FG to review MTN’s $6.2 billion acquisition of IHS Towers to avert sector risk

The Federal Ministry of Communications, Innovation and Digital Economy has announced plans to review the proposed $6.2 billion acquisition of IHS Towers by MTN Group, citing the need to safeguard the stability and long-term sustainability of Nigeria’s telecommunications sector.

In a statement signed by the Minister of Communications, Innovation and Digital Economy, Bosun Tijani, the Ministry said it is closely monitoring recent developments in the telecoms industry and will conduct a thorough assessment of the transaction in collaboration with relevant regulatory authorities.

The Ministry noted that over the past two years, the administration of President Bola Ahmed Tinubu has implemented reforms aimed at stabilising and strengthening the telecommunications sector as a key pillar of Nigeria’s digital economy. These efforts, it said, have focused on policy clarity, regulatory support, sustained stakeholder engagement, and boosting investor confidence.

According to the statement, recent financial results from major telecom operators show improved profitability, increased infrastructure investment, and enhanced operational stability, reflecting the impact of ongoing reforms.

However, given the strategic importance of telecommunications infrastructure to national security, economic growth, financial services, innovation, and social inclusion, the Ministry said it is necessary to evaluate the potential impact of the acquisition. The review will assess how the transaction aligns with the government’s market development agenda under the Renewed Hope policy direction.

“The objective is to ensure that any market consolidation or structural changes protect consumers, safeguard investments, and preserve the long-term sustainability of the sector,” the statement read.

The Ministry reaffirmed its commitment to maintaining a stable, transparent, and forward-looking policy environment to keep Nigeria’s telecommunications industry on a sustainable growth path while advancing the country’s broader digital economy goals.