The Nigerian Communications Commission has approved a 50% tariff hike for telecom operators, marking the first increase in nearly 11 years.
The decision comes as the sector grapples with mounting financial pressures exacerbated by naira devaluation and persistent inflation.
For over a decade, the NCC held firm in maintaining stable voice and data costs, even amid rising economic challenges. However, growing industry losses prompted the regulator to act.
Discussions between telecom operators and the NCC began in October 2024, according to an anonymous telecom executive. During these talks, operators initially requested a 100% tariff increase, citing escalating operational costs and currency devaluation. However, the NCC deemed such a hike potentially too burdensome for consumers.
In a statement, the NCC explained that its decision to cap the adjustment at 50% aimed to balance consumer protection with industry sustainability. “The adjustment, capped at a maximum of 50% of current tariffs, though lower than the over 100% requested by some network operators, was arrived at taking into account ongoing industry reforms that will positively influence sustainability,” the statement read.
The commission also highlighted the need to support thousands of indigenous vendors and suppliers who depend on the telecommunications ecosystem.
