- Minister of Communications and Digital Economy, Dr. Bosun Tijani, says the 50 per cent increase in telecom tariffs was necessary to prevent companies from shutting down
- Nearly half a million Nigerians work in the industry, making it a crucial contributor to national development
- The tariff hike aims to ensure both affordability for consumers and sustainability for telecom companies
The Minister of Communications and Digital Economy, Dr. Bosun Tijani, has defended the recent 50 per cent increase in telecom tariffs, stating that the adjustment was necessary to prevent massive job losses resulting from the collapse of telecom companies.
Speaking to reporters at the State House in Abuja on Thursday, February 27, Tijani explained that the government made the decision after careful consideration of the telecom sector’s critical role in the economy.
He highlighted that the industry and its entire value chain employ nearly half a million Nigerians, making it a vital contributor to national development.
“If we had not approved the tariff hike, we would have risked companies shutting down, which would have led to job losses. That scenario would have had an even greater negative impact on the economy,” he said.
The minister noted that the request for a tariff increase had been under review before the current administration took office, but President Bola Ahmed Tinubu insisted on a thorough assessment before making a final decision.
“This administration is deeply aware of the economic challenges Nigerians face. Mr. The President always prioritises the well-being of every citizen before making key policy decisions,” Tijani stated.
He acknowledged that such decisions are difficult but emphasised the need to balance the interests of both consumers and businesses.
To determine a sustainable tariff rate, the government engaged KPMG to conduct a study that provided recommendations for the adjustment.
Beyond affordability, the minister stressed that the government is focused on ensuring “meaningful access” to telecommunications services, which includes both connectivity and high-quality service delivery.
“The Nigerian Communications Commission (NCC) has been working to improve not just the quality of service but also the overall user experience. Now that mobile network operators (MNOs) have been granted a tariff adjustment, they must prioritise service quality,” Tijani added.
To support this objective, the minister highlighted the government’s continued investment in telecommunications infrastructure.
Ongoing projects include the expansion of Nigeria’s fibre-optic network by an additional 90,000 kilometres and the approval for the construction of 7,000 new telecom towers in rural areas.
Tijani reaffirmed the government’s commitment to working alongside the private sector to ensure universal and high-quality connectivity across Nigeria.
NCC approves tariff adjustments for telecom operators
Meanwhile, TheRadar earlier reported that the Nigerian Communications Commission (NCC) officially approved tariff adjustments for network operators in response to rising operational costs, marking the first change in rates since 2013.
The NCC confirmed in a statement released on Monday, January 20, and signed by the Director of Public Affairs, Reuben Muoka, that the adjustments will allow for a maximum increase of 50% to current tariffs.