By Jennete Ugo Anya
Nigeria’s telecommunications sector is entering another phase of regulatory reform as the Nigerian Communications Commission (NCC) moves to strengthen the framework governing Mobile Virtual Network Operators (MVNOs). The review is expected to improve competition, encourage innovation and extend quality telecommunications services to more Nigerians, particularly underserved communities.
The initiative reflects the commission’s broader strategy of promoting digital inclusion while creating a business environment that allows new entrants to compete fairly alongside established network operators.
Speaking at the recent one-day MVNO Business Rule Stakeholders Forum in Abuja, the Executive Vice Chairman of the NCC, Dr Aminu Maida, said the review would refine the regulatory framework guiding MVNO operations to support a more competitive and inclusive telecommunications market.
Represented by the Director of Licensing and Authorisation, Mr Usman Mamman, Dr. Maida said the business rules were introduced to provide clarity on licensing requirements, operational responsibilities and the relationship between MVNOs and their host Mobile Network Operators (MNOs).
“The MVNO business rules are designed to provide clarity on licensing, operational responsibilities and relationships with host network operators while safeguarding consumer interests and market integrity,” he said.
He stated that while the commission remains committed to supporting innovation, operators must fully comply with regulatory requirements to preserve consumer confidence and ensure a healthy market.
MVNOs differ from traditional mobile network operators because they provide voice, data and other telecommunications services without owning radio spectrum or building nationwide network infrastructure. Instead, they lease network capacity from existing operators, enabling them to focus on specialised services, niche markets and customer experience while reducing the cost of market entry.
According to Mr. Mamman, the NCC’s decision to introduce MVNO licensing followed years of consultations with industry stakeholders and was carefully designed to accommodate different business models and operational capacities.
He disclosed that the commission has already issued 46 MVNO licences across five operational tiers. These comprise one Tier 1 licence, 11 Tier 2 licences, 16 Tier 3 licences, seven Tier 4 licences and 11 Tier 5 licences, demonstrating growing interest in Nigeria’s evolving telecommunications landscape.
The tiered licensing structure allows operators with varying technical capabilities and investment capacities to participate in the market while serving different customer segments.
Earlier, the Head of Legal and Regulatory Services at the NCC, Mrs Chizua Whyte, said the draft business rules were developed to provide a transparent operational framework that supports sustainable growth within the communications ecosystem.
She noted that the emergence of MVNOs presents significant opportunities to deepen market competition, stimulate innovation, promote service differentiation and ultimately expand consumer choice.
Recognising the importance of industry participation, Whyte explained that the stakeholder forum was organised to gather practical feedback from operators before the rules are finalised.
The consultative approach received support from industry players, who described the review as an opportunity to address operational issues that have slowed the sector’s development.
President of the Association of Mobile Virtual Network Operators of Nigeria (AMVON), Mr Ken Nwabueze, urged the commission to provide greater clarity on revenue-sharing arrangements between MVNOs and host network operators.
“As we define these rules, we plead with the commission to make enforcement a key component of the framework,” he said.
According to Nwabueze, predictable revenue-sharing models and effective enforcement mechanisms would provide greater certainty for investors while promoting fairness across the industry.
Operational challenges also featured prominently during the discussions.
A member of the Association of Telecommunications Companies of Nigeria (ATCON), Mr Chidi Ibisi, identified lengthy onboarding procedures as one of the biggest obstacles preventing licensed MVNOs from commencing operations.
He explained that delays resulting from internal processes and sequencing requirements within host network operators have slowed implementation, despite operators already obtaining regulatory approval.
Mr. Ibisi expressed optimism that the revised business rules would establish clear timelines and standard procedures that prevent unnecessary delays while ensuring that internal corporate processes do not become barriers to market entry.
The review comes at a time when Nigeria is seeking to accelerate broadband penetration, improve digital connectivity and expand access to affordable telecommunications services. By encouraging more specialised service providers to enter the market, the NCC hopes to stimulate innovation, improve service quality and reach customer segments that have traditionally been underserved.
For consumers, stronger competition could translate into more affordable service offerings, better customer experience and products tailored to specific communities and industries. For investors, clearer business rules are expected to improve regulatory certainty and encourage greater participation in Nigeria’s expanding digital economy.
