Foreign direct investment (FDI) into Nigeria’s telecommunications sector rebounded strongly in the third quarter of 2025, rising to $208.51 million, according to the National Bureau of Statistics (NBS).
The Q3 figure marks a sharp increase from $14.74 million recorded in Q3 2024, representing more than a fourteenfold year-on-year jump.
FDI inflows into telecoms in 2025 showed steady improvement:
- Q1 2025: $80.78 million
- Q2 2025: $103.63 million
- Q3 2025: $208.51 million
This contrasts with 2024’s trajectory:
- Q1 2024: $191.57 million
- Q2 2024: $113.42 million
- Q3 2024: $14.74 million
The Q3 2025 rebound represents a reversal of the slump recorded in the same period last year, though inflows remain below the early-2024 peak of $191.57 million.
On a cumulative basis, the telecom sector attracted:
- $392.92 million between January and September 2025
- $319.72 million in the same period of 2024
This reflects a 23 percent increase year-on-year, indicating stronger overall foreign investment momentum in 2025 despite quarterly volatility.
The rebound follows regulatory adjustments by the Nigerian Communications Commission (NCC), which approved a 50 per cent tariff increase for telecom operators on January 20, 2025, citing rising operational costs.
Industry group Association of Telecommunications Companies of Nigeria (ATCON) said the tariff review enabled operators to reinvest in network upgrades, digital expansion, and service quality improvements.
Despite the recovery, concerns remain over long-term capital inflows needed to expand broadband infrastructure. Nigeria missed its 70 per cent broadband penetration target in December 2025, amid challenges including high right-of-way costs, fibre rollout delays, power constraints, and slow private-sector investment.
Industry stakeholders estimate that achieving nationwide high-speed connectivity, including rural coverage, 5G rollout, and backbone infrastructure, will require billions of dollars in sustained funding.
