FG Moves to Launch Smartphone Factories in Nigeria to Slash Phone Prices, Create Jobs
- The NCC is seeking federal government incentives to attract investors to establish smartphone manufacturing factories in Nigeria
- The initiative aims to reduce smartphone prices, create jobs, boost local manufacturing and expand digital access for millions of Nigerians
- The NCC also proposed smartphone instalment payment schemes to make devices more affordable and accelerate digital inclusion across the country
Legit.ng journalist Victor Enengedi has over a decade's experience covering energy, MSMEs, technology, banking and the economy.
The Federal Government is considering plans to establish smartphone manufacturing plants in Nigeria as part of efforts to lower the cost of mobile devices, expand digital access and create jobs across the country.
Chairman of the Governing Board of the Nigerian Communications Commission (NCC), Idris Olorunnimbe, disclosed that discussions were underway to secure presidential incentives for investors willing to set up smartphone production facilities in Nigeria.
Source: UGC
Speaking after participating in the Digital Africa Summit Roundtable held in Shanghai, Olorunnimbe said the initiative would encourage greater private-sector investment in Nigeria's digital economy while strengthening the country's manufacturing capacity.
FG highlights benefits of local smartphone production
According to Olorunnimbe, manufacturing smartphones locally would make devices more affordable for Nigerians while generating thousands of direct and indirect employment opportunities.
He noted that increased local production would improve digital inclusion by making quality smartphones accessible to students, young people and small business owners who are currently unable to afford many imported devices.
He added that domestic manufacturing would also strengthen Nigeria's industrial sector by deepening local value chains, encouraging the growth of supporting industries and reducing the country's dependence on imported smartphones.
Olorunnimbe explained that Nigeria's reliance on imported devices has left consumers vulnerable to high prices and supply chain disruptions, making local production a more sustainable long-term solution.
To encourage investment, he revealed that companies willing to begin construction of smartphone factories before November would receive government support aimed at easing their entry into the Nigerian market.
He also assured potential investors that the NCC would help connect serious manufacturers with the necessary regulatory and policy support required to establish their operations successfully.
Reducing Forex pressure, positioning Nigeria as a regional hub
Olorunnimbe said producing smartphones within Nigeria would reduce manufacturers' exposure to foreign exchange volatility since a significant portion of production expenses would be incurred in naira rather than foreign currencies.
He explained that this would help stabilise retail prices, improve affordability and allow millions of Nigerians who are currently priced out of the smartphone market to own internet-enabled devices.
Beyond serving local demand, he said Nigeria could emerge as a regional centre for smartphone assembly and technology manufacturing, creating opportunities for engineers, technicians, logistics providers, component suppliers, retailers and other businesses along the production chain.
Source: UGC
While acknowledging that previous attempts at local smartphone manufacturing faced setbacks due to poor product quality, inadequate after-sales support and weak consumer confidence, Olorunnimbe insisted that future locally assembled devices must compete favourably with imported alternatives.
"The aim is to build phones in Nigeria that match the imported phones on quality and beat them on price. A locally made device that asks Nigerians to settle for less is not worth making," he said.
The NCC chairman highlighted Nigeria's vast market potential, noting that the country has more than 170 million mobile connections and over 150 million mobile internet users.
Source: Legit.ng
