JUST IN: Tinubu scraps 5% telecom tax to ease burden on Nigerians
President Bola Ahmed Tinubu has scrapped the five per cent levy on telecommunications services to ease cost pressures on subscribers.
The Executive Vice-Chairman of the Nigerian Communications Commission (NCC), Dr. Aminu Maida, confirmed the development during an interactive session with journalists in Abuja on Tuesday.
He explained that while the duty had initially been suspended, the President has now ordered its complete removal.
“The excise duty, it was five per cent or so, that is no longer there,” Maida said. “Before, it was suspended, but now the President has been magnanimous to remove it entirely. I was very pleased when the bills came out and we saw his words were followed through.”
The levy was part of a broader tax reform bill introduced in 2022 under former President Muhammadu Buhari. However, public backlash over its potential impact on consumers forced the Tinubu administration to put it on hold in July 2023.
Maida stressed that the removal would reduce pressure on subscribers while also stimulating growth in the telecom sector, which remains central to Nigeria’s digital economy.
He added that the NCC was introducing reforms focused on transparency, consumer protection and improved governance within the industry.
He revealed that a public map of network performance would be released in September, providing independent data on download speeds, latency, and other service quality indicators.
He also said the commission would begin publishing a quarterly network performance report based on user data to improve accountability for both operators and infrastructure providers.
The NCC boss further explained that the commission was strengthening corporate governance structures to attract investment and ensure Nigerian-owned telecom firms can compete globally.
He noted that the 2000 telecom policy successfully broke monopoly and expanded competition, but that new realities such as artificial intelligence, internet of things, and remote technologies require fresh policy direction.
Maida also highlighted progress in resolving USSD debt disputes, NIN-SIM audit, transition to end-user billing, and the launch of a Major Incident Reporting Portal.
On consumer complaints about rapid data depletion, Maida disclosed that audits by top accounting firms found no systemic fraud but identified factors such as device settings, background app usage, and complex tariff plans.
He assured Nigerians that a new framework developed by the NCC and the Central Bank of Nigeria would standardise recharge processes.
The Director of Consumer Affairs Bureau, Freda Bruce-Bennett, advised subscribers to adopt data-saving measures such as turning off autoplay on social media, limiting background data, and relying on Wi-Fi where possible.
According to the NCC, Nigeria currently has 172 million active telecom subscribers, with 141 million using the internet and 105 million on broadband services.
NCC’s Director of Public Affairs, Nnenna Ukoha, commended the media for amplifying the commission’s policies and urged journalists to continue engaging with the regulator in the interest of transparency.
