The Nigerian telecommunications sector is set to introduce new tariff plans, with calls now costing N18.33 per minute, SMS priced at N6.67, and 1GB of data pegged at N479.17.
This development follows an extensive review of operating costs and tariff structures.
Bosun Tijani, the Minister of Communications, Innovation, and Digital Economy, recently shed light on the expected hike during an interview on Channels TV.
He disclosed that the floor prices of calls, SMS, and data could rise by 30 to 60 percent—a significant increase but far less than the 100 percent sought by telecommunication firms.
The minister emphasized that doubling the current rates, as requested by mobile network operators (MNOs), would be detrimental to Nigerians who rely heavily on telecom services for their daily activities.
“This sector is responsible for driving growth in our country; it will be harmful to our people to allow the MNOs to increase by 100 percent,” Tijani noted.
Projected Tariff Increases
If the 60 percent increase is implemented, the average cost of calls will jump from N11 to N17.60 per minute, SMS charges will rise from N4 to N6.4, and 1GB of data will increase from N287.50 to N460.
Industry Challenges
Telecom operators have for years advocated for tariff adjustments, citing a harsh business environment that has escalated their operating costs by 300 percent.
Since 2023, the devaluation of the naira and rising inflation have exacerbated their financial woes, with many recording significant losses.
In December, Minister Tijani acknowledged the need for tariff increases to ensure the industry’s sustainability.
He stressed, however, that the government remains committed to balancing the interests of consumers and the sector’s viability.
Karl Toriola, CEO of MTN Nigeria, echoed these sentiments, stating that while a 100 percent tariff increase is unlikely to gain approval from the Nigerian Communications Commission (NCC), the realities of the sector’s challenges cannot be ignored.
“We are hopeful and optimistic that the right decision will be taken for the sustainability of the industry,” Toriola remarked.
A Decade of Advocacy
This move marks the culmination of a decade-long push by telecom operators for tariff hikes, a demand driven by mounting operational pressures.
While the revised rates may alleviate some of these challenges, the government’s insistence on a moderate increase underscores its sensitivity to the economic hardships faced by Nigerians.
As the new tariff plans take effect, consumers and stakeholders alike will closely monitor their impact on affordability and industry sustainability.
