Category: Business Day

The future of payment will take centre stage on Thursday October 2, 2025, as leading voices from Africa’s fintech and enterprise ecosystem gather for a virtual webinar titled ‘Managing Payment Operations at Scale with APIs’.

The webinar will bring together senior executives and product leaders who have been instrumental in shaping Africa’s digital finance infrastructure.

Organisers say the session is designed to provide practical strategies for CTOs, CFOs, and product leaders grappling with the demands of scaling financial operations.

The 90-minute session scheduled for 12 noon on Zoom, will explore how businesses can simplify reconciliation, reduce operational costs, and adapt to rising transaction volumes through the use of APIs.

‘APIs are the connective tissue for modern payments,’ Okoronkwo Kanno, senior product manager, Kuda Business, said in a statement ahead of the webinar.

Kanno, who will give the keynote address, is expected to highlight the role of APIs in scaling payment operations for enterprises.

‘When businesses can automate reconciliation and scale financial operations seamlessly, they don’t just cut costs, they unlock entirely new growth opportunities. That’s the conversation we want to bring to the ecosystem.’

The discussion will cover real-world use cases from industries such as airlines, schools, and betting, where high-volume transactions and back-end reconciliation remain a pressing challenge.

Speakers include Obianuju Odukwe, vice president of digital and API ecosystems at Interswitch; Segun Adeyemi, CEO of Anchor, and Tochukwu Achebe, founder, The Nwa-Amaka Achebe Trust.

Together, they will share insights from the frontlines of digital payments, alongside other senior executives shaping the continent’s financial technology landscape.

By convening experienced practitioners and innovators, the webinar aims to arm enterprises with the tools and knowledge needed to scale in a digital marketplace.

Nigeria is facing a silent but significant workplace crisis: employee disengagement. Recent data compiled from 2022 to 2024 reveals that only 17 percent of Nigerian workers are truly committed to their jobs. The remaining 83 percent are either not engaged, putting in time but lacking energy and passion, or actively disengaged, working in ways that may even undermine their organisations.

This troubling trend mirrors a global pattern. According to Gallup’s latest workplace report, global employee engagement dropped to 21 percent, while the United States, often considered a benchmark, recorded just 31 percent engagement, with 17 percent actively disengaged. These figures highlight a widespread leadership and cultural challenge that transcends borders and industries.

In Nigeria, the implications are particularly stark. In most offices, only about one in six employees genuinely cares about their work outcomes. The rest are either going through the motions or, worse, actively resisting organisational goals. This disengagement is not just a morale issue; it’s a productivity crisis. When employees are psychologically detached, mediocrity becomes the norm, innovation stalls, and performance suffers.

The cost of disengagement

The economic impact of disengagement is staggering. Gallup estimates that disengaged employees cost the global economy $8.8 trillion annually, equivalent to 9 percent of global GDP. For Nigerian businesses, this translates into missed opportunities, reduced competitiveness, and a growing talent drain as top performers seek more fulfilling work environments elsewhere.

Disengaged employees are not just unmotivated; they are often resentful, feeling that their needs are unmet and their contributions unrecognised. This can lead to toxic workplace behaviours, increased absenteeism, and higher turnover rates. In contrast, engaged employees act as psychological ‘owners’ of their work, driving performance, innovation, and customer satisfaction.

Leadership at the core of the problem

Gallup’s research points to a clear culprit: leadership. Their article, Anaemic Employee Engagement Points to Leadership Challenges, emphasises that 70 percent of the variance in team engagement is directly linked to the manager. Yet many managers are not equipped to lead in today’s dynamic, purpose-driven work environment. Traditional top-down management styles are failing to inspire, connect, or retain talent.

In Nigeria, decades of HR initiatives, team-building retreats, and management training have yielded limited results. The problem isn’t just about skills-it’s about connection. Employees want to feel seen, valued, and aligned with a greater purpose. They want leaders who coach, not command, and who listen, not lecture.

A new approach: Everyone has

Organisational development expert Kemi Buluro, a frequent speaker at global conferences hosted by the International Institute of Business Analysis (IIBA) and the International Society for Performance Improvement (ISPI), believes it’s time for a new approach. Her platform, every1has, is designed to tackle disengagement by focusing not on fixing managers but on strengthening team camaraderie.

‘Disengagement is so widespread that in most Nigerian offices, only about one in six employees truly cares about their work outcomes,’ Buluro explains. ‘We need to stop treating engagement as a management problem and start treating it as a team dynamic issue.’

Everyone has offered a fresh perspective by providing insightful data on the unique talents, values, and interpersonal dynamics within teams. It helps organisations understand who works best with whom and how to build trust and collaboration from the ground up. Rather than relying on generic training, it empowers teams to self-organise around shared strengths and mutual respect.

The platform also encourages peer recognition, a powerful yet often overlooked driver of engagement. When employees feel appreciated by their colleagues, not just their supervisors, they are more likely to stay motivated and committed.

The way forward

The disengagement epidemic is not just a Nigerian issue; it’s a global leadership challenge. But it also presents a unique opportunity. By embracing human-centred, team-first solutions, Nigerian companies can leapfrog outdated models and build workplaces where people thrive.

To move forward, organisations must:

-Invest in leadership development that prioritizes emotional intelligence, coaching, and communication.

-Create feedback-rich cultures where employees feel heard and valued.

-Recognise and reward contributions in meaningful ways.

-Foster psychological safety, allowing employees to take risks and speak up without fear.

-Leverage technology like everyone else to build stronger, more connected teams.

As Gallup notes, ‘Flattening engagement reflects a shift in how leaders must manage performance.’ For Nigeria’s future-focused organisations, the message is clear: engagement isn’t a perk-it’s a strategy. And the time to act is now.

Kemi Buluro is an Organisational Development Consultant who helps global companies, from Fortune 500s to startups, simplify processes, strengthen collaboration, and drive innovation. She designs simulation-based learning experiences, including one used by Air France-KLM to train teams in consultative selling. Kemi is also the author of Sales Start with the Customer, a narrative-style business book that teaches customer-centric thinking through reflection and storytelling.

The Oyo State Government is targeting an internally-generated revenue of ?100 billion by the end of 2025 financial year,making it sit comfortably as a leading financial hub in the country.

The present administration has increased IGR to ?65 billion in 2024, and as at July this year, it rises to ?58 billion just ?7 billion short of the 2024 total revenue gathered.

Dotun Oyelade, Commissioner for Information, who said the past administration struggled to reach the ?15 billion mark annually, stated that the ‘implication of the leap in the IGRs is that Oyo State will beat its own record by the end of this year with a target close to ?100 billion.

While confirming the report that since last year, Oyo State has been the best place to live in Nigeria based on quality of life, functional infrastructure, service delivery and security, reacted to a report by the State Performance Index (SPI), handled by a consultancy firm.

He said, ‘Obviously, the State’s Internally Generated Revenue (IGR), which has improved dramatically in the past few years, is being put to good and productive use for the benefit of the citizenry.

The Commissioner said that ‘unlike most sub-nationals and past administrations in Oyo State, IGR collection has been seamless and has not increased the burden on investors.

‘Rather, it has opened up the economy through agribusiness, infrastructure and tourism. This expansion of the economy, coupled with the ripple effect of consistent payment of ?14 5billion to over 130,000 workers monthly, has had a salutary effect on the increasing IGR of the state.

The Commissioner however revealed that the month of September ?15.4 billion was paid as salaries instead of the usual ?14.5 billion.

Another area of concentration of the Governor Seyi Makinde-led administration is healthcare, saying 264 primary healthcare centres have been upgraded and over 3,900 professionals recruited, which has significantly restored the healthcare system.

Oyelade recalled that during a courtesy call at the Governor’s Office two weeks ago,Celine Lafocriere, the UNICEF Country Representative said that UNICEF has had more engagements with Oyo State than any other state in Nigeria in the past two years.

Jensen Huang, Nvidia CEO, has warned that the United Kingdom (UK) and other major economies face a crippling shortage of skilled tradespeople like electricians and plumbers.

The deficit, according to him, could be best met by encouraging more workers from overseas.

The technology chief underscored the urgent need for a massive increase in the blue-collar workforce to keep pace with the accelerating global boom in data centre construction.

This fast-growing sector, essential for powering the artificial intelligence (AI) revolution, requires a vast physical infrastructure, and Huang insists the required skills are not on track to be filled domestically. ‘If you’re an electrician, you’re a plumber, a carpenter we’re going to need hundreds of thousands of them to build all of these factories,’ Huang stated.

He projected an explosive demand in the sector, claiming, ‘The skilled craft segment of every economy is going to see a boom. You’ve going to have to be doubling and doubling and doubling every single year.’

The call for overseas labour

Huang’s comments echo the anxieties of other leading business figures who have highlighted immigration policies and a lack of interest among young people as creating a perfect storm for construction and manufacturing.

Earlier this year, Larry Fink, BlackRock CEO, voiced his concerns to the White House, specifically pointing to the negative impact of immigrant labour deportations on the ability to build essential AI data centres in the United States (US). ‘We just don’t have enough,’ Fink lamented, noting the shortfall in skilled workers like electricians needed for the construction drive.

This view was recently backed by Jim Farley, Ford CEO, who cited a gap between political ambitions to ‘reshore’ manufacturing and the reality of the domestic workforce.

According to Farley, the US is already short by over half a million construction workers and 600,000 factory staff, demonstrating that ‘there’s nothing to backfill the ambition’ of large-scale, national projects. The demand for these workers is not speculative. Industry analysts project that global capital expenditure on data centres will soar to $7 trillion by 2030.

Each large-scale data centre can demand up to 1,500 construction staff during its initial build, with many roles offering six-figure salaries without the requirement of a university degree.

Huang’s stance signals a shift, suggesting the most lucrative opportunities now lie in the physical side of technology rather than the software. When asked what he would study if he were a young man today, the Nvidia CEO confessed he would now choose disciplines rooted in the physical sciences.

With AI threatening a swath of traditional white-collar, entry-level roles, it is obvious that the future workforce needs to be ready to get its hands dirty, and a major influx of domestic and foreign talent is required to power the next industrial revolution.

President Bola Tinubu, on Tuesday, criticised those peddling allegations of religious genocide in the country, saying no religion is under siege.

The president described the allegations as ‘unfounded and misleading, as citizens focus more on harmony and shared prosperity.*

Bayo Onanuga, presidential spokesman, in a statement, said Tinubu acknowledges that after 65 years of Independence, citizens have grown to appreciate religious and cultural differences and explore the advantages of diversity in terms of educational, economic, and other productive gains.

President Tinubu allayed fears of religious intolerance in the country at the unveiling of a book on the 10 years of the APC government in Nigeria. It was authored by the Governor of Imo State, Sen. Hope Uzodimma.

Tinubu was in Owerri to commission projects, such as the Owerri-Mbaise-Umahia road, the Assumpta Twin flyover, and the Emmanuel Iwuayanwu Convention Centre.

Nentawe Yilwatda, the All Progressive Congress APC national chairman, two former APC Chairmen, Adams Oshiomhole and Umar Ganduje, governors of APC states, and the Governor of Abia State, Alex Otti, attended the commissioning of the projects and the book launch.

The event was also attended by Tajudeen Abbas, speaker of the House of Representatives, Deputy Speaker, Deputy Senate President, former Senate Presidents, Sen. Pius Anyim Pius, and Ahmad Lawan, were also at the event.

Others include the founding Chairman of the APC, Bisi Akande, and former Governor of Ogun State, Segun Osoba, as well as traditional and religious leaders, members of the diplomatic corps, student unions, and market associations.

President Tinubu told the crowd at the Emmanuel Iwuanyanwu Convention Centre: ‘Let me also say this clearly, Nigeria is a proud, sovereign nation built on the faith and resilience of its people. Here, no faith is under siege, no community is excluded.

‘Our churches, mosques, and traditional shrines stand side by side – not as rivals, but as symbols of the unity that binds us.

‘We must never allow outsiders to tell us who we are or sow division among us. We are Nigerians, and we will stand together. Nigeria will not accept lectures from those who seek to profit from our divisions. No one loves this country more than Nigerians themselves, and no one will define us except us.

‘Our duty is to stand guard over our unity, protect every citizen, and continue to prove to the world that our diversity is not our weakness, but our strength and when Nigeria stands united, no falsehood can prosper against her. So help us God,’ he added.

On the impact of the All Progressives Congress in running Nigeria since 2015, President Tinubu said: ‘Nigeria is no longer where it was ten years ago. We promised a change, and I can confidently tell you the worst is over.

‘Ten years ago, our great party, the All Progressives Congress (APC), came into power on the wings of change. Nigeria was at a crossroads. A break from the old order was not only desirable; it had become inevitable to steer our nation away from collapse. ‘Under President Muhammadu Buhari, our party began stabilising Nigeria. We invested heavily in infrastructure, pushed back terrorists, and instilled accountability in public finance. Were there challenges? Yes. Were mistakes made? Yes. But no one can deny that the direction of Nigeria changed for good,’ he added.

‘APC may not be perfect, but we are purposeful. And we will not allow Nigeria to return to the wasted years of drift,’ the President said.

‘We are not yet where we want to be, but we are no longer where we were. We are building a Nigeria that values productivity above handouts and is a nation prepared for a sustainable future.

The President has a message for the critics of the APC administration: ‘And to those who today parade themselves as prophets of solutions, let me say this: those who wasted sixteen years had their chance. Nigerians remember the broken promises, the broken power plants, the broken roads and the attempts to usurp democratic institutions using corrupt practices and subterfuge.

President Tinubu commended Governor Uzodimma for his scholarship documenting this decade of progressive governance.

‘Hope has given Nigeria a gift: a reminder that nations must write their own stories, and leaders must account for their stewardship.

The President stated that the outlook for the economy had improved across various indicators.

‘I am honoured to stand here in Owerri, in the heart of the South-East, a land of industry, intellect, and resilience. I know there were times when this region felt left out. But under Renewed Hope, no part of Nigeria will be abandoned. The South-East is not on the margins; you are at the centre of our national rebirth.

‘Believing in true federalism and decentralisation, I have created regional development commissions to bring progress closer to the people. Nigerians have the right to hold leaders at every level (federal, state, and local) accountable. And as leaders, we have the duty to deliver,’ he added.

The President of the Senate, Godswill Akpabio, thanked the President for the initiative of NELFUND, which had encouraged more underprivileged children to pursue their education in higher institutions.

‘Mr President, you have given hope to many young people through the Education funds you provide. You have invested in agriculture to provide food for millions of Nigerians.

‘On behalf of the entire National Assembly, we want to congratulate the performing governor,’ the Senate President said.

The Governor of Imo State, who is also the Chairman of the Progressive Governors’ Forum, stated that the sub-national governments had consistently received increased allocations, enabling infrastructure construction and improving sectors such as education and health.

‘Mr President, we are grateful for your support. It is through your courage and bold policies that our economy is stabilised today. Most of the projects we undertake in Imo are made possible by the continuous funding we receive from time to time.

‘Your consistency in the political trajectory of Nigeria made it possible for the formation of APC, which became a force in the build-up to the 2015 elections. This inspired me to document all these remarkable efforts into a book titled ‘A Decade of Leadership in Nigeria’.

Ola Olukoyede, executive chairman of the Economic and Financial Crimes Commission (EFCC), has called on public and private sector organisations in Nigeria to integrate fraud risk assessment and control mechanisms into their governance frameworks to strengthen transparency and accountability.

Olukoyede made the appeal on Tuesday, at the launch of the ISO 37003:2025 Fraud Control Management System held at the Transcorp Hilton, Abuja.

The event was organised by the Standards Organisation of Nigeria (SON) in collaboration with the British Standards Institution (BSI).

Delivering a keynote address entitled, ‘Integrating Fraud Risk Assessment and Control into Governance of Organisations,’ Olukoyede, represented by Ibrahim Shazali, director of Fraud Risk Assessment and Control of the EFCC, described fraud as a ‘pervasive and complex issue’ that causes enormous financial and reputational damage to organisations.

‘Fraud risk assessments provide an opportunity for identifying, analysing, and mitigating the effects of fraud risks in organisations,’ he said, warning that threats such as asset misappropriation, corruption, and fraudulent financial reporting could cripple institutional capacity if not properly addressed.

Olukoyede highlighted the significance of ISO 37003:2025, which he said offers a globally recognised framework for organisations to prevent, detect, and respond to fraud systematically and sustainably.

He further disclosed that in 2024, the EFCC established the Department of Fraud Risk Assessment and Control (DFRAC), mandated to carry out fraud risk assessments across ministries, departments, and agencies (MDAs).

According to him, the unit has been focusing on measures such as segregation of duties, adherence to approval limits, cybersecurity safeguards, transparency protocols, whistleblower arrangements, and targeted awareness programmes to enhance governance and compliance in the public sector.

‘Fraud prevention is a collective responsibility. Our partnership with ISO and SON is crucial in promoting international best practices in fraud prevention and control. ‘By sharing knowledge, expertise, and resources, organisations can strengthen their defences against fraud and promote a culture of integrity and transparency,’ he added, noting that EFCC’s initiatives will also be extended to sub-national levels.

In his remarks, Chukunonso Okeke, Director-General/Chief Executive of SON, represented by Talatu Ethong, Director of Corporate Affairs, described the unveiling of the standard as a ‘historic occasion’ and a major milestone in Nigeria’s role in international standardisation.

‘Today, we are not merely unveiling another international standard, but a powerful instrument to strengthen transparency, accountability, and good governance in Nigeria.

‘With ISO 37003:2025, we now embrace a proactive and structured framework for fraud prevention, detection, and response,’ Okeke said.

He also praised Nigeria’s leadership role in shaping the new standard through SON’s active participation in the ISO/Technical Committee 309 Working Group 8, paying tribute to Professor Oserheimen Aigberaodion Osunbor for positioning Nigeria as a global player in fraud control standardisation.

Abdullahi Bello, Chairman of the Code of Conduct Bureau (CCB), in a goodwill message, commended SON and BSI for driving the initiative.

He described ISO 37003:2025 as ‘a robust framework for fraud prevention, detection, and response’ and expressed optimism that it would further entrench integrity in Nigeria’s governance and business environment.

Other speakers at the event included David Adamson of the British Standards Institution, the representative of the Minister of Industry, Trade and Investment, Kevin Hyland who presented a paper on ‘Criminality and Rule of Law: Impacts on Global Trade,’ as well as representatives of the Independent Corrupt Practices and Other Related Offences Commission (ICPC), the Central Bank of Nigeria (CBN), and the Technical Unit on Governance and Anti-Corruption Reforms (TUGAR).

The highlight of the event was the official declaration by SON of the adoption of ISO 37003:2025 Fraud Control Management System for use in Nigeria.

The Institute of Change Management (ICM) has called on Nigerian businesses to prepare for a future defined by the convergence of people, processes, and technology, noting that successful organisations will be those that approach digital transformation with intentionality and agility.

Nat Osewele, president/chairman of the council of ICM, during his address of welcome at the 2025 ICM Annual Conference themed, ‘Navigating to the Future: Synchronising People, Processes and Technology for the Next Era of Change,’ said the gathering was more than a meeting of professionals but a launchpad for transformation.

‘This conference reflects our collective commitment to shaping the future with intention, innovation, and integrity,’ Osewele stated.

He emphasised that the future is not to be feared but designed, while urging change leaders to build cultures that embrace agility, collaboration, and continuous learning.

During a panel session on ‘digital transformation and organisational agility,’ industry leaders highlighted both opportunities and challenges facing Nigerian firms.

Morolayo Igeleke, country marketing manager at UPS, stressed that successful transformation depends on leadership commitment.

‘It starts from the top,’ he said. ‘The shoulders of implementation begin with leadership, and everyone else will pick from it.

‘To invest in digital transformation as a leader, you must be digitally literate, set visions and timings, and grow incrementally. Mindset change is very difficult, but with execution and time, things will change,’ Igeleke noted. Folorunsho Aliu, group chief information officer of Dangote Industries Limited, said agility is not just speed but alignment with an organisation’s realities.

‘A lot of people are jumping to AI because it’s the real thing, but you can’t digitise processes if your business is still running on paper,’ Aliu stated. ‘You must evaluate your stage, set the right foundation, and grow organically. There is no need to rush just to catch up with everybody.’

He added that small businesses may find it easier to embed digital systems from scratch, while larger organisations must take a more structured approach.

The panel agreed that Nigerian businesses must prioritise continuous learning, workforce audits, and communication when adopting AI. Small pilot projects, investment in digital literacy, and ethical considerations were also identified as critical success factors.

Obiageli Nwobi, managing consultant at HR Allied Services Ltd, noted that AI is already embedded in everyday work.

She stated that there is an urgency to prepare today’s workforce for an AI-driven future. ‘AI has come to stay. Many of us already use it daily without realising it – from personalised recommendations to research tools.

‘The workforce of tomorrow will not only be assisted by AI, it will be shaped by it. The focus is shifting from jobs to skills, and success will depend on human-AI collaboration.’

It was noted that AI is increasingly taking over repetitive jobs, but new roles are also being created, from AI ethics officers to process improvement engineers.

‘Our jobs are not disappearing; they are evolving.’

Nigerian Deposit Money Banks are parking record amounts of excess cash at the Central Bank of Nigeria (CBN) deposit window while lending to the economy continues to stutter, even after the recent cut in interest rates.

Data from the CBN shows that banks’ Standing Deposit Facility (SDF) rose to an all-time high of N5.38 trillion on Monday, driven by excess liquidity from Federation Account Allocation Committee (FAAC) disbursements and Open Market Operation (OMO) repayments.

The SDF is a monetary policy tool that allows banks and other deposit-taking institutions to lodge their excess liquidity with the CBN overnight and earn interest – without needing to provide collateral.

The amount deposited by banks surged by 52.6 percent, rising from N3.5 trillion as of September 24, 2025, to N5.38 trillion on Monday, September 29, 2025.

Banks shun lending

On the borrowing side, through the Standing Lending Facility (SLF), commercial banks have shunned the CBN’s lending window for the past nine business days. Borrowing from the apex bank’s window dropped to a one-month low of N22 million on September 16, 2025, the last time such levels were recorded being August 8, 2025, when banks borrowed N25 million.

Over the same period, the CBN carried out OMO repayments worth N459.8 billion in one month, including N254.9 billion on September 23, 2025, and N204.9 billion on September 16, 2025.

The banking system opening balance stood at N338.9 billion as of Monday, September 29, 2025, reflecting a 22.86 percent increase from N275.88 billion at the beginning of the month. Meanwhile, the CBN has not conducted any OMO auction since September 4, 2025, after selling N620.7 billion in an auction on September 3, 2025.

Analysts’ view

Adebowale Funmi, head of Research at Parthian Securities, explained that banks are drawn to the SDF because it remains more attractive than investing in treasury bills. She noted that with the current MPR at 27 percent and an asymmetric corridor of -250/+250 basis points, the SDF rate stands at 24.5 percent. By comparison, the discounted yield on a 364-day treasury bill is about 16.78 percent, with effective yields slightly below 20 percent – making the SDF a more appealing option for banks.

Muda Yusuf, chief executive officer of the Centre for the Promotion of Private Enterprise (CPPE), said the surge in bank deposits with the CBN reflects the absence of sufficient credit opportunities to absorb the available resources.

‘Even though the rate has come down, the opportunities are not there. If the risk environment is high, banks will prefer to keep their money with the CBN,’ he said.

Yusuf stressed that the elevated risk perception, particularly among small and medium enterprises (SMEs), discourages banks from lending and suggested that the CBN may need to implement further rate cuts to stimulate credit creation.

At its 302nd meeting last week, the Monetary Policy Committee (MPC) unanimously voted to reduce the Monetary Policy Rate (MPR) by 50 basis points to 27 percent, adjust the symmetric corridor to +250/-250 basis points around the MPR, set the Cash Reserve Ratio (CRR) at 45 percent for commercial banks and 16 percent for merchant banks, and introduce a 75 percent CRR on non-Treasury Single Account (TSA) public sector deposits, while maintaining the Liquidity Ratio (LR) at 30 percent. The move marked the first policy rate cut in five years.

Ayodeji Ebo, managing director/chief business officer at Optimus by Afrinvest, explained that with the MPR corridor fixed at +250/-250 basis points, the SLF rate declines to 29.5 percent from 30 percent, while the SDF rate drops to 24.5 percent from 25 percent.

According to him, this adjustment means banks will now pay slightly less when borrowing short-term liquidity from the CBN and earn marginally less when depositing excess funds overnight. The effect is to keep interbank market rates aligned with the new MPR, thereby ensuring smoother monetary policy transmission.

Ebo added that the imposition of a 75 percent CRR on non-TSA public-sector deposits significantly restricts the portion of such funds banks can deploy for lending, leaving only N250 out of every N1,000 available. He explained that while this measure curtails banks’ dependence on public-sector liquidity, reduces speculative use of government deposits, and strengthens monetary control, it also tightens liquidity further, potentially slowing the pace at which the rate cut translates into actual credit expansion in the economy.

Credit position

Analysts at FBNQuest anticipate a gradual recovery in credit expansion to the real economy, supported by the narrowing of the corridor around the MPR and the reduction in commercial banks’ CRR.

Credit to the private sector declined by 2.2 percent to N76.14 trillion in June 2025, compared to N77.8 trillion as of May 2025, data from the CBN indicated.

‘The rise in deposits to the CBN is an excess liquidity issue,’ said Tilewa Adebajo, chief executive officer of The CFG Advisory. He explained that banks currently hold more funds than they can deploy under acceptable risk-return conditions. According to him, this reflects a cautious stance by banks, given the weak credit appetite arising from high lending rates and elevated risks in the economy. ‘How many people can borrow at 40 percent?’ Adebajo asked.

Sixty-five years after independence, Nigeria’s telecommunications sector reflects both the nation’s remarkable progress and its unfinished struggles.

From colonial telegraphs in the late 19th century to a digital ecosystem with more than 220 million active lines today, telecoms have become a powerful driver of economic inclusion and innovation.

Yet stubborn gaps, including vandalism, broadband shortfalls, power deficits, multiple taxation, and regulatory hurdles, amongst others, continue to dim the gains.

From telegraphs to 172m lines

Nigeria’s telecoms journey began in 1886 when Cable and Wireless established the first telegraphic link. At independence in 1960, just 18,724 fixed telephone lines served a population of 40 million. The department of Posts and Telecommunications oversaw the network, which remained limited and unreliable. Ambitious targets under the First National Development Plan (1962-1968) sought to expand coverage, but the civil war stunted progress, leaving results at less than half of projections. The 1970s and 1980s brought incremental growth, but service was still costly and inefficient.

A turning point came in 1985 with the merger of the Posts and Telecommunications Department and Nigerian External Telecommunications into Nigerian Telecommunications Limited (NITEL), a state monopoly. NITEL struggled to deliver efficient service, and by the late 1980s, reforms were overdue.

The 1988 Privatization and Commercialization Decree signaled change, but meaningful liberalisation only arrived in the 1990s. The creation of the Nigerian Communications Commission (NCC) in 1992 opened the door to competition, while the 2000 National Telecommunications Policy under president Olusegun Obasanjo dismantled NITEL’s monopoly. GSM licensing in 2001 marked the dawn of a new era.

GSM era sparks growth

Operators like MTN and Globacom transformed Nigeria’s telecoms landscape almost overnight. In 2001, fewer than half a million lines existed. Today, subscriptions is about 172 million, according to NCC latest data. Telecoms now contribute roughly 14 percent of GDP, enabling e-commerce, fintech, and social connectivity on a scale unimaginable a generation ago.

Infrastructure milestones such as Glo-1, the first submarine cable fully owned by an African operator, showcased Nigeria’s ambition to connect globally.

The Nigerian Communications Act of 2003 cemented a strong regulatory framework, ensuring competition and attracting massive private investment.

Tinubu’s Renewed Hope Agenda

Since May 2023, telecommunications has taken on greater prominence under President Bola Tinubu’s Renewed Hope Agenda. Bosun Tijani, minister of Communications, Innovation and Digital Economy, has championed a 2023-2027 Strategic Blueprint anchored on five pillars: knowledge, policy, infrastructure, innovation, and trade.

The results are already visible. More than 117,000 Nigerians have been trained under the 3 Million Technical Talent (3MTT) program, exceeding early targets. Global partnerships have been struck with MTN, Airtel, the European Union, and UNDP, while Nigeria launched a National AI Strategy to position itself as a continental leader in emerging technologies.

Investor confidence has returned, buoyed by policy moves such as scrapping the controversial five percent telecom tax and approving tariff adjustments. Foreign direct investment in ICT surged nine-fold from $22 million to $191 million in the first quarter of 2024. Operators, too, are doubling down: MTN Nigeria has pledged N1 trillion in capital expenditure for 2025 alone. ‘Stable policies and regulatory clarity are enabling us to reinvest in quality of service. It is a testament to how far the sector has come and how much more it can deliver,’ said Karl Toriola, chief executive officer of MTN Nigeria.

Broadband, power gaps, vandalism persist

Despite progress, major gaps persist. Broadband penetration stood at 48.81 percent in August 2025, far short of the 70 percent target set in the National Broadband Plan. Rural communities remain underserved, hobbled by power shortages, multiple taxation, and right-of-way bottlenecks.

The World Bank estimates that Nigeria’s infrastructure gap costs the economy $29 billion annually. Power shortages alone erode quality of service, with telecom operators spending heavily on diesel to run approximately 40,000 sites nationwide.

Gbenga Adebayo, chairman of the Association of Licensed Telecommunications Operators of Nigeria (ALTON), warned that systemic barriers remain. ‘Multiple taxation, vandalism and high cost of Right of Way are still major problems that need to be addressed to encourage more investments,’ he said. Ambitious projects ahead

Government officials insist solutions are in the pipeline. Later this year, the administration plans to roll out Project BRIDGE, a $2 billion, 90,000-kilometre national fibre network, alongside 7,000 new towers, 80 percent of which will serve underserved areas.

Other initiatives include e-governance platforms, Talent City innovation hubs, and expansion of the 3MTT program to train more digital workers.

‘We believe we should build and are building a resilient global system to ensure Nigeria is not just keeping pace with digital infrastructure but also strengthening it,’ Tijani said.

NCC’s policy-to-law legacy

For the NCC, Nigeria’s telecoms story has always rested on strong policy foundations. Aminu Maida, the commission’s executive vice chairman, recalled that the National Telecommunications Policy (2000) paved the way for the Nigerian Communications Act (2003), which transformed connectivity.

‘We moved from about 500,000 fixed lines to almost 80 million active lines in under a decade. Competition drove innovation and affordability; even with recent tariff adjustments, the average price per minute remains below the N50 per minute level at the dawn of GSM,’ Maida said.

Newer policies, including the National Policy on 5G, the National Broadband Plan (2020-2025) and the National Cybersecurity Policy, are shaping today’s landscape. Meanwhile, indigenous content and online child protection frameworks are in early stages of implementation.

Looking ahead, Maida said the NCC’s focus will be on expanding fibre-to-buildings, ensuring affordable high-speed connectivity, and building resilience against vandalism and infrastructure disruptions. ‘Our goal is a robust, resilient, safe, and secure internet for all citizens, businesses, and government,’ he stated.

As Nigeria reflects on its independence milestone, the telecoms sector stands as both a symbol of progress and a reminder of unfinished business. From 18,724 lines in 1960 to 172 million active subscriptions today, the sector’s trajectory underscores the transformative power of connectivity.

But broadband gaps, power shortages, and policy hurdles still hold back its full potential. Closing those gaps and ensuring equitable access may well define how completely telecoms can deliver on the promise of inclusion in Africa’s largest economy.

Business recovery and insolvency stakeholders have called for the strengthening of insolvency institutions to enhance practitioners’ effectiveness and align Nigeria’s frameworks with global best practices.

This was made known at the 2025 Business Recovery and Insolvency Practitioners Association of Nigeria (BRIPAN) conference in Lagos. The two-day event focused on deepening the use of insolvency tools to resolve chronic indebtedness and financial distress facing businesses.

Justice John Tsoho, Chief Judge of the Federal High Court, represented by Justice Akintayo Aluko, told participants that practitioners, regulators, and the judiciary all play critical roles in restructuring and insolvency processes, especially during periods of economic turbulence. He urged professionals to uphold integrity, independence, impartiality, and transparency while avoiding personal gain from sensitive corporate information.

‘The role of an insolvency practitioner in the life of a company under distress is significant. Insolvency does not necessarily signal the end of a business,’ Tsoho said. ‘Practitioners must carefully adopt tools such as receivership, administration, mergers and acquisitions, or bankruptcy in the best interest of both creditors and debtors.’ Chimezie Ihekweazu, BRIPAN President, said this year’s theme, ‘Deepening Insolvency Tools for Resolving Commercial and Financial Challenges of Businesses’, was timely given Nigeria’s exposure to economic headwinds, geopolitical shifts, and technological disruptions.

‘In Nigeria and across Africa, it has become imperative to sharpen and deepen the tools at our disposal for business rescue, debt restructuring, and sustainable recovery,’ he said. Justice Victoria Nwoye, also speaking at the conference, stressed that insolvency frameworks should serve as ‘economic stabilisers,’ not punitive measures. She warned that many regimes worldwide remain inaccessible to businesses that need them most, leaving both small enterprises and multinationals vulnerable during financial crises.

‘Be it small enterprises or multinational corporations, the ability to navigate distress is no longer a peripheral concern; it is central to survival and growth,’ she noted.

The conference concluded with a consensus that Nigeria must strengthen its insolvency institutions, enforce ethical codes for practitioners, and improve access to restructuring mechanisms to safeguard businesses and the wider economy.