The single digit growth recorded by Nigeria’s telecommunication sector in the first quarter (Q1) 2021 has been attributed to the ban on sales of subscriber identity module (SIM) cards slowed.
The ban, according to data from the first-quarter gross domestic product (GDP) report released by the National Bureau of Statistics (NBS), slowed down performance in the information and communication sector within the period, only recording a growth rate of 6.47 per cent, being the first single-digit growth since Q1 2020.
The growth for Q1 2020 was 9.71 percent.
The performance in the sector was a result of a 7.69 percent sluggish growth in the telecommunications sub-sector, even though the sector was one of the most resilient during the COVID-19-induced economic recession.
The report also showed that the oil sector recorded a decline of 2.21 per cent (year-on-year) in Q1 2021, while the non-oil sector grew by 0.79 per cent in real terms in Q1 2021.
It further pointed out that growth in the non-oil sector was driven by the information and communication (telecommunication) sector, while other drivers were agriculture (crop production); manufacturing (food, beverage & tobacco); real estate; construction and human health &
social services.