The Nigerian Communications Commission (NCC) has called on state and local government councils across the country to lower the taxes imposed on telecom companies, arguing that excessive taxation will hinder the growth of the industry.
Aminu Wada Maida, the executive vice chairman of the NCC expressed concern during an interactive session with the media in Abuja, where he noted the high taxes placed on telecom operators in Nigeria – which range from 50 to 55 per cent – could deter foreign investment and hinder the growth of the industry.
Maida stressed that the NCC is undertaking a nationwide campaign to persuade state and local governments, as well as other stakeholders, to reduce their taxes and levies, especially Right of Way charges.
“We are going to be going on an advocacy campaign to see how we can convince the states to remove some of these obstacles like Right of Way and multiple taxations because I have seen some studies which indicate taxation is almost 50% getting to 55% in some areas in this country. And you would agree with me that if we are trying to bring in foreign investment that is not a good picture to paint,”he said.
The EVC called on state governments to consider the long-term benefits of investing in the telecom sector, including job creation and the development of associated value chains.
Maida also disclosed that the commission’s strategic vision is built on five pillars to drive the development of the telecom industry and ensure its continued contribution to the country’s gross domestic products.
He noted further that consumers have experienced quality issues with mobile network operators and internet service providers, and he stated that the NCC is committed to addressing these challenges through a total customer experience strategy. He also encouraged consumers to evaluate their handsets and the services they are using, as well as consider the costs associated with digital services, as many of the issues stem from these factors