In a bid to promote local content development and reduce expenditure on foreign goods, the Federal Government of Nigeria has announced that it has saved as much as $12 million from the sales of locally developed Subscriber Identity Module (SIM) cards used in mobile phones and other devices. This was disclosed by the Nigerian Communications Commission (NCC) on February 9, 2023, in Lagos during a panel session. It was moderated by the Director, Public Affairs, Mr. Reuben Muoka, at the ongoing AfricaNXT forum.
The director said the money was saved from August 2022 to January 2023, following the ban on foreign SIM cards in the telecom sector. According to the NCC, the ban compelled telecom operators to patronize local SIM cards that were produced and sold in Nigeria, against foreign SIM cards that were imported at the rate of $3 per SIM card. Muoka, who spoke at the panel session on theme, “The NCC Mandate Towards Realization of Full Digital Economy,” said that the Digital Economy Agenda was built around the Eight Pillars of the NCC, which was driven largely by telecom infrastructure.
Harnessing the benefits of digital culture the objective of FG’s policies.
Mr. Muoka said, “The need to ensure individuals, businesses, and the nation harness derivable benefits and the opportunities offered by the emergent digital culture, to improve quality of life, grow businesses, and leapfrog the national economy, remains the overarching objective of government policies, plans, and strategies.” He stated that the NCC is obligated to ensure that this is achieved as well as many other objectives by enhancing the availability, accessibility and affordability of digital services. In executing these duties, the NCC has established processes to improve connectivity, protect infrastructure, and defend the interest of consumers and other stakeholders.
Continuing on he stated that while there have been challenges, the commission has ensured that it consolidates on the success recorded in the telecom industry. It is also striding steadily to achieve government plans as laid down in the National Digital Economy Policy and Strategy (NDEPS) 2020-2030, and particularly the Nigerian National Broadband Plan (NNBP) 2020-2025, the NCC Strategic Management Plan (SMP) 2020-2024, and the Strategic Vision Plan II (The Five-Point Agenda) 2021-2025, to meet the targets outlined in the policies, plans and strategies.
Infrastructure is key to achieving full digital economy.
The success recorded in the industry are measurable in terms of country-wide broadband access, connectivity, qualitative improvement in citizens’ life, quantifiable growth in businesses, and remarkable growth of the nation’s economy. Additionally, one of the panelists, and Head of Digital Skills and Services at NCC, Freda Bruce-Bennett, said infrastructure development remained key to achieving a full digital economy. According to Bruce-Bennett, NCC licensed seven Infrastructure Companies (InfraCos) across the six geopolitical zones, including Lagos, to drive broadband infrastructure that would further help to achieve full digital economy and innovation.
He said that the NCC will continue to support digital talents in Nigeria. “NCC is at the forefront of driving technology innovation and creativity, which have helped to build Nigerian unicorns that are driving the African technology space. Among the seven unicorns in Africa today, Nigeria has five, and unicorns are technology startups with a minimum of $1 billion,” Bruce-Bennett said. Meanwhile, FG has employed some other means in a bid to promoting local content development in other sectors of the Nigerian economy.
FG to boost local content development in other sectors also.
One of such is the implementation of the Import Duty Exemption Certificate (IDEC), which is carefully targeted at ensuring that local equipment manufacturers and fabricators are protected and made competitive. Under the IDEC, the government through the federal ministry of industry, trade and investment grants incentives to local manufacturers to import machinery and equipment that are not fabricated locally, at zero percent, as a way of cushioning the effect of the high cost of production for commodities, goods and services. Also, the Nigerian Content Development and Monitoring Board (NCDMB) made a case for local production of fabricated materials two years ago in a bid to improve local content and achieve the 70 percent manufacturing target.
Related Link
Nigerian Communications Commission: Website
FG saves $12m from local SIM card production. – The government is determined to promote local content development. – Express your point of view.
This is a great thing to behold. Production of our local sims ourselves shows we can actually produce things on our own. It will help us be more productive. We can also generate revenue from there.
The NCC claims that the prohibition forced telecom companies to buy local SIM cards made and marketed in Nigeria instead of foreign SIM cards that were imported at a cost of $3 per SIM card.
The National Communications Commission’s eight pillars, which were primarily driven by telecom infrastructure, served as the foundation upon which the digital economy agenda was constructed.
FG saves $12m from local SIM card production. This is save should be put into work if they are sure of the savings
Because of the restriction, telecommunications companies were required to only use SIM cards that were manufactured and distributed within Nigeria.
The necessity of ensuring that individuals, businesses, and the nation take use of the opportunities presented by the rapidly developing digital culture in order to maximize the benefits derived from it.
In continuation, he noted that despite the difficulties that have arisen, the commission has made it a priority to build upon the achievements that have been made in the telecommunications business.
The National Communications Commission (NCC) has implemented a number of procedures with the goals of enhancing connectivity, preserving infrastructure, and protecting the interests of customers and other stakeholders.
In addition to this, it is making steady progress in accomplishing the goals set forth by the government in the National Digital Economy Policy and Strategy.
Incentives are provided by the federal ministry of industry, commerce, and investment to local producers so that they can import machinery and equipment that is not built locally.
For us to be producing thing will really help our economy because we will be generating more revenue from it and reduce the cost of been import goods from other countries we should start producing in our country
It is very important the NCC carry out it duties as it is obligated to ensure that this is achieved as well as many other objectives by enhancing the availability, accessibility and affordability of digital services.
The importance of facilitating the adoption of digital culture at all levels of society for the purpose of maximizing the benefits it can provide for individuals, businesses, and the country.
Our government should be the first to embrace and encourage local content production just as it was done on local SIM card production which has in saving $12 million for the country.
The digital economy strategy was built upon the eight pillars of the National Communications Commission, which were primarily powered by telecom infrastructure.
The significance of promoting digital culture’s widespread acceptance in order to maximize the personal, professional, and national benefits it can offer.
The restriction meant that all SIM cards used by Nigerian telecommunications providers had to be made and sold within the country.
Promoting local content is the best way for a nation to be self-sufficient and attain development fast. FG has done well in promoting local content for SIM card production. It has paid off.
The limitation forced telecommunications firms to limit their use to SIM cards produced and distributed in Nigeria.