22 Dec 2015

What Now For MTN After Nigerian Government Refuse To Shift Ground

These are not the best of times for South African-owned telecommunications giants, MTN as the Nigerian government has refused to shift ground.
Reacting to MTN’s decision to take the Federal Government to court over the N1.4trn fine imposed on her; the honourable minister of communication Mr. Adebayo Shittu said the government would neither be cowed nor threatened by the decision of the South African firm.

Speaking through his personal assistant on media, Mr. Victor Oluwadamilare, the minister admitted that MTN had the right to seek court’s interpretation if it feels unsatisfied with the action of the regulator but made it clear that nothing would stop the government from imposing additional fine on the operator, at the expiration of the deadline.

“It is the right of MTN to approach the court but there was an infraction, which MTN admitted to have committed before it pleaded for leniency that led to the reduction of the fine from N1.4 trillion to N780 billion and the subsequent December 31, 2015 deadline to pay.

“If it has decided to go to court, it is still within the ambit of the law. I will not intervene, since they have gone to court, we will allow the court to decide if it is right for MTN to commit those infractions and breach the laws of the land.”
He, however, said that “it is unwise for MTN to go to court after the Federal Government had magnanimously reduced the fine. It will surely be fined for violating the rule at the expiration of the deadline, should it fail to pay the initial fine.”


These are indeed trying times for the mobile communications giants, which remains one of Africa’s leading telecom operators with a very wide reach across the entire continent. Nigeria remains MTN’s biggest market outside South Africa, and a business miscalculation could jeopardise the company’s relationship with its host government.

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