Telecom operators in Nigeria could soon get approval to increase call and data tariffs, with the possibility of this decision coming before the end of the first quarter of 2025, according to a top official from one of the country’s four major telecom companies.
The anonymous official revealed that the Nigerian Communications Commission (NCC) is expected to give the green light for price hikes across calls, SMS, and internet bundles.
This move would end over a decade of lobbying by telecom giants like MTN Nigeria, Airtel, and 9Mobile, who have consistently called for tariff adjustments to reflect the country’s economic realities.
Despite rising operational costs driven by inflation, telecom operators have not been allowed to increase prices in the last 11 years.
Speaking to journalists in Lagos, the anonymous official expressed hope that the government would approve the requested tariff increase, saying “We strongly hope that our approval to increase tariffs has been granted by the federal government.
“ We hear they will allow us to do some upward review of tariffs by the first quarter of 2025.
“This sector is seriously bleeding; no new investment because of soaring operating costs.
“Some of us are already making losses. We just hope the sector will not be allowed to die.”
Industry sources suggest that the telecom tariffs could rise by as much as 40%. If the tariff increase is approved, the price for a one-minute call could rise to N15.40 from N11, while SMS charges may increase from N4 to N5.60. Additionally, the price for a 1GB data bundle could jump from N1,000 to at least N1,400.
In a December 20 interview, Dr. Bosun Tijani, the Minister of Communications, Innovation, and Digital Economy, acknowledged the need for price adjustments, stating, “We think there may be a need for that.”
The NCC, which is responsible for reviewing and approving tariff adjustments in the telecommunications industry, has not yet confirmed the proposed tariff increase as of the time of reporting.
Meanwhile, telecom operators continue to face significant financial losses. MTN Nigeria reported a N137 billion loss in 2023, with losses expanding to N514.9 billion in the first nine months of 2024.
Airtel Africa also reported a $89 million loss in the 2024 financial year, largely due to challenges in Nigeria.
Despite these challenges, Gbenga Adebayo, President of the Association of Licensed Telecommunication Operators of Nigeria (ALTON), argued that cost-reflective pricing would encourage investment and improve service quality in the long run.
