Nigeria has officially joined BRICS as a partner country, marking a significant turn in its foreign policy and global economic strategy. The announcement, made on January 17, 2025, by Brazil’s Foreign Ministry, highlights Nigeria’s growing role in fostering South-South cooperation and advocating for reforms in global governance.

“In its capacity as the pro tempore presidency of BRICS, the Brazilian government announces today, January 17, 2025, the formal admission of Nigeria as a partner country of the grouping. The Brazilian government welcomes the Nigerian government’s decision,” the statement read.

This development elevates Nigeria to a prominent position within BRICS, originally an acronym for Brazil, Russia, India, China, and South Africa, a coalition of leading emerging economies. Nigeria joins eight other partner countries: Belarus, Bolivia, Cuba, Kazakhstan, Malaysia, Thailand, Uganda, and Uzbekistan. The partner-country category was created during the 16th BRICS Summit in Kazan in October 2024, reflecting the bloc’s strategy to expand its influence and cooperation.

BRICS has evolved into a formidable coalition aiming to reshape global economic and political power structures. Formed in 2009, the bloc has grown in stature, particularly as a counterweight to Western dominance, often characterized by U.S.-led sanctions and financial systems reliant on the dollar.

Following sanctions leveled on Russia over its invasion of Ukraine, BRICS has ramped up its efforts to stand up to what it perceives as Western overreach. The bloc’s leaders have been working on creating alternative payment systems to reduce reliance on the U.S. dollar, which they argue has been weaponized to control global financial flows. These measures aim to provide economic stability and reduce vulnerabilities for member nations.

Recent expansions, including the admission of Saudi Arabia, Iran, and the UAE in 2024, have signaled the bloc’s growing influence in energy markets and geopolitics. The group now accounts for approximately 37% of the world’s gross domestic product (GDP) and more than 40% of the global population, underlining its potential to challenge existing global power dynamics.

A Potential Tension with Trump

While the Biden administration has appeared largely indifferent to BRICS’ expansions, viewing the bloc as a loose coalition of developing nations, analysts predict a more confrontational stance under the upcoming Trump administration. President-elect Donald Trump has already threatened to impose 100% tariffs on BRICS nations should they take steps to undermine the dollar. This sets the stage for a possible faceoff between the U.S. and BRICS, as the bloc continues to explore alternatives to Western-dominated financial systems.

Trump’s return to office could intensify scrutiny of Nigeria’s decision to join BRICS, as Washington may perceive the move as aligning with nations challenging U.S. hegemony.

Nigeria’s Foreign Policy Shift from Non-Aligned Status?

Nigeria’s decision to join BRICS is seen by many as a departure from its traditional policy of non-alignment. Historically, Nigeria has sought to maintain balanced relations with global powers, avoiding overt alignment with blocs or coalitions that might polarize its diplomatic stance.

By joining BRICS, Nigeria risks being perceived as aligning with an anti-Western bloc, which could complicate its relations with Western allies. This decision also comes at a time when Nigeria is pursuing membership in other multilateral institutions, such as the G20 and the BRICS New Development Bank (NDB).

Bayo Onanuga, spokesperson for Nigeria’s presidency, highlighted the bloc’s growing importance, stating that BRICS has been a significant driver of global economic growth and a platform for addressing inequities in international governance. However, critics argue that Nigeria’s involvement could limit its flexibility in navigating global politics.

However, many believe that joining BRICS offers Nigeria significant economic and diplomatic opportunities. It is believed that as Africa’s largest economy and the world’s sixth-most populous nation, Nigeria is well-positioned to benefit from enhanced trade, investment, and collaboration with BRICS nations.

The partnership is also seen as a platform for Nigeria to amplify its voice on global issues such as financial governance, climate change, and equitable trade policies.

BRICS has increasingly positioned itself as a champion of the Global South, advocating for reforms in international organizations such as the United Nations and the World Bank. The bloc’s initiatives, including the development of an alternative reserve currency and payment systems independent of the dollar, aim to create a more balanced global financial system.

Analysts argue that these efforts resonate with countries like Nigeria, which face economic challenges exacerbated by the dominance of Western-led institutions. However, the bloc’s ability to implement these changes remains uncertain, particularly amid geopolitical tensions and internal differences among member states.

A report by nPerf, a French firm renowned for measuring global internet performance, has highlighted developments in Nigeria’s mobile internet landscape for 2024.

The analysis, which evaluated key performance indicators (KPIs) like download speed, upload speed, latency, and video streaming, underscores MTN’s continued dominance in the sector. However, the broader performance of the telecom sector remains overshadowed by Nigeria’s challenging economic environment and industry-wide struggles.

According to the nPerf Barometer, MTN excelled across all metrics, particularly in download speed, upload speed, latency, and video streaming quality.

“MTN leads the 4G focus area, showcasing significant advancements in upload speed and reinforcing its role as a trailblazer in Nigeria’s mobile technology sector,” the report noted.

As of October 2024, MTN held a commanding 51.09% share of Nigeria’s mobile market with 69.5 million internet subscriptions, according to data from the Nigerian Communications Commission (NCC).

Airtel and Globacom: Key Contributors

While not the overall leader, Airtel secured strong performance in browsing and video streaming, reflecting its commitment to enhancing user experience. The operator accounted for 34.61% of the mobile market with 45.7 million internet subscriptions.

Globacom, with a 12.15% market share and 17.1 million internet subscriptions, also showed steady improvement. The report highlighted Glo’s contributions to market competitiveness despite its smaller footprint.

The nPerf report notably excluded 9mobile, which holds a mere 2.15% market share and 2.1 million internet subscriptions. The operator’s limited presence reflects the intensifying competition and economic pressure within the industry.

Methodology of nPerf Analysis

The report’s findings were based on extensive testing conducted during busy hours (6 PM to 11 PM) and idle hours, ensuring a comprehensive understanding of network performance throughout the day. This approach accounts for fluctuations in user experience caused by network congestion.

Despite these individual achievements, the telecom sector’s overall performance is widely considered inadequate, primarily due to Nigeria’s harsh economic environment. Industry experts attribute this to several factors, including high operating costs related to energy, infrastructure maintenance, and importation of essential equipment, compounded by the removal of subsidies and fluctuating exchange rates. Additionally, inflation has driven up the cost of goods and services, significantly weakening consumers’ purchasing power and affecting demand for premium data services.

In response to these challenges, mobile network operators have been advocating for a 100% tariff review to reflect the rising costs of operations. Industry groups have argued that the current pricing model is no longer viable.

Recently, the Nigerian government agreed in principle, to allow about a 40% increase for the telcos.

What Lies Ahead for the Telecom Sector?

While MTN, Airtel, and Glo are making significant strides in network performance, the broader telecom sector faces mounting challenges.

Analysts have noted that without a tariff review or government intervention to alleviate operating costs, the sector’s financial viability remains uncertain. However, any tariff increase could further strain consumers, who are already grappling with high inflation and economic instability. The telecom sector’s struggles could have broader implications for Nigeria’s digital economy, a key pillar of the country’s development agenda.

While MTN’s dominance showcases the resilience of individual operators, stakeholders believe the industry as a whole requires urgent reforms to ensure sustainable growth and improved service delivery. The push for a tariff review, though controversial, may become inevitable if the sector is to weather Nigeria’s economic storm.