A non-profit organization representing mobile network operators globally, GSMA, has urged Nigerian economic managers to enhance policy reforms to maximize the effects of the recent 50% tariff increase in the telecommunications sector.
During a statement released on Wednesday alongside the GSMA report titled “The Role of Mobile Technology in Driving the Digital Economy in Nigeria,” Angela Wamola, Head of Sub-Saharan Africa at GSMA, emphasized that while this tariff rise is a notable advancement, additional policy measures are necessary to further its impact.
Wamola noted that this tariff adjustment could potentially unlock over $150 million in extra investments for mobile networks and extend 4G coverage to 94%.
She highlighted that the Nigerian Communications Commission's (NCC) approval of this tariff hike represents a crucial turning point in Nigeria’s digital transformation, marking the first adjustment in 12 years and anticipated to significantly boost telecommunications infrastructure investment.
The GSMA report advocates for streamlining Right of Way permits to facilitate quicker infrastructure deployment, implementing Critical National Infrastructure legislation to protect vital telecommunications assets, and reducing the tax burden on mobile operators by addressing high taxation levels. Wamola stated that these initiatives are essential for accelerating digital adoption across various sectors.
She projected that increased digitalization across agriculture, manufacturing, transport, trade, and government could elevate Nigeria's GDP by approximately two percentage points by 2028, creating nearly 2 million jobs and generating an additional N1.6 trillion in tax revenue.
GSMA also reiterated its commitment as a global advocate for sustainable policy reforms in telecommunications and welcomed the federal government's decision as a significant step forward for both consumers and the economy.
The tariff increase is expected to enable mobile operators to invest in network expansion and upgrades, thereby bridging the digital divide and fostering innovation across essential sectors such as healthcare, education, and agriculture.
