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5% Telecom Levy Gone — Nigerians Cheated Twice?

5% Telecom Levy Gone — Nigerians Cheated Twice?

Eriki Joan UgunushebyEriki Joan Ugunushe
10 months ago
in Government
Reading Time: 3 mins read
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The government has announced the removal of the 5% excise duty on voice calls and data. On one side, this looks like good news. Millions of Nigerians who already struggle with rising costs of living should feel some relief. But scratch beneath the surface and you begin to wonder if Nigerians are not being played in the same game, taxed today, “relieved” tomorrow, yet cheated all the way through.

Table of Contents

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  • A relief that feels too late
  • Operators warned, government ignored
  • Nigerians caught in the middle
  • A digital economy that works for who?
  • Bottom line

A relief that feels too late

The 5% levy was never popular from the start. Introduced under the Buhari administration in 2022, it was slammed by operators and consumer groups who warned it would only deepen poverty. But government went ahead anyway, insisting it was “global practice.” Nigerians endured it, adding to the long list of levies that made calls and data some of the most expensive in Africa.

Now Tinubu’s government has scrapped it, presenting the move as an act of mercy. But the big question is this: why should Nigerians clap for the removal of a tax that should never have been there in the first place? That feels less like progress and more like someone putting their foot on your neck, then expecting you to be grateful when they ease the pressure slightly.

5% Telecom Levy Gone — Nigerians Cheated Twice?

Operators warned, government ignored

Telecom operators under ALTON warned clearly that the tax would hurt both the industry and consumers. They argued that Nigeria already had one of the highest tax burdens in the region. Instead of listening, the government insisted on squeezing revenue from every possible corner, pointing to dwindling oil income as an excuse.

Now that the same government admits the levy is a burden, it is worth asking: was the decision to impose it in the first place ever really about global practice?

Nigerians caught in the middle

Even with the removal, the reality on the ground hasn’t changed much. Call tariffs and data prices remain painfully high. In fact, operators had already increased tariffs by as much as 50% earlier this year, citing inflation and the cost of running their networks. The scrapping of the levy doesn’t automatically erase those hikes. Nigerians are left paying more than ever, while the government paints itself as a saviour.

This is where the “cheated twice” feeling comes in: first when the tax was imposed, and second when its removal is now being sold as relief. Nigerians are caught in the cycle of policy flip-flops, always paying the price for leaders’ bad decisions.

A digital economy that works for who?

The government says this move will support the growth of the digital economy. But what good is a digital economy when ordinary people cannot afford steady internet access? The truth is that connectivity in Nigeria is still more of a privilege than a right. Removing a levy doesn’t change the structural problems: poor infrastructure, insecurity on fibre routes, multiple taxes from state governments, and inflation that makes even basic services unaffordable.

Bottom line

The removal of the 5% telecom levy may sound like victory, but it is more like damage control. Nigerians should not be grateful for being freed from a burden that should never have been placed on them in the first place. Until government policies stop being a cycle of imposition and reversal, citizens will keep paying the real price.

Tags: federal charactergovernmentNewsNigerianigeriansTelecom Levy
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Eriki Joan Ugunushe

Eriki Joan Ugunushe

Eriki Joan Ugunushe is a dedicated news writer and an aspiring entertainment and media lawyer. Graduated from the University of Ibadan, she combines her legal acumen with a passion for writing to craft compelling news stories.Eriki's commitment to effective communication shines through her participation in the Jobberman soft skills training, where she honed her abilities to overcome communication barriers, embrace the email culture, and provide and receive constructive feedback. She has also nurtured her creativity skills, understanding how creativity fosters critical thinking—a valuable asset in both writing and law.

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