The Nigerian Communications Commission (NCC) remitted the sum of N51.3 billion to the Federal Government as part of the revenue generated in the first quarter of 2019. The disclosure is contained in a press release obtained from the commissions’ website.
According to the NCC, remittances are paid to the Federal Government’s Consolidated Revenue Fund (CRF) annually after the preparation of audited accounts. This is in accordance with the Fiscal Responsibility Act of 2007. However, it was disclosed that the commission had taken initiative to make payments on accounts as revenue is generated.
Further Details: The commission further disclosed that the payment remitted to the FG signifies “Payment on Account” in respect to N44 billion operating surplus and N7.3 billion spectrum assignment fees, which were collected and due to the Federal Government as at April 30, 2019.
Investment in the Sector: The Chief Executive Officer and Executive Vice Chairman of the NCC, Prof. Umar Garba Danbatta, disclosed that investment in the sector has hit $70 billion from $500 million. Explaining further, the NCC boss stated that through effective regulatory oversight by the commission, the telecoms sector has witnessed extraordinary growth since 2001. Thus, making the regulator an enabler of economic growth and development. Prof Danbatta reiterated;
“From 2001 to date, telecoms investment has increased tremendously from $500 million to over $70 billion, just as the Commission intensifies measures aimed to further facilitate investment growth in telecoms infrastructure to drive the economy, especially through the licensed Infrastructure Companies (InfraCos). We are also working with necessary stakeholders across all levels of government to address identified impediments to investment drive in the sector.”
Growth Prospect: The NCC boss further stressed that growth in the telecoms industry has positively impacted all the sectors of the economy.
“For instance, the latest data released by the National Bureau of Statistics (NBS) showed that the telecoms industry contributed 10.11% to Nigeria’s GDP in the first quarter of 2019.”
“To date, the telecoms industry has positively impacted all the sectors of the economy including banking, healthcare, commerce, transportation, agriculture, education and so on, with increased quarter-on-quarter contribution to the country’s Gross Domestic Product (GDP).”
Similarly, the NCC stated that emphasis has been placed on broadband development as the next frontier for economic growth by driving efficiency and innovations in Nigeria.
“The Commission has since placed greater emphasis on broadband development as the next frontier for economic growth by driving efficiency and innovations in Nigeria. Consequently, through the painstaking implementation of our 8-Point Agenda with the need to facilitate broadband development topping the agenda, we have been able to increase broadband penetration to 33.13% as at end of May 2019.”