FG attracts investors’ interest in $2bn fiber infrastructure fund — Tijani

By Blessing Emmanuel, Abuja

The Minister of Communications, Innovation, and Digital Economy, Dr. Bosun Tijani, announced at the World Economic Forum in Davos, Switzerland, that the Nigerian government is already receiving significant interest from investors regarding its proposed $2 billion fund dedicated to laying fiber infrastructure across the country.

Dr. Tijani, speaking on the sidelines of the forum, highlighted the strategic importance of the project, stating that it would be one of his most substantial achievements as a Minister once completed. The project was initially proposed in December of the previous year, estimating a $2 billion investment to deploy approximately 95,000 kilometers of fiber optic cables, supplementing the existing 35,000 kilometers to ensure comprehensive national coverage.
The Minister shared the government’s approach to the funding.

“So we’re working hard to put it (the fund) together and we are extremely excited about the interest that we are getting. This is about infrastructure, so many people want to be part of it.

“And what we’re thinking is that the government is not going to pay for it, but the government will guarantee the loan for private companies to actualise it because if the government funds it then we have not achieved our objective.
“Not only that, we want to ensure that in the next two to three years, a significant part of Nigeria is covered. For those who understand the power of connectivity, you know that due to its economic significance, it is going to be one of the biggest things I do as a minister once we’re able to achieve it.”

He expressed enthusiasm about the interest from various investors, emphasising the collaborative nature of the initiative.
Addressing the challenge of limited profitability in laying fiber in certain areas, Dr. Tijani acknowledged that private companies are hesitant due to insufficient customers in those regions.

He said, “The reason why we’re not there yet as a country is that private companies will tell you that there are parts of Nigeria that if they invested and put fibre optic cable, there are not enough customers there to bring a return on investment.”

To counter this, the Ministry is focusing on connecting all public institutions across the country, stimulating internet demand and consumption.

The recently established National Broadband Alliance for Nigeria (NBAN) is a key component of this strategy, targeting institutions such as schools, hospitals, government offices, libraries, and markets. The Alliance aims to overcome consumption challenges, enhance return on investment (ROI) in the nationwide fiber network, and position Nigeria at the forefront of the global digital landscape.

Dr. Tijani concluded by stating, “For those who understand the power of connectivity, you know that due to its economic significance, it is going to be one of the biggest things I do as a minister once we’re able to achieve it.”
The government’s commitment to leveraging private investment for critical infrastructure projects underscores its vision for sustainable and widespread connectivity in the country.