Telecom drives nearly 10% of ICT’s 16.35% GDP boost in Q2

National Bureau of Statistics (NBS)

TELECOMMUNICATIONS has further emerged as a powerful engine of growth within Nigeria’s ICT sector, driving nearly 10 per cent of the industry’s overall 16.35 per cent contribution to GDP in the second quarter of 2026.
   
This performance underscores the sector’s resilience and its critical role in sustaining the nation’s digital economy, even amid broader macroeconomic challenges. With expanding mobile penetration, rising data consumption, and ongoing infrastructure investments, telecom continues to anchor ICT’s influence on national productivity.
    
Precisely, telecommunications accounted for about 9.72 per cent of the ICT sector to Nigeria’s Gross Domestic Product (GDP), according to data from the National Bureau of Statistics (NBS).
   
The figures highlighted more than just statistical progress, they reflected the deepening integration of digital services into everyday life and business operations. From mobile banking to e‑commerce and remote work solutions, telecom networks are enabling new efficiencies and opportunities across industries.
    
The further breakdown showed that the telephony industry contributed about N5.2 trillion ($3.8 billion) to the country’s real gross domestic product in the second quarter of 2026, underscoring the growing importance of digital services to Africa’s largest economy.
   
The figures were reported as Nigeria’s economy expanded 4.43 per cent year-on-year in the second quarter, accelerating from 3.89 per cent in the first quarter, according to data from the NBS.
   
The latest growth performance was driven largely by the services sector, with telecommunications among the industries supporting expansion alongside real estate, trade and financial services.
   
The telecommunications industry’s contribution reflected the continued expansion of mobile connectivity and demand for data services in Nigeria.
   
Internet usage has remained a key driver of telecoms activity, with the number of Internet users reaching about 156.9 million during the period, according to the figures cited in the report.
    
The industry’s growing economic footprint comes as Nigerian consumers and businesses increasingly rely on mobile networks for financial services, commerce, communications, entertainment and access to digital platforms.
    
Telecommunications growth has also become increasingly important to Nigeria’s non-oil economy as policymakers seek to diversify growth away from crude oil.
   
The broader ICT sector’s 16.35 per cent contribution places it behind only the largest sectoral contributor to GDP and reinforces the strategic importance of digital infrastructure to Nigeria’s economic expansion.
    
The NBS said the non-oil sector was supported by several industries in the second quarter, including agriculture, information and communication, real estate, trade, financial institutions, manufacturing and construction.
    
Telecommunications has consistently featured among the stronger-performing components of Nigeria’s services economy. In the second quarter, the sector grew by 10.38 per cent, according to data compiled from the latest GDP figures.
   
The latest figures highlight the increasing role of connectivity in Nigeria’s economic structure. Mobile networks are no longer simply communications infrastructure but underpin a growing ecosystem of digital payments, fintech, e-commerce, cloud services and online businesses.
    
For investors and policymakers, the telecoms contribution also underscores the importance of continued investment in broadband infrastructure, spectrum, data centres and network capacity.
    
However, operators continue to face significant costs associated with infrastructure deployment, energy, foreign exchange and network expansion, making sustained investment critical to maintaining the sector’s growth trajectory.
   
With Nigeria targeting faster economic expansion over the coming years, the performance of telecommunications and the wider digital economy is likely to remain an important indicator of whether services can generate the productivity gains needed to support broader growth.
   
Nigeria’s 4.43 per cent Q2 GDP growth was an improvement on the previous quarter, but remains below the government’s longer-term ambition of achieving yearly growth of seven per cent by 2027.

Join Our Channels

Taboola Recommendation Widget