Kenya Pushes for Social Media Regulation, Nigeria Faces USSD Face-Off, and World Bank Pledges $500 Million to Fibre Project

Max Carter

Max Carter

January 17, 2025 · 3 min read
Kenya Pushes for Social Media Regulation, Nigeria Faces USSD Face-Off, and World Bank Pledges $500 Million to Fibre Project

Kenya is pushing for tighter regulation of social media platforms, including a requirement for them to establish local offices, in the wake of widespread protests against a proposed finance bill in 2024. The government argues that having a local presence would allow for better oversight, improve collaboration in tackling issues like cyberbullying and hate speech, and ensure platforms comply with tax and labour regulations.

However, critics fear the move could give the government greater control over social media, enabling censorship and stifling dissent. The precedent set by Nigeria, where Twitter was blocked in 2021 after it deleted a tweet by President Muhammadu Buhari, serves as a cautionary tale. Twitter was only allowed to operate again in 2022 after agreeing to several conditions, including opening a local office and adhering to national security guidelines.

In Nigeria, the Nigerian Communications Commission (NCC) has given telecom companies the go-ahead to cut off USSD services for nine banks over unpaid debts by January 27, 2025. The banks, including Fidelity Bank and United Bank for Africa, have accumulated debts owed to telcos for USSD services since 2019, amounting to ₦250 billion ($160 billion). The NCC and Central Bank of Nigeria (CBN) have tried to rein in banks, but some have refused to comply, prompting the threat of USSD service cutoff.

The USSD service is especially important for older Nigerians and people in rural areas who rely on basic phones without internet access. If banks end up clearing their debt to telcos, the NCC plans to transition to using an end-user billing process where customers pay telcos directly for USSD services, bypassing banks. However, this raises questions about how this process will work and how much financial information will be shared with telcos.

In a separate development, the World Bank has pledged $500 million to Nigeria's ambitious 90,000km fibre optic project, which aims to extend high-speed internet access to underserved rural areas. The project, which requires $3.2 billion in funding, has attracted financial commitments from a coalition of development finance institutions, including the Islamic Development Bank and the African Development Bank.

While the funding commitments are a positive sign, the project's success will depend on resolving micro issues, such as fragmented state policies and the alignment of telcos, government, and other parties involved. The minister of Communications, Technology, and Innovation, Bosun Tijani, has conceded that the project will take longer than planned, with trenching set to begin by Q3 2025 and deployment expected by 2031.

The developments highlight the complexities of tech regulation and infrastructure development in Africa, where governments are grappling with the need to balance online safety and economic growth with the need to protect free expression and political dissent. As the continent continues to evolve digitally, it remains to be seen how these challenges will be addressed.

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