FG Proposes 30-60% Increase in Telecom Tariffs

Minister of Communications Dr. Bosun Tijani emphasizes the need for balance between affordability and growth in the telecommunications industry

 Minister of Communications, Innovation and Digital Economy, Dr Bosun Tijani. [Google]
Minister of Communications, Innovation and Digital Economy, Dr Bosun TijaniGoogle
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The federal government of Nigeria has put forth a proposal to increase telecommunications tariffs by 30-60% in an effort to sustain the vital telecommunications sector while maintaining affordability for consumers.

This announcement was made by Dr. Bosun Tijani, the Minister of Communications and Digital Economy, during an interview on Channels Television. He indicated that this decision comes after receiving recommendations from independent consultants, including KPMG.

Dr. Tijani clarified that the government is not endorsing the telecom operators' request for a 100% increase but is instead pursuing a more measured approach. He emphasized the importance of balancing consumer affordability with the need for sustainability and growth within the telecommunications sector, which currently contributes over 16% to Nigeria's GDP and employs thousands of individuals.

In addressing the issue of rural connectivity, Dr. Tijani noted that the government is actively working to deploy 90,000 kilometers of fiber-optic networks and establish telecom towers in underserved areas through Special Purpose Vehicles (SPVs).

Furthermore, Dr. Tijani highlighted Nigeria’s advancements in global telecommunications infrastructure resilience, particularly in managing disruptions caused by submarine cable issues. He reaffirmed the government's dedication to harmonizing taxes and recognizing telecom infrastructure as critical national assets.

To ensure improved service delivery, the minister stated that telecom operators would be held accountable for any disruptions experienced by consumers.

He expressed a commitment to achieving meaningful connectivity for all Nigerians, targeting speeds of 25 Mbps in urban areas and 10 Mbps in rural regions.

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