See why GSMA believes NCC’s decision to hike telecom tariffs by 50% has benefits

Global System for Mobile Communications Association said the tariff hike would mark a pivotal moment in Nigeria’s digital transformation.

According to GSMA, NCC’s tariff decision is set to unlock substantial investment in telecommunications infrastructure, increasing 4G coverage to 94% of the population and enabling mobile internet access for an additional 9 million people, with 2 million people in underserved areas.

Part of the statement reads:

Angela Wamola, head of sub-Saharan Africa at GSMA, commented on the NCC tariff adjustment:

GSMA Intelligence also stated that the tariff increase is expected to generate over $150 million in additional investment, expanding 4G network coverage from the current 90% to 94% of the population.

It added that the improvement in telcom service will benefit around 9 million people, with nearly 2 million expected to gain access to mobile internet services based on current adoption levels in rural areas.

GSMA said:

While the tariff increase is a significant step forward, the GSMA calls for further policy actions to amplify its impact.

These priorities, outlined in the recent GSMA report the Role of Mobile Technology in Driving the Digital Economy in Nigeria, include:

GSMA said these recommendations are based on successes in other Sub-Saharan African markets, such as Kenya and South Africa, where similar policy reforms have proven effective in driving digital inclusion and fostering economic growth.

The GSMA said it remains committed to supporting the government, regulators, and industry stakeholders to implement these measures.

TimesNow.com.ng earlier reported that Obafemi Banigbe, the chief executive officer of 9mobile, commended the decision of the Nigerian Communications Commission to approve a 50% tariff adjustment.

Banigbe noted the tariff adjustments would address financial constraints and improve service quality.

He also said that the tariff increase would help combat rising operational costs and ensure telecom industry sustainability.

Proofreading by James, Ojo Adakole, journalist and copy editor at TimesNow.com.ng.

Source: TimesNow.com.ng

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