MILLIONS of Nigerians will soon enjoy cheaper calls and data as the Federal Government has announced the revocation of the 5% excise duty previously imposed on telecommunications services.
News Point Nigeria reports that the decision, which covers both voice calls and internet data, was revealed by the National Orientation Agency (NOA) in a statement posted via its official X (formerly Twitter) handle on Thursday.
According to the announcement, the Executive Vice Chairman of the Nigerian Communications Commission (NCC), Dr. Aminu Maida, disclosed that President Bola Tinubu personally directed the removal of the tax during discussions on the implementation of the newly passed Finance Act.
Dr. Maida explained that the policy reversal was designed to ease the financial burden on Nigerian households and businesses already struggling with rising inflation and a recent 50% tariff adjustment in the telecom sector.
“The President’s intervention is aimed at preventing additional financial strain on citizens while supporting the growth of Nigeria’s digital economy,” Maida stated.
“This development is expected to bring relief to over 171 million active telecom subscribers across the country.”
The 5% telecom excise duty was first introduced in 2022 under the administration of former President Muhammadu Buhari as part of efforts to boost non-oil revenue amid dwindling crude oil earnings.
The levy applied to voice calls, SMS, and data subscriptions, and quickly sparked criticism from both industry stakeholders and consumer advocacy groups.
The Association of Licensed Telecom Operators of Nigeria (ALTON) consistently warned that the tax would lead to higher service costs, reduced affordability, and slower broadband penetration.
Consumer rights groups also argued that the tax was anti-people, coming at a time when Nigerians were grappling with fuel subsidy removal, food inflation, and a weakened naira.
The removal of the duty is expected to stimulate increased telecom usage, expand digital inclusion, and boost economic productivity in line with Tinubu’s Renewed Hope Agenda.
Industry analysts say the decision could also help lower barriers to internet access, particularly in rural areas where affordability remains a key challenge.
The NCC has promised to work closely with telecom operators to ensure full compliance and reflect the policy change in billing systems as quickly as possible.
Consumer groups and digital economy advocates have hailed the decision, calling it a “victory for the masses” and a positive step toward making digital access more affordable.