Telecom Subscribers to Enjoy Lower Call, Data Rates as 5% Tax is Abolished

President Bola Ahmed Tinubu has removed the 5% excise duty on telecommunications services, a levy that had driven up call and data costs. The Nigerian Communications Commission (NCC) confirmed the development, stating that the President's decision is part of Nigeria's new tax reform laws.

The 5% tax was introduced in 2022 and faced opposition from consumers and industry stakeholders. President Tinubu initially suspended the tax in July 2023, citing its negative impact on subscribers and the economy.

The removal of the levy is expected to ease consumer pressure, support industry growth, and encourage wider economic activity. The telecom sector plays a vital role in Nigeria's digital inclusion, with over 172 million active telephone lines and 141 million internet users.

The NCC has also announced reforms focused on consumer protection, data transparency, and network accountability. These reforms include the launch of a public performance map in September and quarterly reports on mobile operators.