Nigeria telecoms market crossed a ₦5 trillion revenue milestone in 2023 with subscribers’ data consumption exceeding 713 terabytes, according to the 2023 year end performance report just released by the nation’s telecoms regulator.
The number of active subscribers in Nigeria also increased from 222,571,568 subscriptions in 2022 to 224,713,710 active voice subscriptions as at December 2023, according to the insights gleaned by Technology Times from the “2023 Subscriber/Network Performance Report” released on Monday by the Nigerian Communications Commission (NCC).

The introduction of mobile telephony services in Nigeria was a major catalyst for growth with Mobile Network Operators (MNOs) entering the market and offering affordable and accessible mobile services. The availability of MNOs made it easier for Nigerians to own and use mobile phones.
Nigerian Communications Commission (NCC).
A breakdown shows that the Nigerian telecoms market’s gross earnings reached ₦5,303,539,102,697.93 at the end of 2023, with the industry’s contributions to the nation’s GDP peaking 14.00% within the same period.
The telecoms market witnessed a rise in all financial segments of the market with capex topping ₦990,550,661,501.73, representing domestic investments, while operating cost among telecoms operators in the country was ₦3,158,403,767,328.48.
Citing figures from the Central Bank of Nigeria (CBN), the report states that capital inflow in form of foreign direct investment (FDI) into the Nigerian telecoms industry in year 2023 was approximately $134,754,819.27 against $399,905,531.38 as at year 2022.
The telecoms industry’s contribution to the GDP of Nigeria also increased from 13.55% by Q4 2022 to 14.00% in Q4 2023.

A breakdown shows that the Nigerian telecoms market’s gross earnings reached ₦5,303,539,102,697.93 at the end of 2023, with the industry’s contributions to the nation’s GDP peaking 14.00% within the same period.
Nigerian Communications Commission (NCC).

Across the telecoms market, the number of active subscribers grew from 222,571,568 subscriptions in 2022 to 224,713,710 active voice subscriptions as at December 2023, representing an increase of 2,142,142 subscriptions and 0.96% growth in active subscriptions year-on-year.
“The increase in the operators’ subscriber base was attributed to a number of reasons which includes subscriber loyalty, promos, aggressive consumer acquisition drive, and competitive product offerings across all the networks,” according to the authors of the NCC report.
The subscription growth was attributed to a mic of factors, including increased data consumption, subscriber growth, and substantial investments in infrastructure by operators.
“The operators,” according to the report authors, “attributed the increase in subscriber base to high volumes of subscriber activation and reactivation drive of efficient customer retention management strategies and an increase in new subscriber additions within the period under review.”

During the year, teledensity—a measure of telephone connections per hundred individuals—declined, a development that NCC attributes to its reflection of adjustments in population estimates. Teledensity was 103.61% in 2023 as against 116.60% recorded in 2022, which indicates a decrease of 11.10% in teledensity as at December 2023, according to NCC.
“The decrease in teledensity,” NCC says, “was as a result of applying the projected Population information derived from the National Population Commission (NPC) as at year end 2022. NPC projection of Nigeria’s population at 216,783,381 as at 2022, replacing the previously used 2017 projection of 190 million people affected this indicator.”
Nigeria Telecoms Market in 2023: Revenue performance by category
- GSM ₦4,012,411,230,000.00
- FIXED WIRED ₦273,010,222.21
- INTERNET SERVICE PROVIDER ₦89,806,249,295.90
- VALUE ADDED SERVICE ₦14,559,978,522.80
- COLLOCATION & INFRASTRUCTURE SHARING ₦1,144,647,323,946.63
- OTHER TELECOM OPERATORS ₦41,841,310,710.39
- TOTAL ₦5,303,539,102,697.93

The number of internet subscribers also rose significantly, reaching 163.8 million by the end of 2023, up from 154.8 million in the previous year—an increase of 5.81%.
This growth is indicative of the rising demand for mobile data services, which saw total data consumption soar to over 713 terabytes, a remarkable increase of 37.58%compared to 518 terabytes in 2022.
The telecom sector’s growth has been bolstered by substantial investments in infrastructure. The NCC reported that capital expenditure for the industry reached approximately ₦990.6 billion in 2023, up 26.06% from the previous year. Operating costs also rose significantly, totaling ₦3.2 trillion—an increase of 50.92%.
Telecom providers have expanded their infrastructure significantly, with a total of 39,356 towers and 137,992 base stations deployed across Nigeria by December 2023. The deployment of fibre optic cables reached 83,254 kilometres, enhancing network capacity and reliability.
Nigeria: Network coverage by 2023
- % of Population covered by 2G mobile- cellular network – 94.14%
- % of Population covered by 3G mobile- cellular network – 89.42%
- % of Population covered by LTE/WiMAX mobile- cellular network –
- 84.19%
- % of Population covered by at least (5G) Network – 11.80%
Nigeria Telecoms Market in 2023: NCC on the key growth drivers
- Privatisation and Liberalisation: One of the key milestones in the growth of the Nigerian telecom sector was the privatization and liberalization of the Industry circa 2001. This move ended the monopoly of the Nigerian Telecommunications Limited (NITEL) and opened the sector to private investment and competition.
- Mobile Telephony: The introduction of mobile telephony services in Nigeria was a major catalyst for growth with Mobile Network Operators (MNOs) entering the market and offering affordable and accessible mobile services. The availability of MNOs made it easier for Nigerians to own and use mobile phones.
- Internet and Data Services: The expansion of mobile internet services has significantly contributed to the growth of the telecoms sector. With the advent of 3G, 4G, and now 5G networks alongside Internet Service Providers (ISPs), Nigerians have gained access to faster and more reliable internet services. The rise in smartphone usage has also driven data consumption.
- Increased Investment: Telecommunication companies have made substantial investments in Foreign Direct Investment (FDI), infrastructure development, including the expansion of network coverage. These investments have played a crucial role in improving service quality and coverage.
- Regulatory Framework: The Nigerian Communications Commission (NCC) has played a pivotal role in regulating the telecom sector, ensuring fair competition, and protecting consumer interests. The regulatory environment has encouraged investment and innovation.
- Digital Inclusion: The telecoms sector has contributed to digital inclusion in Nigeria, bringing connectivity to previously underserved areas and providing access to various digital services, including mobile banking, e-commerce, and e-government services.
- 5G Rollout: Nigeria successfully rolled out 5G technology in 2022. The deployment of 5G networks is expected to further enhance internet speeds and support emerging technologies like the Internet of Things (IoT).

Nigeria successfully rolled out 5G technology in 2022. The deployment of 5G networks is expected to further enhance internet speeds and support emerging technologies like the Internet of Things (IoT).
Nigerian Communications Commission (NCC).