Minister of Finance and Coordinating Minister of the Economy, Wale Edun, has said the 50 per cent hike in the telecoms tariff is a step in the right direction.
He, however, urged telecommunications companies to enhance service delivery in line with the price increase.
Speaking to Arise TV on Thursday, on the sidelines of the ongoing 2025 World Economic Forum in Davos, Switzerland, the minister described the tariff adjustment as essential for sustaining the sector amid rising operational costs and inflation.
“Inflation has increased, and it must be reflected in the business operations of telcos. While their prices are regulated, they cannot implement arbitrary tariffs. The rising cost of living must be considered, and I believe the 50 per cent tariff adjustment is just the starting point. It’s about compromise, timing, and sequencing these necessary changes,” he stated.
The minister further pointed out that tariff rates have remained unchanged despite mounting pressures from inflation, exchange rate fluctuations, and the significant investments needed to meet rising consumer demand.
He added that these financial challenges have placed substantial strain on operators, threatening the long-term sustainability of the telecom sector, which is a vital contributor to Nigeria’s digital economy.
Edun further emphasised the critical role of the telecommunications sector in Nigeria’s economy, calling it essential to the country’s infrastructure and business environment.
“The government expects the tariff adjustment to result in better call termination, fewer dropped calls, and overall improved service quality.
“We want telcos operating efficiently, terminating calls seamlessly, and delivering high-quality services. At the same time, we want them to foster innovation, create jobs, and contribute to GDP,” he added.
The minister assured Nigerians that the tariff adjustment would be reviewed periodically to ensure it remains balanced and fair for both consumers and operators, even as he reaffirmed the government’s commitment to fostering a thriving telecommunications sector that supports innovation, economic growth, and job creation.
