AFC raises concern over high cost of doing business in Nigeria
African Finance Corporation, an international finance body that is supporting most businesses in Africa, Nigeria inclusive, has expressed worries over the high cost of doing business in Nigeria.
President/CEO, African Finance Corporation (AFC), one of the financiers of MainOne projects in Nigeria, Mr. Andrew Ali speaking in Lagos that several factors, especially poor electricity supply, are responsible for the skyrocketing cost of doing business in Nigeria.
He expressed regret that most companies operating in Nigeria run on generators because of inadequacy in public power supply, pointing out that this adds to the cost of doing business in the country.
Ali said if rhe problem of electricity supply is addressed, the cost of doing business will be reduced.
He called on government to ensure more active participation of industry operators in the country’s technology development. He said government needed to build investors’ confidence and assure them of high level security of their data and businesses.
“Government must create a fair business ground that will enable operators roll out services outside urban cities. Although it is very expensive rolling out broadband services in urban areas talk less of rural areas, and it becomes even more expensive with the multiple taxes imposed on operators by various governments for infrastructure rollout,” he said.
He condemned a situation where some people see telecoms as a money spinning business and want to share from the supposed money at all cost, which, he said informed why the cost of doing business in Nigeria is very expensive.
Ali said Nigerian universities should be able to come up with curriculum that would address market needs, and get students educated in that direction so as to make them competitive as soon as they are out of the university system.
In what appears like a mixed feelings over the establishment of more data centres in the country, the Minister of Communications Technology, Dr. Omobola Johnson expressed joy that more data centres are springing up in the country, but however condemned the underutilisation of such data centres by data companies operating in Nigeria.
Johnson who commended the management of MainOne Cable Company for the construction and launch of its Tier 111 Data Centre in Lagos last week, said the MainOne’s 600 racks capacity data centre would assist in the hosting, storage and management of big data in the county, especially at a time like this, when there is an expectation of big data explosion, following broadband deployment and penetration in the country. She how regretted that the existing data centres in the country were not maximally being utilised.
“We have three data centres in the country, but from my own understanding, that of MainOne is the only Tier 111 Data Centre in the country. But we need more Tier 111 data centres in order to grow the Nigerian economy digitally. Right now MainOne has 600 racks capacity in its Tier 111 data centre but the centre is underutilised, as well as the other two data centres currently operational in the country,” Johnson said.
According to her: “To improve maximum utilisation of all data centres in the country, and to address the issue of high cost of doing business, we are planning to drive data centre initiative with regulatory policies, in order to ensure that organisations bring in their data to the data centres for efficient management and for predictable lower cost of doing business. If there is full utilisation of data facilities, it will encourage more data centres to spring up in the country.”
President/CEO, African Finance Corporation (AFC), one of the financiers of MainOne projects in Nigeria, Mr. Andrew Ali speaking in Lagos that several factors, especially poor electricity supply, are responsible for the skyrocketing cost of doing business in Nigeria.
He expressed regret that most companies operating in Nigeria run on generators because of inadequacy in public power supply, pointing out that this adds to the cost of doing business in the country.
Ali said if rhe problem of electricity supply is addressed, the cost of doing business will be reduced.
He called on government to ensure more active participation of industry operators in the country’s technology development. He said government needed to build investors’ confidence and assure them of high level security of their data and businesses.
“Government must create a fair business ground that will enable operators roll out services outside urban cities. Although it is very expensive rolling out broadband services in urban areas talk less of rural areas, and it becomes even more expensive with the multiple taxes imposed on operators by various governments for infrastructure rollout,” he said.
He condemned a situation where some people see telecoms as a money spinning business and want to share from the supposed money at all cost, which, he said informed why the cost of doing business in Nigeria is very expensive.
Ali said Nigerian universities should be able to come up with curriculum that would address market needs, and get students educated in that direction so as to make them competitive as soon as they are out of the university system.
In what appears like a mixed feelings over the establishment of more data centres in the country, the Minister of Communications Technology, Dr. Omobola Johnson expressed joy that more data centres are springing up in the country, but however condemned the underutilisation of such data centres by data companies operating in Nigeria.
Johnson who commended the management of MainOne Cable Company for the construction and launch of its Tier 111 Data Centre in Lagos last week, said the MainOne’s 600 racks capacity data centre would assist in the hosting, storage and management of big data in the county, especially at a time like this, when there is an expectation of big data explosion, following broadband deployment and penetration in the country. She how regretted that the existing data centres in the country were not maximally being utilised.
“We have three data centres in the country, but from my own understanding, that of MainOne is the only Tier 111 Data Centre in the country. But we need more Tier 111 data centres in order to grow the Nigerian economy digitally. Right now MainOne has 600 racks capacity in its Tier 111 data centre but the centre is underutilised, as well as the other two data centres currently operational in the country,” Johnson said.
According to her: “To improve maximum utilisation of all data centres in the country, and to address the issue of high cost of doing business, we are planning to drive data centre initiative with regulatory policies, in order to ensure that organisations bring in their data to the data centres for efficient management and for predictable lower cost of doing business. If there is full utilisation of data facilities, it will encourage more data centres to spring up in the country.”
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