The Federal Government has announced the abolition of the 5 per cent excise duty previously imposed on telecommunications services in Nigeria.
The decision was revealed on Thursday, 11 September 2025, through a statement shared by the National Orientation Agency on its official X (formerly Twitter) account.
According to the post, the Executive Vice Chairman of the Nigerian Communications Commission, NCC, Dr Aminu Maida, disclosed that President Bola Tinubu ordered the removal of the tax during engagements on the recently enacted Finance Act.
Dr Maida explained that the removal of the levy was aimed at reducing financial pressure on citizens, particularly at a time when mobile users had already experienced tariff increases.
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“The President’s intervention was designed to prevent additional strain on citizens while supporting the growth of Nigeria’s digital economy,” he stated.
He added that the development was expected to provide relief for over 171 million active telecoms users across the country.
The NCC boss further observed that many Nigerians had endured a 50 per cent rise in call and data tariffs earlier in 2025, making the removal of the excise duty a critical relief.
The 5 per cent duty was first introduced in 2022 under the administration of late former President Muhammadu Buhari.
The measure, which applied to both voice calls and data subscriptions, was justified at the time as a way to boost government revenue amidst declining oil earnings.
The Ministry of Finance argued then that the levy was consistent with global taxation practices and necessary for fiscal sustainability.
However, the policy attracted criticism from consumer rights groups and telecom operators who warned that it would further burden Nigerians already grappling with rising living costs.
The Association of Licensed Telecom Operators of Nigeria, ALTON, had cautioned that the excise duty would be counterproductive to the industry’s growth.
ALTON also noted that Nigeria already bore one of the highest tax burdens on the telecommunications sector within sub-Saharan Africa.
Dr Maida assured Nigerians that the NCC would continue to align with the government’s policies to promote affordability, accessibility, and expansion of telecom services nationwide.
He reaffirmed the Commission’s commitment to ensuring that digital infrastructure supports national development without unduly burdening citizens.
