Telecommunication and Nigeria's economic development: challenges, prospects and policy suggestions

Abstract

Efficient telecommunications sine qua non with national integration: speedy business transaction; and economic growth and development. However, after a century of telecommunications existence in the country, teledensity was still grossly inadequate at 1 :281 in year 2000, in contrast to the International Telecommunications Union's (ITU) 1: 100 standard. This was traceable to equipment obsolescence, among others. Recent developments such as the launching of the Global System of Mobile (GSM) telecommunications and the proposed privatization of NITEL are therefore welcomed. Furthermore, to realize the full potentials of telecommunications service in tlte Nigeria economy, both the traditional terrestrial line system and the GSM should be integrated for enhanced efficiency. Finally, policy measures recommended included: creating a level playing ground for operators, enthronement of robust surveillance process; integration into the global telephony system; paying special attention to rural areas; and purposeful development of human capacity and other ancillary services especially electricity supply through the national grid.