Nigeria: the regulator wants to unlock the market for virtual mobile operators.

The Nigerian Communications Commission (NCC) released on May 20, 2026, a draft of “Business Rules for Mobile Virtual Network Operations in Nigeria,” version 2.0, designed to govern the relationships between mobile virtual network operators (MVNOs) and host network operators (HNOs). This document, developed under the Communications Act of 2003, is open for public consultation until June 29. An in-person consultation session is scheduled for Thursday, July 9, 2026, at 11 a.m. at the NCC’s annex headquarters in the Mbora district of Abuja.

The document primarily aims to address a structural blockage: since the granting of the first MVNO licenses in 2023, totaling 25 licenses for 5.9 billion naira, or about 4.3 million dollars, only two of the 46 licensed operators have actually launched commercial services, according to the specialized site BusinessDay Nigeria. Vitel and Visafone are among the few operational players. The draft rules identify the obstacles posed by host network operators during access negotiations as the main cause of this issue.

The text explicitly prohibits HNOs from “engaging in any act or omission” that would delay, restrict, or prevent the integration, testing, launching, or development of an MVNO. It imposes strict deadlines for the technical integration phase and commercial launch, and prohibits the use of opaque capacity allocation systems. Host network operators are also required to provide adequate technical support to MVNOs from the integration phase onward.

Beyond network access, the proposed regulatory framework covers licensing conditions, interconnection, numbering resources, SIM and eSIM management, as well as provisions related to service quality, consumer protection, network reliability, and data security. Administrative penalties or corrective measures are anticipated in case of rule violations by either party.

An Open Market in 2023 Struggling to Take Off

The NCC formally opened the MVNO market in Nigeria in 2023, after a long regulatory gestation that began in 2020 with the publication of an initial licensing framework. The adopted model is structured into three tiers — “light,” “medium,” and “full” MVNO — depending on the level of control exercised by the virtual operator over core network infrastructure elements, with differentiated licensing fees. The highest level comes with a fee of 100 million naira, or about 60,000 dollars at the current exchange rate.

The difficulty in concluding wholesale commercial agreements with the four major network operators — MTN, Airtel, Glo, and 9mobile, which control all passive and active infrastructure — is at the heart of the blockage. The draft rules aim to impose obligations for non-discriminatory access and binding integration timelines to reduce delays that MVNOs attribute to the delaying tactics of the major operators.

The consultation is open in writing to the executive vice-chairman of the NCC in Abuja, and the full document is available for download on the website ncc.gov.ng. Industry analysts cited by BusinessDay estimate that the effectiveness of the framework will depend on the NCC’s ability to enforce the new rules against historical operators.

A Market of 185 Million Subscribers Still Unequally Covered

Nigeria had 185.7 million mobile subscribers and 153.8 million internet subscribers as of March 2026, according to data published by the NCC. The government estimates that about 20 million Nigerians are still outside the digital ecosystem. GSMA estimated in 2023 that around 120 million Nigerians were not using mobile internet, due to lack of access or high service costs.

The NCC presents virtual operators as a lever to improve price competition and extend coverage to areas poorly or not served by historical operators. Regulating such a concentrated sector — the Nigerian mobile telecommunications market is de facto an oligopoly with four players — raises the question of the willingness of major operators to accommodate competitors on their own infrastructure, an interest that the new rules seek to contractually and legally frame.

The outcome of the public consultation on June 29 and the session on July 9 will determine the final form of the regulatory framework before it comes into effect.