The Federal Government has scrapped the 5 percent excise duty earlier imposed on telecommunications services in the country, a move expected to ease cost pressures on millions of mobile subscribers.
The levy, which covered both voice calls and data, was introduced under the Muhammadu Buhari administration but immediately drew criticism from industry operators and consumer advocates, who argued it would push up tariffs and stifle digital growth.
Announcing the decision in Abuja on Thursday, Executive Vice Chairman of the Nigerian Communications Commission (NCC), Aminu Maida, said President Bola Tinubu directed the removal of the tax during deliberations on the recently passed Finance Act.
The development, which took effect this week, is projected to bring relief to more than 171 million active telecom users nationwide, many of whom have faced a 50 percent hike in service tariffs earlier this year.
Industry stakeholders have welcomed the cancellation, describing it as a step towards promoting digital inclusion and reducing the financial burden on consumers. They, however, urged service providers to ensure the savings are reflected in billing to subscribers.
The decision is part of the Tinubu administration’s broader fiscal reforms aimed at easing the cost of living while boosting investment in Nigeria’s digital infrastructure.
