The Chief Executive Officer of MTN Nigeria, Karl Toriola, has described the telecommunications company as a truly Nigerian business, saying millions of Nigerians have a direct economic interest in its success through shared ownership and pension fund investments.

Speaking during an interview on Arise News, Toriola said MTN Nigeria, despite being part of the South Africa-founded MTN Group, is incorporated in Nigeria, listed on the Nigerian Exchange and operates as a locally managed company that contributes significantly to the country’s economy through taxes and employment.

According to him, more than 201,000 Nigerians hold MTN Nigeria shares directly, while an estimated 11 million others own indirect stakes through their pension funds.

He explained that the perception of MTN Nigeria as a South African company stems from the origins of its parent company rather than its ownership structure.

Toriola noted that MTN Group has a broad international shareholder base, with African investors accounting for only about half of its ownership, while the remaining shares are held by investors across North America, Europe, the United Kingdom, the Middle East and the Asia-Pacific region.

The MTN Nigeria boss also highlighted the company’s local leadership, stating that he is Nigerian and that all but one member of the executive management team are Nigerians. He added that the company currently employs only four expatriates in the country.

On the recent adjustment in telecom tariffs, Toriola said the increase was essential to keep operators financially viable rather than to boost profits.

He said telecom companies had struggled to meet basic operational expenses before the tariff review, describing the adjustment as necessary for the industry’s survival.

According to him, the improved financial position has enabled MTN Nigeria to significantly increase investment in network infrastructure.

He disclosed that while the company initially planned to spend about ₦250 billion on capital projects in 2024, it has expanded its capital expenditure to approximately ₦1 trillion in 2025.

Toriola said MTN invested ₦390 billion in network infrastructure during the first quarter of the year, exceeding its ₦359 billion profit after tax for the same period, which he said demonstrates the company’s commitment to improving service quality.

Addressing complaints about network performance, he attributed service disruptions to rising demand for telecom services, repeated fibre cuts, vandalism, insecurity and the high cost of powering thousands of base stations due to unreliable electricity supply.

He said deliberate attacks on telecom facilities, including incidents where vandals set underground cable routes on fire, as well as insecurity in some locations, have made it difficult for engineers to restore services promptly.

Toriola noted that MTN operates about 18,000 network sites nationwide, all of which require generators, batteries, rectifiers and continuous fuel supply because of inadequate public power.

While acknowledging that customers still experience service challenges, he assured subscribers that the company would continue investing heavily to improve network performance.

Responding to allegations that telecom operators deliberately deplete customers’ data, Toriola rejected the claims, saying investigations have consistently shown that background processes on smartphones account for much of the data usage.

He explained that applications such as Apple iCloud, WhatsApp and other cloud-based services often perform automatic backups using mobile data without users being aware.

He advised subscribers to review their device settings and, where possible, schedule backups over Wi-Fi instead of mobile data to reduce unintended data consumption.

(Photo Credit: Vanguard News)