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RETOOLING THE UNIVERSAL SERVICE PROVISION FUND: A POLICY BRIEF

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INTRODUCTION
Like many developing countries, the cyberspace in Nigeria is characterized by multi￾layered digital divide. It manifest as the unequal access to and use of digital technologies by the different genders, age groups, geographies, urban/rural inequality, etc. Global cables have their landing in Lagos, making Lagos as the most highly connected city in the country and as you go further inwards away from Lagos, capacity decreases with the extreme north being the most poorly connected. For instance, access of fibre networks within 5 kilometers of the population currently stands at an average of approximately 39% reach, with a high of 85% in Lagos State and a low of 12% in Jigawa State

The Universal Service Provision Fund (USPF) has indicated that as of 2022, there were 97 clusters of what it termed as ’underserved and unserved’ communities which are digitally excluded. It estimates that these clusters have a combine population of about
27.91million people. However, the number of unconnected Nigerians is much more than the number of people who live within the referred clusters of excluded. Statistics from the Nigerian Communication Commission (NCC) shows that there are about 132,907,001 internet connections in the country by September 20243, much of which is based on 3G. Broadband penetration stands at about 41.56% by September
20244. Indeed, the National Broadband Plan says about 4G coverage in Nigeria: “In particular 4G coverage is only available in major cities and state capitals with less than 40% coverage of the population as at Q4, 2019”.

Many people are unconnected not just because of infrastructure constrains but because
they cannot afford connectivity and digital goods. Since we do not manufacture ICT goods
in the country, naturally, these come with high prices….

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