FG’s unfavourable policies stifling businesses – MTN CFO

MTN Nigeria has raised alarm over the stifling business environment created by unfavourable regulatory policies in the telecommunications industry, warning that such crippling limitations will ultimately harm other sectors in the Nigerian economy. MTN’s Chief Financial Officer, Modupe Kadri who disclosed this while speaking during one of the CEO roundtable discussions at the just concluded […]

FG’s unfavourable policies stifling businesses – MTN CFO

MTN Nigeria has raised alarm over the stifling business environment created by unfavourable regulatory policies in the telecommunications industry, warning that such crippling limitations will ultimately harm other sectors in the Nigerian economy.

MTN’s Chief Financial Officer, Modupe Kadri who disclosed this while speaking during one of the CEO roundtable discussions at the just concluded 30th National Economic Summit in Abuja, highlighted the urgent need for reform in the regulatory environment to sustain the telecom sector and also encourage growth.

“The telecoms sector is critical for digital transformation in industries like finance, FMCG, logistics and creative sectors. If the government does not create an environment where the industry can grow and thrive, it will have a ripple effect on these sectors,” he said.

Despite contributing 16% to Nigeria’s Gross Domestic Product (GDP), Kadri reiterated that telecommunication operators face rising operational costs and heavy reliance on foreign exchange without permission to adjust service tariffs.

He stressed that urgent regulatory changes are necessary for the sector’s survival.

He said: “For ten years, telecommunication operators have not been permitted by regulators to increase their tariffs, despite the economic downturn. This limitation is making operations increasingly difficult and the sector is fighting for survival. If we want to attain sustainability, these regulatory policies must be reviewed and telecom operators need to be allowed to adjust their prices, given present economic condition”.