REGULATING COMPETITION AND THE GROWTH OF SMALL-SCALE BUSINESSES IN NORTHEAST NIGERIA: EVIDENCE FROM MTN NIGERIA, 2015–2020

Abstract The liberalization of Nigeria's telecommunications sector in 2001 marked a major turning point in the country's economic and technological development. By ending the effective monopoly of the Nigerian Telecommunications Limited (NITEL) and opening the market to private operators, the reform introduced competition that transformed communication services and created new opportunities for entrepreneurship and employment. This study examines how the Nigerian Communications Commission's (NCC) regulation of competition among Mobile Network Operators (MNOs), particularly MTN Nigeria, contributed to the growth of small-scale businesses in Northeast Nigeria between 2015 and 2020. A mixed-method descriptive research design was adopted for the study. Primary data were obtained through Key Informant Interviews (KIIs) and Focus Group Discussions (FGDs) conducted with MTN Foundation beneficiaries, small-business owners, telecommunications agents, community leaders, and relevant stakeholders in Adamawa, Bauchi, and Taraba States. Secondary data were obtained from publications of the NCC, MTN Nigeria, the National Bureau of Statistics (NBS), and relevant scholarly literature. The collected data were analyzed using thematic and content analysis to identify recurring patterns and relationships. The findings indicate that competition within the telecommunications sector, operating under the NCC's regulatory framework, encouraged MTN Nigeria to expand its distribution channels, agency services, retail outlets, digital financial services, and corporate social investment initiatives. Between 2015 and 2020, field and documentary evidence used in the study indicated that the MTN Foundation directly and indirectly supported 16,064 small-scale businesses across the three study states, comprising 4,384 businesses in Adamawa, 2,953 in Bauchi, and 8,727 in Taraba. The competitive environment also lowered barriers to entry for airtime vendors, mobile-money agents, phone retailers, and digital entrepreneurs by creating accessible business opportunities through incentive schemes, agency networks, and digital financial services. The study concludes that effective regulation of competition can create an enabling environment in which private telecommunications firms contribute to local economic development. In regions affected by poverty and insecurity, competitive telecommunications markets can improve service availability while creating opportunities for entrepreneurship, employment generation, and financial inclusion. The study recommends that the NCC continue to strengthen competition regulation and consider measurable MSME-related outcomes within relevant regulatory and policy frameworks, while Mobile Network Operators should expand interoperable digital financial services, entrepreneurship programmes, and business-development initiatives to promote inclusive economic growth.