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MTN commits to smartphone affordability, digital Inclusion

Bisola David
Bisola David
MTN Nigeria Chief Executive Officer, Karl Toriola reaffirmed the company's commitment to increasing affordability and accessibility of mobile phones in Nigeria.

By Melvin Onwubuke

 

MTN Nigeria Chief Executive Officer, Karl Toriola reaffirmed the company’s commitment to increasing affordability and accessibility of mobile phones in Nigeria.

The challenges and opportunities in the Nigerian market, as well as the strategies of MTN to promote digital inclusion, were highlighted recently by Toriola in an interview on ARISENEWS.

Toriola acknowledged that device affordability remained a significant obstacle to digital inclusion in Nigeria, noting that while the cost of smartphones has decreased globally, the upfront cost remains a hurdle for many Nigerians. In addition, he highlighted the potential of local production and financing schemes in Nigeria to further reduce mobile phone prices.

He said “Local assembly does a number of things. First of all, it can bring down the cost of production, it eliminates custom duties and then you talk about financing handsets and for that financing ecosystem to work, you need to have aggregate credit scoring history to know who to loan to, recovery capabilities, among other.”

In order to develop the financial ecosystem, MTN has already formed partnerships with a number of African companies. It is my belief that this method can make smartphones more affordable to Nigerian consumers, in combination with mobile money and credit scores. A key part of MTN’s strategy to make smartphones more affordable for the average Nigerian is its partnership with Intelligra, an open platform for mobile phone financing; Intelligras expertise in credit access and financing solutions complement MTN’s telecommunications services resulting in a synergy of benefits for clients, Toriola said.

He added that, similar partnerships were also in place with M-Kopa, whereby MTN customers could choose from a range of smartphones models and pay for them in installments, which would make the devices more affordable.

Furthermore, Toriola noted “This approach does not only enhance digital inclusion by making it easier for customers to own a smartphone, but also promotes financial inclusion by providing a form of credit to customers. MTN’s interest in smartphone financing and digital inclusion, as well as its partnership Intelligra and M-Kopa, reflects a strategic approach to promoting digital and financial inclusion in Nigeria. These initiatives are not only expanding access to smartphones, but also contributing to the broader socioeconomic development of the country.”


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