Tinubu Cancels 5% Telecom Excise Tax, Nigerians to Enjoy Cheaper Call and Data Rates
By Joseph Iyaji | Akahi News

The Federal Government has officially revoked the 5% excise tax on telecommunications services in Nigeria, a decision expected to bring relief to millions of mobile phone users already battling rising living costs.

Tinubu Directs Tax Removal

Akahi News gathered that the announcement was made by the Executive Vice Chairman of the Nigerian Communications Commission (NCC), Aminu Maida, who disclosed that President Bola Tinubu ordered the removal of the levy during discussions on the recently passed Finance Act.

The tax, first introduced under the Muhammadu Buhari administration, was to be applied to both voice calls and data services but immediately triggered criticism from telecom operators, consumer advocacy groups, and economic analysts. Many argued it would further burden the over 171 million active telecom subscribers in the country.

Widespread Criticism and Earlier Price Hikes

The excise duty came at a time when telecom users were already grappling with a 50% tariff increase earlier in the year. Consumer rights organisations warned that the tax would deepen the digital divide and discourage internet penetration in rural areas.

Industry stakeholders had consistently appealed to the government to scrap the levy, describing it as counterproductive to Nigeria’s digital economy agenda.

Implications for Users and the Economy

With the removal of the tax, experts believe Nigerians should begin to enjoy cheaper call and data rates in the coming months as telecom operators adjust their pricing structures. The move is also expected to stimulate growth in the country’s tech sector, encourage digital inclusion, and ease cost pressures on small businesses reliant on internet services.

Economic analysts note that the decision signals a renewed commitment by the Tinubu administration to support the digital economy and reduce unnecessary fiscal burdens on citizens.

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