MTNN contributes 7% to Nigeria’s GDP, says Toriola

Karl Toriola, MTN Nigeria’s chief executive officer, has disclosed that the company contributes seven percent to Nigeria’s GDP. He noted that the telecoms sector contributes 14 percent to the country’s GDP in total.

“The telecommunication sector has been a critical driver of economic growth in this country, accounting for 14 percent of the nation’s GDP. MTN on its own contributes 7 percent to Nigeria’s GDP, and its evolution into a Techco could propel the nation to unprecedented economic heights,” Toriola said.

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He disclosed this at the TeXcellence 2024 conference while highlighting the industry’s transformative potential. He recalled MTN’s journey from a traditional telecom company to a full-fledged technology powerhouse in his speech.

Reflecting on MTN’s significant footprint, Toriola highlighted how telecoms have been the backbone of the nation’s digital transformation.

The MTNN CEO said the telco has consistently been at the forefront of technological advancement, from the groundbreaking days of GSM licensing in 2001 to the launch of 5G in 2022. He also underscored the shift in revenue dynamics, with data now surpassing voice services as the primary income source despite slimmer margins.

BusinessDay recently reported that monthly internet usage has increased by 501.99 percent since 2019, driven by increased demand for streaming and other online services accessible through smartphones

Toriola acknowledged the challenges of increased competition and external factors, including economic pressures and currency devaluation. However, he established that these hurdles are driving the need for innovation in areas like financial inclusion, IoT, AI, and the development of digital ecosystems.

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The MTN CEO emphasised the importance of affordability in expanding digital access, pointing out that 71 percent of Nigerians face challenges maintaining regular internet connectivity due to cost. Toriola called for collaboration among industry stakeholders, international partners, and the government to harness Nigeria’s potential and nurture a culture of curiosity and innovation.

“Our biggest asset is our people, their drive and ingenuity. By fostering this and investing in our digital infrastructure, we can achieve the vision of a trillion-dollar economy,” he added.