By Ayomide Otitoju
MTN Nigeria and other multinational companies have called on the Federal Government to create a level playing field to support sustained investment in the country. The appeal came during a panel session at the 30th Nigerian Economic Summit in Abuja on Tuesday, themed “Navigating Business Growth in a Volatile Environment.”
MTN’s Chief Financial Officer, Modupe Kadri, highlighted the challenges posed by high inflation and foreign exchange fluctuations, which are straining the telecommunications sector. Kadri noted that while industries like petroleum and electricity have been allowed to raise tariffs, telecom companies have been unable to adjust prices for over a decade, despite the impact of foreign exchange on their operations.
“For ten years, telecom companies haven’t been permitted to increase prices. This regulation denies us a level playing field,” Kadri said. He emphasized the need for price adjustments similar to other industries to ensure business sustainability. “Our industry contributes 16% to GDP, and without proper pricing, investments in the sector are at risk.”
Kadri warned that failure to address these issues could lead to a decline in investment, similar to the oil industry, with ripple effects across other sectors like financial services and logistics.
Mondelez West Africa (Cadbury) CEO, Oyeyimka Adeboye, also raised concerns about the rising cost of doing business in Nigeria, stressing the need to boost local production and reduce imports. “We import glucose, but local producers face financing challenges,” she said.
Courage Obadagbonyi, CFO of APM Terminals West Africa, called for better coordination between government regulators, noting that confusion among regulatory bodies hinders business growth.
Techno Oil Group Managing Director, Nkechi Obi, expressed optimism about the future of the petroleum sector with the Dangote refinery’s launch, predicting some price stabilization. She added that Techno Oil is working on its own refinery to mitigate sector uncertainties.
The business leaders emphasized the importance of clear policies and regulatory reforms to support investment and economic growth in Nigeria.
