the cost of capital.
NCC: Sustain reforms such as tariff realignment, designation of critical national information infrastructure and engagement with states on Right of Way. Publish the first national Nigeria Digital Connectivity Index report, advance open-access and wholesale regulation, and finalise the direct-to-device framework.
State governments: Reduce and harmonise Right of Way and site permit charges, adopt the federal model under which operators laying fibre reinstate affected roads, and shorten permitting timelines.
Operators and tech firms: Pursue shared-infrastructure and neutral-host models to cut rural and indoor coverage costs, and pair network expansion with affordable, locally made devices and SIM cards.
Investors and development finance institutions: Match long-life assets with long-tenor naira capital, link funding to independently verified network performance, and use blended finance and credit enhancement for commercially immature projects.
Timelines
Within six months: Secure funding for community co-owned, renewable-powered rural networks in zero-connectivity communities, through the Universal Service Provision Fund, state governments and the Rural Electrification Agency.
Six to 18 months: Issue open-access and wholesale regulations, publish a wholesale rate card and complete broadband mapping. The forum also recommended stronger regulatory backing for the Universal Service Fund, a business case for indoor coverage in commercial buildings, and data-centre requirements in the National Broadband Plan, supported by blended finance and off-grid and renewable energy solutions.
18 to 24 months: Set up a financing framework for telecoms power, standardise energy provision through regulation, and bring telecoms power infrastructure under critical national information infrastructure protection. Participants also proposed metro and access fibre under concession, integrated with Project BRIDGE.
Investor confidence
Chief Executive Officer of Chapel Hill Denham, Bolaji Balogun, who spoke on financing digital infrastructure, stressed investable projects, suitable financing structures, capital-market participation and an environment that can attract long-term private and institutional capital.
Chairman of the Board of FCMB and Managing Director of Financial Derivatives Company, Bismarck Rewane, examined the wider economic environment, highlighting the cost and availability of capital, investor confidence, policy predictability and digital infrastructure’s contribution to productivity and growth.
The forum concluded that financing costs and tenor, Right of Way and permitting constraints, unreliable and expensive power, and gaps in trusted infrastructure data are interconnected and need coordinated action. The NCC committed to continued engagement with stakeholders to advance the agreed actions.
The forum was attended by the Minister of Industry, Trade and Investment; representatives of the Minister of Communications, Innovation and Digital Economy; the Ambassador of Sweden to Nigeria; heads of federal agencies; development finance institutions; investment banks; institutional investors; mobile network operators; tower and fibre companies; satellite and fixed wireless providers; equipment manufacturers; industry associations; and NCC management and staff.
