The Federal Government of Nigeria has given telecommunication companies operating in the country approval to hike their calls and data tariff by no more than 60%.
The Minister of Communications and Digital Economy, Bosun Tijani, made this known while appearing as a guest on Channels Television’s Politics Today on Wednesday night, January 15, 2025.
He noted that the government acknowledged that a tariff increase in the telecom sector is due, but it could not grant the 100 per cent the companies were demanding.
He says the telecommunications sector is entirely about investment to spur Nigeria’s economic growth.
He added that investors in the sector continuously invest in equipment to remain relevant despite inflation.
“I think the telecommunications tariff increase should not be more than 30 to 60 percent.
“The sector is about investment in infrastructure; the technologies are changing, so you have to keep investing in technology. Things like 3G will be decommissioned at some point because you have higher technology, so they have to keep investing in equipment. And we all know that there is inflation.
“For us, as we are protecting them, we want to keep importing capital in the sector. The foreign direct investment in our sector in the first quarter of 2024, driven by telcos, was close to $199 million; this is bigger than the entire inflow in 2023. We can’t get to a $1 trillion economy if mobile network operators are investing at a snail’s pace,” he stated.
“We have already made it clear that we are not going to approve 100 per cent. These companies are asking for 100 per cent, stating clearly that this is what they believe they need to get.
“But what we are looking at in terms of the sector is that if this is the sector that is responsible for driving growth in our country, it will be harmful to our people to allow MNO to increase by 100 per cent,” Tijani said.
The Minister noted that the Nigerian Communications Commission (NCC) is still working on the tariff increase and is yet to arrive at a particular figure.
According to him, it is necessary to look at the numbers, the implication any increase will have on the people and the sustainability of the sector for proper balancing.
By: Babajide Okeowo
Get Faster News Update By Joining Our: WhatsApp Channel
All rights reserved. This material, and other digital content on this website, may not be reproduced, published, broadcast, rewritten or redistributed in whole or in part without written permission from CONVERSEER. Read our Terms Of Use.
