In Zambia, the sale of the incumbent telecom operator Zamtel is also being challenged by organizations, opposition politicians and Zambians who claim the Zambian government is not being transparent with the privatization process of the company. The Zambian government is accused of favoring a Chinese Telecom company.

The privatization of Ghana Telecom (GT) by the Ghanaian government to Vodafone of the U.K. was also marred with similar accusations and the matter ended up in court.

However, Yar'Adua said the Nigerian government is determined to get the sale of Nitel right this time.

"This is a positive development coming out if Nigeria and we hope many more other leaders in Africa will do the same as they move to privatize public telecom companies," said Edith Mwale, African Center for ICT development program officer.

Apart from financial problems, Nitel has also been facing leadership wrangles, labor unrest and a debt of US$500 million.