Nigeria's telecom operators dispute data showing foreign investment collapse

The Association of Licenced Telecommunications Operators of Nigeria (ALTON) is at the center of a heated debate over the true state of foreign investment in Nigeria’s telecom sector. According to the National Bureau of Statistics (NBS), capital inflows into the sector plummeted to $7.24 million in the first quarter of 2026, a staggering 93% decline from the previous quarter and 91% drop from the same period last year. For Mr. Gbenga Adebayo, ALTON’s Chair, this data paints a misleading picture of investment in the sector. He argues that the figures fail to capture the true scale of capital being deployed into network infrastructure and expansion.

The NBS report indicates a sharp drop in foreign capital importation into the telecommunications sector, reducing telecoms share of Nigeria’s total capital importation to a paltry 0.07% of the $10.37 billion attracted across all sectors during the quarter. However, ALTON disputes these figures, pointing out that they only capture foreign capital importation and do not reflect total investment activity across the sector. The industry body claims that mobile network operators, tower companies, and other industry players invested a combined ₦2.13 trillion ($1.55 billion) in capital expenditure in 2025, with an additional ₦1.86 trillion ($1.35 billion) earmarked for infrastructure deployment, technology upgrades, and network expansion in 2026.

ALTON is not just disputing the data; they are calling for a more comprehensive framework for tracking telecom investments. The body has proposed collaboration between the Nigerian Communications Commission (NCC), the NBS, and the Central Bank of Nigeria (CBN) to develop a framework that would provide policymakers, investors, and regulators with a more accurate picture of investment in the sector. This would help bridge the gap between how telecom investment is measured and how operators actually fund network expansion. In essence, ALTON is advocating for a more nuanced understanding of investment in the sector, one that takes into account both foreign and domestic funding sources.

The dispute over foreign investment data in Nigeria’s telecom sector has broader implications for investor confidence and the sector’s growth prospects. A prolonged decline in foreign capital inflows could signal weakening investor confidence in one of the country’s most important infrastructure industries. However, ALTON’s argument points to a more complex reality, where investment in infrastructure has not slowed, but rather shifted to other funding sources. This shift highlights the need for policymakers and regulators to re-examine their approach to measuring investment in the sector and to develop a more comprehensive framework for tracking telecom investments.

As I see it, the dispute over foreign investment data in Nigeria’s telecom sector is a symptom of a larger issue, the need for a more nuanced understanding of investment in the sector. By advocating for a comprehensive framework for tracking telecom investments, ALTON is pushing for a more accurate picture of investment in the sector. I predict that this debate will continue, with ALTON’s proposal for a more comprehensive framework gaining traction in the industry. Ultimately, the outcome will depend on the willingness of policymakers and regulators to re-examine their approach to measuring investment in the sector and to develop a more accurate picture of investment in Nigeria’s telecom sector.

As the debate rages on, it is clear that the stakes are high for Nigeria’s telecom operators and the broader industry. The outcome of this dispute will have far-reaching implications for investor confidence, sector growth prospects, and the country’s overall economic development.