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🇳🇬 Nigeria /Economy & Trade

MTN Nigeria clears FX debt, unlocks new investment phase

From The Punch · () English

Summarized and contextualized by DistantNews.

At a glance

News Named sources Context piece
  • MTN Nigeria has eliminated its foreign currency loans, strengthening its financial position and enabling a new investment phase.
  • The company reported significant improvements in its first-half 2026 results, including doubled retained earnings and strengthened shareholders' equity.
  • MTN invested over N620 billion in network expansion and digital infrastructure, signaling a return to growth and shareholder rewards with an interim dividend.

MTN Nigeria, the country's largest telecommunications operator, has successfully eliminated its foreign currency loans, marking a significant balance sheet turnaround. This move clears a major vulnerability for Nigerian businesses and positions the company to enter a fresh investment cycle focused on network expansion and digital infrastructure.

The company's first-half 2026 financial results reflect a substantial recovery from a period characterized by negative equity, foreign exchange volatility, and suspended dividend payments. Management reports that the business has rebuilt its financial standing and is now embarking on a new phase of growth. Chief Financial Officer Modupe Kadri highlighted that retained earnings have nearly doubled and shareholders' equity continues to strengthen.

During the first half of 2026, MTN Nigeria invested over N620 billion to enhance network capacity, improve coverage, and accelerate its home broadband expansion. Chief Executive Officer Dr. Karl Toriola emphasized that this performance underscores sustained investment in the infrastructure powering Nigeria's digital economy, meeting the rising demand for data connectivity and digital services.

Our retained earnings have almost doubled. Our shareholders’ equity continues to strengthen. We have completely eliminated our foreign currency loans.

— Modupe KadriDescribing the company's improved financial position.

Financially, MTN Nigeria reported service revenue of N3 trillion for the first half of 2026, a 25.9% increase year-on-year. Earnings before interest, tax, depreciation, and amortisation (EBITDA) rose by 39.2% to N1.7 trillion, and profit after tax increased by 70.6% to N707.5 billion. The company also generated a free cash flow of N712.7 billion.

Reflecting its improved financial health, the board approved an interim dividend of N26 per share, signaling a return to shareholder rewards after a suspension during its balance sheet challenges. This recovery marks a reversal from the pressures faced in 2024 due to currency instability.

While the numbers reflect a strong first half, they tell a much bigger story, one of sustained investment in the infrastructure powering Nigeria’s digital economy.

— Dr Karl ToriolaConnecting financial performance to infrastructure investment.
DistantNews Editorial

Originally published by The Punch. Summarized and contextualized by our editorial team with added local perspective. Read our editorial standards.

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