Dr Omobola Johnson, minister of Communication Technology has said that the ICT industry has witnessed tremendous growth in the last three and a half years and revealed plans to privatise Nigerian Communications Satellite (NIGCOMSAT) by 2017.
The privatisation, she said, has become highly imperative if the facility must remain productive and perform its role efficiently.
Johnson, who presented the Ministry’s four-year scorecard to industry stakeholders in Lagos, said “If the full benefits of NIGCOMSAT must be realised, it must be privatised. We hope to complete this process in another two years from now.”
Johnson further noted ICT’s critical role in national development, adding that, “ICT promotes transparency and accountability; increases the efficiency and effectiveness of government/citizens engagement; and contributes greatly to the growth of the economy.”
The minister also said that through various initiatives, innovations and interventions from industry stakeholders, ICT sector is now viewed as critical, ranked with oil & gas and power, as it currently contributes 9.58% to GDP as at third quarter, 2014.
According to her, before the Ministry was created the IT sector was fragmented with small domestic players made up of approximately 350 companies, however, the improved environment by the present administration’s ‘transformation agenda’ has helped create local companies like Wakanow, Jumia, Konga, Paga, i-Sec, IrokoTV, to name a few, are innovating and adding value to the economy.
The Nigeria Communications Commission (NCC) statistics shows that the Nigerian telecoms sector, for instance, is one of the fastest growing sectors in the world and continues to attract significant foreign direct investment (FDI) with additional $6 billion between 2011 and 2013.
Before now, Johnson maintained, “The domestic value added in key areas was sub-optimal and it was characterized by consumer preference for global brands and high levels of importation of inputs and finished products. But with the establishment of the Ministry in 2011 and the laid down ICT documents: the National ICT policy, National Broadband Strategy and Local Content Guidelines, all came through the efforts of Mr. President and the stakeholders, we have been able to make remarkable progress”.
On Sector Priorities, she cited Connect Nigeria, Connect Nigerians, Local Content, ICT in Government and Enabling Environment as part of agenda to deliver on the promises of the transformation agenda by addressing the challenges in the ICT industry and leverage the opportunities for socio-economic development.
“Connect Nigeria,” the Minister said, has led to “ubiquitous, robust and cost effective ICT infrastructure to support the creation and development of a digital economy.
“Under the Connect Nigerians initiative, the intention was to ensure that Nigerians have affordable and reliable access to devices and have the capacity to use them; so that all Nigerians can share in the benefits”
“In our local content adoption, we aimed at removing the barriers to entry and increase the participation of Nigerian companies in the ICT industry; and stimulate job creation. Also, through the ICT in Government plans, we are increasing the adoption of ICTs by government to achieve greater transparency, efficiency and productivity in governance and citizen engagement.”
Under the Connect Nigeria initiative FMCT’s interventions are expected to fan up the national broadband strategy where increase in broadband penetration from 6% to 30% in 2018 will be achieved.
Through the Universal Service Provision Fund (USPF), the Ministry hopes subsidize access mechanisms for un-served and under-served areas or demographics, for instance 207 clusters involving rural areas already identified by the Fund, among other achievements.
Johnson said that there are various indicators to show the nation is on clear path to creating an inclusive digital economy that supports the positioning of Nigeria as a top ranked economy globally, “not only in terms of GDP but in terms of innovation, productivity, efficiency, transparency and good governance”.