Tinubu Cancels 5% Telecom Tax to Lower Costs

President Bola Tinubu of Nigeria scrapped the proposed 5% excise duty on telecommunication services, aiming to reduce costs for calls and internet access for millions of users. The excise duty, announced in July 2022, faced strong opposition from industry stakeholders and consumer advocacy groups due to concerns about increased digital access costs.

Following widespread backlash, the implementation was suspended, and a committee chaired by Minister of Communications and Digital Economy Isa Ali Ibrahim Pantami recommended its complete removal. The move to eliminate the tax aligns with President Tinubu's commitment to easing financial burdens on Nigerians and supporting the telecom sector, allowing operators and subscribers to benefit from reduced expenses.