Nigeria Gets N23.982bn in Foreign Direct Investment in Telecom Sector in the First Quarter of 2022
- Nigeria's economy has recorded a boost in foreign direct investment from the telecoms sector to the tune of N23.982 billion in Q1 of 2022
- Data obtained from the National Bureau of Statistics says the figure represents a 2.6 per cent increase when compared to the same period the year before
- The sector drew $944 million in 2029 in comparison with $114.43 million in 2018, recoding an annual decline after its 2019 high.
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Nigeria’s telecoms sector drew a total of N23.982 ($57.79 million) billion in foreign direct investment in the first quarter of 2022.
Data from the country’s National Bureau of Statistics (NBS) says that the figure represents a 2.6 per cent increase year-on-year in comparison with the N23.356 billion ($56.28 million) recorded in the same quarter of 2021.
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FDI in telecoms boosts economy
The body said that the funds attracted by the sector accounted for 3.6 per cent of the total capital importation in the first quarter of 2022, which stood at N651.550 billion ($1.57 billion).
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The first quarter of 2022 was a respite for the industry which has consistently recorded declines in FDIs in the last five years, despite the government’s continuous efforts at wooing investment into the sector by investing in broadband infrastructure during its many international campaigns.
In 2021, FDI in the sector stood at $107.5 million, a decline of 287 per cent in comparison with $417 million recorded the year before.
In the last five years, the sector had only seen an increase in capital import in 2019.
A decline, then a boost
The sector drew $944 million in 2029 in comparison with $114.43 million in 2018, recoding an annual decline after its 2019 high.
Nairametrics says that a research firm, Agusto & Co in a recent report, forecast that the imminent deployment of 5G technology and the Federal Government of Nigeria’s target broadband entrance rate of 70% by 2025, would attract substantial additional foreign investments to the telecoms sector in the near to medium term.
CBN says Nigerians abroad increased dollar remittances from $6 million to $100 million weekly
Legit.ng has reported that Nigeria’s apex bank, the Central Bank of Nigeria (CBN) said diaspora remittances grew from N2.4 billion to N41.5 billion weekly since the introduced the Naira4Dollar scheme.
The bank said the scheme has led to a great and meaningful improvement in the diaspora remittances into Nigeria.
According to the bank, in January 2022 alone, the scheme saw an increase from $6 million to $100 million.
Source: Legit.ng
