Telecoms operators spend about N270bn on foreign software in three years

From left: Director New Media and Information Security Nigerian Communications Commission (NCC), Dr Sylvanus Ehikioya; Director, Policy and Competition Mrs. Lolia Emakpore and Secretary Felix Adeoye at the event in Lagos.

Chuks Udo Okonta

About N270 billion ($I.8 billion) has been spent by telecommunications operators on the purchase of foreign software, Inspentech has learnt.

The Executive Vice Chairman Nigerian Communications Commission (NCC) Dr Eugene Juwah, who was represented by the Director, Policy and Competition

NCC Mrs. Lolia Emakpore, disclosed this at the Stakeholders’ Forum on the Confirmation of Reseasonableness of Service (CRS) its organised in Lagos.

He said the operators spent $281.2 million in 2010, $624.6 million in 2011 and $894.5 million in 2012. He added that software remittances abroad accounts for over 40 per cent of the total cost of CRS processed over the last three years, and that NCC processed and approved over 5,580 invoices in the telecoms industry between 2010 and 2013.

He said over 745 applications were declined by the commission due to integrity tests, ranging from over-invoicing, expired contract agreements, as well as duplications of invoices.

Juwah canvassed the need to develop local capacity and skills in software development to reduce forex remittances, increased local content and create employment as well as entrepreneur opportunities.

He called on telecoms operators to support the commission through encouraging development of local content, adding that the repatriation of money abroad is inimical to the nation’s development.