The Federal Government has said it will review the reported acquisition of IHS Towers by MTN Group, signalling heightened regulatory scrutiny of consolidation in Nigeria’s telecommunications sector as operators rebound to profitability.
Bosun Tijani, minister of communications, innovation and digital economy, said the review would be carried out in collaboration with relevant regulatory authorities to evaluate the deal’s impact on competition, consumers, and long-term sector sustainability.
In a statement issued on Tuesday night in Abuja, Tijani said the assessment is aimed at ensuring that any structural changes arising from the transaction are consistent with the government’s market development agenda and broader digital economy objectives.
The ministry said reforms introduced over the past two years under President Bola Ahmed Tinubu’s administration have focused on stabilising the telecoms industry following periods of macroeconomic pressure, while strengthening its position as a key enabler of economic growth.
According to the statement, policy clarity, regulatory engagement, and sustained dialogue with operators have helped restore investor confidence, improve operational stability, and return major players in the sector to profitability.
“Recent financial results announced by key operators indicate a return to improved profitability, increased investment in telecommunications infrastructure, and enhanced operational stability across the sector,” the ministry said.
Read also: FG to scrutinise MTN–IHS deal as telecom infrastructure consolidation deepens
The government described telecommunications infrastructure as critical to national security, economic growth, financial services, innovation, and social inclusion, underscoring the need for careful regulatory oversight of large-scale transactions.
Analysts say the proposed acquisition could reshape infrastructure ownership dynamics, particularly in the tower leasing segment, with potential implications for pricing structures, operating costs, and capital expenditure plans of mobile network operators.
The statement further noted that further consolidation in telecom infrastructure may improve efficiencies but could also raise concerns about competitive neutrality, depending on how the transaction is structured and regulated.
The ministry said its objective is to ensure that any consolidation protects consumers, safeguards investments, and preserves the long-term viability of the industry.
It added that the government remains committed to providing a stable, transparent, and forward-looking policy environment to sustain growth in the telecommunications sector and advance Nigeria’s digital economy agenda.
