President Bola Ahmed Tinubu has permanently scrapped the five per cent excise duty on telecommunications services in a move aimed at reducing cost pressures on millions of subscribers.
The Executive Vice-Chairman of the Nigerian Communications Commission (NCC), Dr. Aminu Maida, confirmed the development on Tuesday during an interactive session with journalists in Abuja.
“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 first introduced in 2022 under former President Muhammadu Buhari as part of a broader tax reform bill. However, strong backlash from consumers and industry players forced the Tinubu administration to suspend it in July 2023 before now ordering its full removal.
Boost for Subscribers and Industry
Maida noted that the decision would ease the burden on telecom users and stimulate growth across the sector, which plays a central role in Nigeria’s digital economy.
He disclosed that the NCC was rolling out reforms anchored on transparency, consumer protection, and improved governance to strengthen investor confidence.
From September, the commission will launch a public map of network performance showing independent data on download speeds, latency, and service quality. A quarterly performance report will also be published, providing accountability for operators and infrastructure providers.
Data Depletion Concerns
On consumer complaints about rapid data exhaustion, Maida said independent audits by top accounting firms found no systemic fraud but identified issues such as background app activity, device settings, and complex tariff structures.
He added that the NCC, in partnership with the Central Bank of Nigeria (CBN), has developed a new framework to standardise recharge processes, while also strengthening corporate governance within the sector to ensure Nigerian-owned firms can compete globally.
The Director of Consumer Affairs Bureau, Freda Bruce-Bennett, urged subscribers to adopt data-saving habits such as disabling video autoplay on social media, reducing background data use, and maximising Wi-Fi.
Nigeria’s Telecom Numbers
According to NCC data, Nigeria currently has 172 million active subscribers, with 141 million internet users and 105 million broadband users.
The Director of Public Affairs, Nnenna Ukoha, commended the media for amplifying the regulator’s policies and called for sustained collaboration in driving transparency and accountability.