FG Earns N300bn from Spectrum Sale
- By Lawson Ovih
- Published April 18th, 2011
- News
- Unrated
Dr. Eugene Juwah, executive vice chairman if the Nigerian Communications Commission (NCC), has disclosed that the federal government of Nigeria earned over N300 billion from the sale of frequency spectrum.
Juwah said the telecoms revolution has had tremendous impact in all the sectors of the Nigerian economy and that licences issued to telecoms companies in the sale of frequency and for last mile services for global system for mobile communications (GSM), code division multiple access (CDMA) for fixed mobile services over the years has aided the resultant growth in the country.
According to him, the impact of this on economic growth has become impressive as the telecoms sector now contributes significantly to the Gross Domestic Product (GDP), which was hithereto dominated by the oil and banking sectors. “The percentage share of GDP from the sector rose from 0.06 in 1999 to 3.66 by end of 2009. The annual revenue from mobile services represents between two and seven per cent of African countries’ nominal GDP; and in Nigeria this ratio is close to four per cent,” he stated.
He said the financial sector is perhaps, the one whose activities have been deepened much more by telecommunications, than any other activity in recent times. In commercial banking services, the quantum of transactions catalysed by telecommunications services may yet be captured and it is doubtful if any bank in Nigeria is not a major beneficiary.
“In the improvement of investment portfolio, the financial sector has done tremendously well as most banks are involved in loan syndication to the big players in the telecoms industry, the recent being made to Etisalat and MTN Nigeria,’ he said.
Juwah stated that in facilitating banking transactional services, the telecommunications industry has provided the bedrock for the finance industry. He added that electronic banking facilities such as ATM services, online financial transactions, international credit and debit card facilities, airline ticketing and reservations, are some of the numerous ways that telecommunications industry has aided the growth, sophistication, security and quick transactions in the Nigerian financial sector.
Juwah said the telecoms revolution has had tremendous impact in all the sectors of the Nigerian economy and that licences issued to telecoms companies in the sale of frequency and for last mile services for global system for mobile communications (GSM), code division multiple access (CDMA) for fixed mobile services over the years has aided the resultant growth in the country.
According to him, the impact of this on economic growth has become impressive as the telecoms sector now contributes significantly to the Gross Domestic Product (GDP), which was hithereto dominated by the oil and banking sectors. “The percentage share of GDP from the sector rose from 0.06 in 1999 to 3.66 by end of 2009. The annual revenue from mobile services represents between two and seven per cent of African countries’ nominal GDP; and in Nigeria this ratio is close to four per cent,” he stated.
He said the financial sector is perhaps, the one whose activities have been deepened much more by telecommunications, than any other activity in recent times. In commercial banking services, the quantum of transactions catalysed by telecommunications services may yet be captured and it is doubtful if any bank in Nigeria is not a major beneficiary.
“In the improvement of investment portfolio, the financial sector has done tremendously well as most banks are involved in loan syndication to the big players in the telecoms industry, the recent being made to Etisalat and MTN Nigeria,’ he said.
Juwah stated that in facilitating banking transactional services, the telecommunications industry has provided the bedrock for the finance industry. He added that electronic banking facilities such as ATM services, online financial transactions, international credit and debit card facilities, airline ticketing and reservations, are some of the numerous ways that telecommunications industry has aided the growth, sophistication, security and quick transactions in the Nigerian financial sector.
