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    Home - MTN, Airtel, Others Plan Increase Of Call, Data Tariffs Early Next Year

    MTN, Airtel, Others Plan Increase Of Call, Data Tariffs Early Next Year

    By Farouk AbbasDecember 26, 2024
    Telecomm Masts

    TELECOMMS operators may get approval to increase call and data tariffs before the end of first quarter of 2025, a top official of one of the four big telecom companies said.

    The top official who pleaded anonymity stated that the Nigerian Communications Commission (NCC) might give the telcos approval to increase rates of calls, SMS, and internet bundles.

    If the approval is given, it will mark the end of over a decade of lobbying by telecom giants like MTN Nigeria, Airtel, and 9Mobile, who have been consistently calling for price adjustments to reflect economic realities.

    TAZKIYAH UNIVERSITY

    This newspaper reports that despite soaring operational costs driven by inflation, telecom operators have not been allowed to raise prices in the last 11 years.

    “We strongly hope that our approval to increase tariffs has been granted by the federal government. We hear they will allow us to do some upward review of tariffs by the first quarter of 2025. This sector is seriously bleeding; no new investment because of soaring operating costs. Some of us are already making losses. We just hope the sector will not be allowed to die”, the top official who pleaded anonymity told journalists in Lagos.

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    Industry sources said the telecoms tariffs could rise by up to 40%.

    This means to make a one minute call may cost N15.40 up from N11 and SMS charges will rise from N4 to N5.60. For data plans, the price of a 1GB bundle will increase from N1,000 to at least N1,400.

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    In a December 20 interview, the minister of Communications, Innovation and Digital Economy, Dr Bosun Tijani, acknowledged the need for price adjustments, stating: “We think there may be a need for that”.

    The NCC is responsible for reviewing and approving tariff adjustments in the telecommunications industry.

    Nigerian TAX Reform - Federal Goverment

    This newspaper reports that MTN Nigeria reported a N137 billion loss in 2023, with losses expanding to N514.9 billion in the first nine months of 2024. Airtel Africa also reported losses of $89 million in Financial Year 2024, largely driven by challenges in Nigeria.

    Despite the grim outlook in the telecoms sector for much of the year, President of the Association of Licenced Telecommunication Operators of Nigeria (ALTON) Gbenga Adebayo argues that cost-reflective prices will incentivise investment and help improve quality in the long run. s

    The spokesperson for the Nigerian Communications Commission (NCC), Reuben Mouka could not be reached for confirmation of proposed tariff increase approval as of filing this report yesterday.

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