Nigeria’s limited internet infrastructure is causing the country to miss out on an estimated $15 billion in economic value every year, according to leading broadband provider, FibreOne.
This stark statistic was disclosed by Yinka Isioye, the company’s Chief Experience Officer, while speaking at the 21st Titans of Tech Conference, Expo and Awards held in Lagos.
Isioye described broadband connectivity as fundamental to national growth, equating its necessity to that of oxygen.
“Broadband is as important as oxygen,” he said. “It is the foundational infrastructure for all digital ambitions, powering education, healthcare, the growth of SMEs, fintech innovation and the creation of smart cities.”
Despite this critical importance, he lamented that more than 60% of Nigerians and over 70% of Africans lack access to reliable internet service, preventing millions from participating in today’s digital economy.
Citing a personal experience, Isioye recalled missing out on a major career opportunity due to subpar internet speeds.
“Our internet speeds are five to ten times slower, yet two to four times more costly per megabit per second,” he said.
Referencing World Bank statistics, Isioye noted that a 10% rise in broadband penetration can boost GDP by up to 1.4% in advanced economies. For Nigeria, he projected that raising coverage by 30% could unlock $19 billion in economic benefits, with the potential to increase GDP growth by more than $45 billion annually.
Beyond economic implications, Isioye stressed the social costs of being digitally left behind, especially for students and underserved communities.
“Over 45 million students are at risk of being left behind,” he noted. “Telehealth remains inaccessible to rural populations, and Nigeria is losing its chance to be a major player in the global outsourcing space.”
He added, “The $15 billion annual cost of the broadband deficit is almost four times the country’s combined health and education budgets, and equivalent to the annual federal allocation of one Nigerian state.”
He identified the following obstacles hindering broadband expansion:
High deployment costs of up to $50,000 per kilometre due to civil works, right-of-way charges, community tolls, and geographical hurdles
Unstable power supply, with up to 40% of operational expenses dedicated to energy
Low ARPU (Average Revenue Per User), making ROI unattractive for investors
Despite these barriers, Isioye applauded the innovative efforts of ISPs and mobile operators who continue to push the boundaries of service delivery.
He further praised the current administration’s emphasis on digital infrastructure and highlighted Minister Bosun Tijani’s leadership in creating momentum for policy reform.
Key strategies suggested for advancing broadband growth include:
Channelling pension funds and domestic capital into long-term infrastructure projects
Forming rural connectivity consortia and supporting Mobile Virtual Network Operators (MVNOs)
Deploying solar-powered base stations and community-driven WiFi hotspots
Offering tax incentives for ISPs serving unconnected youth
“Broadband is not just cables and signals,” Isioye emphasised. “It’s life-changing connectivity that enables education, innovation, healthcare and national progress.”
Pedro Aganbi, organiser of the Titans of Tech event, underscored this year’s theme as a call to honour individuals and companies leading transformative change in technology.
Earlier in the week, Anshula Kant, Managing Director and CFO of the World Bank, during a visit to President Bola Tinubu, pledged stronger collaboration with Nigeria. The institution announced plans for a massive 90,000-kilometre nationwide fibre-optic rollout as part of a larger investment across education, energy, agriculture, health, and technology sectors.
