By Milcah Tanimu
The Nigeria Communication Satellite (NIGCOMSAT) Limited has doubled its revenue in the first half of 2024 compared to the entire year of 2023, according to Dr. Bosun Tijani, Minister of Communications, Innovation, and Digital Economy. This announcement was made during a Twitter space event focused on national issues.
Dr. Tijani highlighted the progress made under President Bola Tinubu’s administration, noting that the previously underutilized Nigerian satellite is now a significant revenue generator. Although the exact revenue for 2023 wasn’t disclosed, industry insiders have long criticized NIGCOMSAT for its minimal earnings despite substantial government funding. In the 2024 federal budget, NIGCOMSAT received N5.3 billion, an increase from N4.5 billion in 2023.
Dr. Tijani emphasized the efficient use of NIGCOMSAT-1R, stating, “Nigeria is the only country in West Africa with its own satellite. Historically, that satellite had not been put to good use. But this government is now putting it to good use.” He added that NIGCOMSAT’s revenue for 2024 has already surpassed that of 2023.
The satellite is also integral to Project 774, which aims to connect all 774 local governments in Nigeria to the internet. NIGCOMSAT is currently seeking global investors to support the replacement of NIGCOMSAT-1R, which is nearing the end of its 15-year lifespan in 2026. The satellite, launched in 2011, was intended to enhance communications, internet services, health, agriculture, environmental protection, and national security.
Despite initial hopes that the satellite would save Nigeria billions in foreign exchange, local businesses have largely continued to rely on foreign satellite providers.
