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Nigeria defends use of proceeds from FWA auction

JOHANNESBURG, South Africa—Nigerian Communications Minster Bell Haliru Mohammed has said that the US$306 million in proceeds from the fixed wireless access (FWA) license auction will be used to develop rural telephony in the country.

The statement comes amid allegations that the proceeds from the GSM license auction had been shared among government officials. Mohammed added that the US$185 million refunded to fixed-line operator Nitel is part of the digital mobile license fee, and that the money will be used to expand transmission capacity to allow better interconnection with existing GSM network operators.

The Nigerian Communications Commission reiterated the minister, saying a large portion of the proceeds from the fixed wireless access license would be used for the advancement of telecommunications across Nigeria and would probably be the start of a universal access fund.

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