Telecoms Pump ₦5.2trn Into Nigeria’s GDP As Sector Hits 2-Year High

Nigeria’s telecommunications industry has strengthened its position as a major engine of economic growth, contributing approximately ₦5.2 trillion to the country’s real Gross Domestic Product (GDP) in the second quarter of 2026.

Data from the National Bureau of Statistics (NBS) shows that telecommunications accounted for 9.72% of Nigeria’s real GDP in Q2 2026, representing the sector’s highest contribution in two years.

The latest figure marks a 10.61% year-on-year increase from the ₦4.7 trillion contribution recorded in Q2 2025, when telecommunications accounted for 9.2% of real GDP.

The Q2 2026 performance also represents the industry’s strongest showing since its 14.58% contribution in Q1 2024.

Telecoms dominate Nigeria’s digital economy

The telecommunications industry remains the dominant component of Nigeria’s expanding digital economy.

The broader digital economy contributed 15% to real GDP in Q2 2026, equivalent to approximately ₦8.1 trillion of the nation’s ₦53.47 trillion real GDP during the quarter.

The Information and Communication (I&C) sector alone contributed 11.7%, or about ₦6.27 trillion, to real GDP.

Telecommunications accounted for the overwhelming majority of the I&C sector’s output, contributing ₦5.2 trillion, representing 82.84%.

Broadcasting followed with ₦762.3 billion, while sound and media production contributed ₦305.6 billion. Publishing recorded ₦8.6 billion.

The Financial Institutions (FI) sector, another component of Nigeria’s digital economy, contributed approximately 3.3% to real GDP, or ₦1.8 trillion.

Data demand fuels telecoms growth

The sector’s strong performance comes amid continued growth in internet usage and demand for digital services across Nigeria.

Industry figures indicate that telecoms users have climbed to about 192.2 million, while internet users reached approximately 156.9 million.

Data consumption has also continued to surge. Nigerians consumed about 7.1 million terabytes of data during the first six months of 2026, reflecting growing dependence on mobile internet for communication, entertainment, business, financial services and remote work.

The growth of fintech, mobile money, digital commerce and streaming has further increased demand for reliable telecommunications infrastructure.

Investment in infrastructure continues

Telecom operators have also continued to invest heavily in network infrastructure, particularly 4G and 5G deployment.

MTN Nigeria reportedly invested about ₦620.5 billion in capital expenditure during the first half of 2026, while Airtel Africa reported approximately ₦287.6 billion ($211 million) in capital expenditure, including investments in towers and network infrastructure.

Meanwhile, the Federal Government’s Project Bridge, a planned 90,000-kilometre fibre-optic rollout, is expected to commence in October.

The project is designed to expand broadband coverage and strengthen the infrastructure supporting Nigeria’s 4G and 5G networks.

Plans to deploy an additional 3,700 telecom towers in rural communities are also expected to improve connectivity for underserved Nigerians, with the initiative targeting about 20 million people currently living in areas without adequate network coverage.

Telecoms deepen their economic impact

Nigeria’s real GDP grew by 4.43% year-on-year in Q2 2026, up from 4.23% recorded in the corresponding quarter of 2025.

Against this backdrop, the rising contribution of telecommunications underscores the sector’s expanding importance beyond traditional voice and SMS services.

From fintech and e-commerce to cloud services, streaming, digital media and remote work, an increasingly large share of Nigeria’s economic activity now depends on telecommunications infrastructure.

The sector’s ₦5.2 trillion contribution therefore reflects not only the growth of telecom operators, but also the wider digital transformation taking place across the Nigerian economy.

As investments in fibre, towers, broadband and 5G infrastructure accelerate, telecommunications is positioned to remain one of the critical pillars of Nigeria’s digital economy and economic growth.