The Nigerian Communications Commission (NCC) has approved a long-awaited telecom tariff hike, ending over a decade of lobbying by major operators like MTN Nigeria, Airtel, and 9Mobile. New rates for calls, SMS, and internet bundles will take effect in January 2025, with tariffs expected to rise by up to 40%.
Under the revised structure, call charges will increase from ₦11 to ₦15.40 per minute, SMS costs will rise from ₦4 to ₦5.60, and a 1GB data bundle will cost at least ₦1,400, up from ₦1,000. The NCC promises more details in an upcoming official announcement, emphasizing that the adjustments balance industry proposals with public interests.
“This will benefit both subscribers and operators as we’ve considered feedback from all stakeholders,” an NCC spokesperson said.
Minister of Communications, Innovation, and Digital Economy, Dr. Bosun Tijani acknowledged the need for adjustment, citing economic pressures during a recent interview on Arise TV. Meanwhile, the NCC remains cautious about overburdening subscribers, previously rejecting a proposed price hike from Starlink in October 2024.
The tariff increase comes amid rising food inflation of 39.93% and fears of reduced internet usage in a country prioritizing digital inclusion. However, the financial strain on telecom operators has been severe, with MTN Nigeria reporting a ₦514.9 billion loss in the first nine months of 2024, following a ₦137 billion loss in 2023. Airtel Africa faced $89 million in losses for FY 2024, largely due to challenges in Nigeria.
Gbenga Adebayo, President of the Association of Licensed Telecommunication Operators of Nigeria
(ALTON) supports the move, arguing that cost-reflective tariffs will incentivize investment and improve service quality in the long term.
