IMPACT OF MULTINATIONAL TELECOMMUNICATION NETWORK (MTN) AND ECONOMIC DEVELOPMENT IN FEDERAL CAPITAL TERRITORY (FCT) NIGERIA 2015-2024

Abstract

The activities of MTN Group in Nigeria, particularly within the Federal Capital Territory (FCT), have generated considerable debate among scholars regarding their contribution to economic development. This study examined the extent to which the operations of MTN have benefited residents of the FCT in areas such as employment generation, income improvement, infrastructural development, and overall economic growth. Data for the study were obtained from both primary and secondary sources. The investigation was guided by the Solow Augmented Growth Theory and the Network Externalities and Critical Mass Theory. The Solow Augmented Growth Theory, developed from the Solow–Swan growth model of 1956 by Robert Solow and Trevor Swan, emphasizes the role of labor, capital accumulation, and technological advancement in promoting sustainable economic growth. In contrast to the Harrod–Domar model, it introduced a more flexible framework for analyzing economic development. The Network Externalities and Critical Mass Theory, propounded by Michael Katz and Carl Shapiro in the 1980s, explains how the value of telecommunication services increases as the number of users expands. Findings from the study revealed that MTN has contributed significantly to employment opportunities, business expansion, communication efficiency, and infrastructural development within the FCT. However, challenges such as network instability and uneven service distribution remain persistent. Based on these findings, the study recommended improved investment in telecommunications infrastructure and stronger regulatory oversight to enhance service delivery and maximize the developmental impact of telecommunication services in Nigeria