Abuja, Dec. 19, 2024 – The telecom sector in Nigeria contributed 16.19% to the country’s Gross Domestic Product (GDP) in the second quarter of 2024.
The sector was the third largest contributor to Nigeria’s GDP during the period, coming after the crop production sector which contributed 20.35% and trade sector which contributed 16.39%.
Other sectors that contributed highly to the GDP during the period are financial services with 6.04%, crude oil and natural gas with 5.70%, real estate with 5.17%, food, beverage and tobacco 4.44% and construction 3.17%.
The contribution of the telecom sector to the GDP has been increasing steadily over the years since the liberalisation of the sector and privatisation of mobile operators in 2001.
Its major mobile operators now include MTN, Airtel, Globacom, and 9mobile as well as the Internet Service Providers (ISPs).
According to the Nigerian Communications Commission (NCC), the sector’s contribution to the GDP grew from 11.94% in the third quarter of 2021 to 12.61% in the first quarter of 2022.
It further grew to 13.50% in the third quarter of 2023 to 14.00% in the fourth quarter of 2023 to 14.58% in the first quarter of 2024 and 16.19% in the second quarter of 2024.
Some factors attributed for the steady rise of its contribution to the GDP are increasing telecom subscribers base, improved efficiency in the sector, increased revenue generation to government and increased investments in the sector. (GBN)
