MTN Nigeria's share price surged by 10% on Tuesday, reaching its highest point since March 2024, after regulators approved a 50% tariff hike on Monday. The news sent investors into a frenzy, pushing the company's shares up to ₦256.30 ($0.16) at the close of market.

The tariff hike is expected to bring much-needed relief to MTN Nigeria, which has been bleeding billions of naira in foreign exchange losses due to currency devaluation in major markets. In its Q3 2024 results announcement, the company reported a nine-month ₦514.9 billion ($331 million) FX loss. The hike is expected to help the company turn a profit or at least hedge its FX losses by Q1 2025.

Meanwhile, Airtel Africa, another publicly listed telco that has previously voiced opinions on the tariff hike, remained unchanged. This is likely because Airtel Africa's listing covers its entire African business portfolio, making the news in Nigeria a small cog in the 14 markets where the telco operates.

In other telecoms news, Globacom's CEO, Ahmad Farroukh, resigned after just one month, marking one of the briefest leadership tenures in the Nigerian telecoms sector. Farroukh's resignation raises tough questions about the company's ability to adapt to regulatory pressures and regain its edge in a fiercely competitive market. The company's centralized management style, led by its Nigerian billionaire founder Mike Adenuga, has been cited as a key reason for Farroukh's quick exit.

In Kenya, the government has updated its Virtual Asset Service Providers Bill, 2025, requiring crypto firms to establish physical offices in the country, seek licenses, and have their executives vetted by regulators. The move is part of a larger trend across Africa, where governments are attempting to strike a balance between encouraging innovative technology and protecting consumers.

The bill raises concerns about the feasibility of remote operations for crypto firms, which may view the requirement as excessive. However, if the market is important enough, they may set up offices, as seen with foreign crypto companies like Luno, which claims to have a physical presence in Nigeria.

In other news, Transgrid Enerco Limited has acquired 60% of West Power and Gas Ltd's stake in Nigeria's second-largest distribution company, Eko Electricity Distribution Company, in a deal estimated to be worth around $200 million. The acquisition offers several benefits to the different stakeholders of the Transgrid Enerco group, including North-South Power, Stanbic Infrastructure Fund, and Axxela.

The deal allows NSP to gain direct control over Eko DisCo's operations, enabling it to make more informed investment decisions in the power sector. For gas companies like Axxela, the acquisition provides direct access to cash flow, while Stanbic Infrastructure Fund gains a rare opportunity to invest in the power sector.

Finally, the Lagos Tech Fest is set to hold its fifth edition from February 19-20, 2025, at the Landmark Event Center, VI, Lagos. The event gathers startups, innovators, investors, and government representatives to shape Nigeria's tech future through conferences, exhibitions, networking, and driving ecosystem investments.