Nigerian Communications Commission abolishes 5% excise duty

26 August 2025

The Nigerian Communications Commission (NCC) has announced the complete removal of the 5% excise duty on telecommunications services, a decision aimed at reducing costs for consumers and fostering growth within the industry.

This move follows the earlier suspension of the duty in 2023 and marks a significant shift towards more supportive industry policies.

During a media briefing, NCC Executive Vice-Chairman Dr. Aminu Maida explained that the government’s stance, as articulated by President Bola Tinubu, was to eliminate the financial burden on Nigerian consumers. Maida reaffirmed that the president was committed to ensuring that the excise duty does not hinder economic progress or place undue hardship on citizens.

The introduction of the excise duty by the previous administration in 2022 faced widespread criticism due to its potential negative impact on consumers and telecom operators. President Tinubu’s decision to pause it upon assuming office reflected concerns over economic stability and industry sustainability.

Maida highlighted that the telecommunications sector remains vital to Nigeria’s economic development and national objectives. The abolition of the duty aligns with wider sector reforms focused on increasing transparency, accountability, and consumer protection. Among upcoming initiatives are the release of a public network performance map scheduled for September and quarterly reports designed to enhance service quality across the country.

Addressing consumer concerns, Maida noted that a joint NCC-Central Bank of Nigeria task force has developed a new framework to standardise electronic top-up operations. Audits have also found no evidence of systemic billing manipulation, despite ongoing complaints about data depletion, reinforcing the NCC’s commitment to fair and transparent consumer practices.