MTN plans to double capital expenditure in Nigeria for 2016 fiscal year

by | Jun 17, 2016

Despite the storm that has struck heavily on MTN in recent time, the company is undeterred in its bid to upgrade its network in Nigeria. In a presentation to Nigerian investors, posted on their official website, MTN announced that it is planning to double capital spending in Nigeria in the 2016 fiscal year to the tune of $730 million.

The capital spending is coming days after agreeing to pay a heavily reduced penalty for missing a deadline to deactivate more than 5 million unregistered SIM cards. And with the fine still hanging over MTN’s head, one may even be tempted to question how the company plans to come by the aforementioned capital expenditure, let alone deploy it. Not to further mention that the supposed fine, which pales in comparison to this proposed capital expenditure, would be payable over a 3 year period. But one wouldn’t play down the chances of a company which, despite its recent wobbles still, has an influence in Nigeria that still remains unchallenged; boasting of 57 million subscribers in the country.

Not long ago MTN lost its position as Africa largest telecommunication company to Vodacom Group and has identified in its new plan some key strategy that may once again return it to its former glory; beginning with an upgrade and expansion of its wireless and fixed-line network, the roll out of LTE services and the expansion of its 3G population from 67.23 per cent to about 90 per cent in the West African nation.

MTN is also confident of meeting higher revenue plans in Nigeria as it seeks to reconnect subscribers and introduce new services as the year winds-down.

Ifeanyi Ndiomewese
Ifeanyi Ndiomewese

Ifeanyi is a desk reporter-turned administrator. Outside of work, I love to read and travel.

On January 22, 2022, be part of the largest gathering of innovators, startup founders, thinkers, programmers, policymakers, and investors in West Africa. Register free.

Notify of
Inline Feedbacks
View all comments

Recent News

Uber’s bet on ‘Okada’

Uber’s bet on ‘Okada’

Today on #TechpointDigest, @nifemeah discusses Uber’s launching its motorbike hailing service, UberMoto, in Ibadan.

Subscribe to Techpoint Digest!

A daily 5-minute roundup of happenings in African and global tech, sent directly to your email inbox, between 5 a.m. and 7 a.m (WAT) every week day!

Please check your email to confirm your subscription.

Subscribe to Crypto Explorer

A monthly series featuring in-depth analysis on the cryptocurrency sector in Africa

Please check your email to confirm your subscription.

Subscribe to The Experts

A bi-weekly where tech career specialists take us on their journey from newbie to expert, and how they became successful in the industry.

Please check your email to confirm your subscription.

Subscribe to Founder's Table

A monthly series, where we catch up with founders in the startup ecosystem, learn about their failures, successes and a few tricks of the trade

Please check your email to confirm your subscription.

Copy link
Powered by Social Snap