Stakeholders seek cheaper, faster internet through local routing

Nigeria’s dependence on international internet routes for traffic that could potentially be exchanged locally is expected to come under scrutiny as industry stakeholders meet in Lagos to explore ways of improving domestic interconnection and strengthening the country’s digital infrastructure.

The issue will take centre stage at the 2026 Nigerian Peering and Interconnection Forum (ngPIF), scheduled for October 28 and 29, where telecommunications operators, internet service providers, data centre companies, regulators and technology firms will discuss ways to make Nigeria’s internet ecosystem more efficient and resilient.

The forum is convened by the Nigerian Network Operators Group (ngNOG), in collaboration with the Internet Exchange Point of Nigeria (IXPN) and the Nigerian Communications Commission (NCC).

At the heart of the discussions is how to ensure that more internet traffic generated and consumed within Nigeria can be exchanged locally rather than unnecessarily travelling through international networks before reaching its destination.

Internet peering enables networks to exchange traffic directly, while internet exchange points provide infrastructure through which participating networks can exchange data.

Where Nigerian networks have the necessary connections and commercial arrangements, local traffic exchange can reduce reliance on international transit for eligible traffic, potentially lowering network costs, reducing latency and improving the resilience of digital services.

However, the benefits depend on the volume of traffic exchanged locally, the capacity of domestic infrastructure, the location of content and the commercial arrangements between participating networks.

Prof. Adewale Adedokun, Convenor of ngNOG, said Nigeria needed to pay greater attention to the infrastructure and interconnection arrangements supporting its expanding digital economy.

“As Nigeria’s digital economy continues to expand, we must pay closer attention to the infrastructure and interconnection arrangements that underpin it. Keeping more traffic local, strengthening peering and improving access to resilient infrastructure are critical to building a faster, more efficient and sustainable Internet ecosystem,” Adedokun said.

The issue has become increasingly important as Nigerians consume growing volumes of digital content and rely more heavily on online banking, electronic commerce, cloud services, video streaming and other internet-based applications.

For network operators, the ability to exchange traffic efficiently can influence the cost of delivering services and the capacity required to support growing demand.

Where local interconnection is limited, networks may depend more heavily on upstream international providers for traffic that could otherwise be exchanged domestically, depending on the networks and services involved.

This can introduce additional routing costs and longer transmission paths in some circumstances. Stronger local interconnection, however, does not eliminate the need for international connectivity, which remains essential for accessing overseas websites, cloud platforms and digital services hosted outside Nigeria.

The development of local data centres and content-hosting infrastructure is therefore another important part of the equation.

When content and digital services are hosted closer to users, networks may be able to deliver them through shorter routes, reducing latency and improving responsiveness. But this depends on whether the relevant content is actually hosted locally and whether network operators have access to it through efficient interconnection arrangements.

Adedokun said cooperation across the internet ecosystem would be necessary to address the infrastructure challenges.

“No single player can address these challenges alone. Operators, data centres, content providers, regulators, IXPs and technology companies must work together to create an environment where digital services can be delivered efficiently and reliably from within Nigeria,” he said.

The forum is expected to examine internet peering and interconnection, local traffic exchange, data centres, connectivity infrastructure, content delivery, regional connectivity and regulation.

Its programme will feature research presentations, technical sessions, fireside conversations and industry panels focused on infrastructure development and the next phase of Nigeria’s digital growth.

For Nigeria, the potential benefits extend beyond telecommunications operators. Businesses that depend on reliable connectivity could benefit from improved network performance, while digital service providers may find better opportunities to host and deliver content locally.

Nevertheless, the extent of these gains will depend on actual investment and implementation. Local traffic exchange alone cannot guarantee cheaper internet subscriptions for consumers, as retail prices also reflect spectrum costs, energy, equipment, taxes, competition and other operating expenses.

The forum will therefore provide an opportunity for stakeholders to examine how improved interconnection, local hosting and stronger infrastructure can contribute to a more efficient internet market.