The GSM Association (GSMA) has urged African governments to reduce taxes and levies on entry-level smartphones as part of efforts to accelerate digital inclusion and ensure millions of Africans are not excluded from the emerging artificial intelligence (AI) revolution.

The association warned that about 961 million Africans who are currently covered by mobile broadband networks are not using the services due to affordability challenges, particularly the high cost of smartphones.

The call was made at the Digital Africa Summit, organised by GSMA in partnership with the African Telecommunications Union (ATU), which brought together regulators, policymakers and industry stakeholders to discuss strategies for improving connectivity and driving digital transformation across the continent.

Speaking at the event, Caroline Mbugwa, senior director, Public Policy and Communications, GSMA Africa, said affordable smartphones and reliable connectivity were essential for unlocking the benefits of AI across sectors including healthcare, education, transport and commerce.

Mbugwa noted that while mobile broadband coverage has expanded significantly across Africa, a large number of people remain unable to access digital services because they cannot afford smartphones.

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She stressed that fiscal reforms, particularly the removal of taxes on entry-level devices, were urgently needed to make smartphones more accessible to low-income users.

According to her, South Africa’s decision to remove a nine per cent luxury goods tax on entry-level smartphones helped accelerate adoption of smart devices and reduce dependence on feature phones.

“We are now entering what we call the era of intelligence, and the era of intelligence requires that we have an already existing robust infrastructure, robust connectivity that can support the growth of artificial intelligence on the continent.

“We have a whole 961 million Africans that are covered by mobile broadband services but are not using the service. This is what we refer to as a usage gap. If this remains unaddressed, it means that this number will be left behind when it comes to the adoption of AI.

“This signals that there is demand for adoption of smart devices. Customers are willing to actually use the service. Affordability is the challenge,” she said.

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Also speaking, Michaela Angonius, head of Global Policy and Regulatory Team at GSMA, said African countries must adopt policy reforms that encourage investment, expand connectivity and reduce barriers to digital access.

Angonius, who oversees global regulatory and policy issues covering areas such as fiscal policy, competition and network deployment, cautioned against adopting a one-size-fits-all approach to reforms across the continent.

She said findings from the Digital Africa Index showed that while some countries, including South Africa, had made significant progress, others still needed deeper regulatory reforms to improve their digital ecosystems.

She identified three major areas requiring attention: modernising licensing frameworks, improving the use of Universal Service Fund (USF) resources and adopting smarter approaches to quality of service regulation.

According to her, many African countries still operate technology-specific licensing systems, which do not align with the rapid evolution of digital technologies.

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Angonius advocated for technology-neutral licensing frameworks that would allow different communication providers, including satellite operators, mobile network operators and internet service providers, to operate under the same regulatory principles.

She explained that the growth of satellite services had exposed weaknesses in existing licensing structures, as regulators often struggle to determine how to classify new technologies.

On Universal Service Funds, Angonius said the existence of unused funds in many countries effectively creates an additional tax burden on telecom operators, which eventually increases costs for consumers.

She warned that such additional costs could worsen the digital divide at a time when Africa is already struggling with smartphone affordability and connectivity challenges.

The GSMA executive also called for a review of quality of service regulations, arguing that countries with the best digital service quality are not necessarily those with the most detailed regulatory requirements.

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She said governments should instead focus on policies that encourage investment, expand coverage to underserved communities and improve access for people who remain disconnected.

Angonius further advised finance ministers across Africa to remove levies placed on entry-level smartphones to lower the cost of first-time device ownership.

“Those countries with the best quality of service are not necessarily the countries that have detailed quality of service regulation. Rather, they have focused on how to get the investment right.

“If you have a levy on any handset, firstly, if you can, as a finance minister, remove it. If you can’t, at least remove it from those entry-level handsets that should be affordable for everyday users,” she said.

She added that Nigeria, like other African countries, could benefit from reforms that promote investment, address societal needs and ensure consumers gain long-term value from digital transformation.

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Airtel Africa has confirmed that the London Stock Exchange is its preferred listing venue for Airtel Money in 2026, as the group looks to unlock value from its fast-growing fintech business.

The highly anticipated listing aims to maximise market opportunities, with analysts reportedly anticipating a valuation of around $10 billion.

The announcement came as the telecoms operator reported strong first-quarter (Q1) results on Thursday, with surging data usage and mobile money transactions driving double-digit revenue growth across its markets.

The group reported revenue of $1.85 billion, up 31% in reported currency and 21.1% in constant currency, underscoring robust demand for digital and financial services.

Mobile money remained a standout performer, reinforcing its role as a key growth engine. Total transaction value reached an annualised $245 billion, up 51.5%, while the customer base grew 23.3% to 56.5 million users.

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“Our focus on deepening financial inclusion through increased customer adoption, broader use cases and a stronger digital payments ecosystem enabled higher usage and facilitated continued average revenue per user growth, reinforcing Airtel Money’s growing role as a trusted digital financial services provider,” the company said.

Sunil Taldar, CEO of Airtel Africa, said the company is leveraging digital platforms, data and artificial intelligence to enhance customer experience and support long-term growth.

“We have started this year with another pleasing performance. Our continued focus on the customer experience translated into accelerating customer base growth across all business segments,” he said.

Taldar said a London listing would provide access to a broader international investor base and support the telco’s ambition to unlock long-term value from one of Africa’s leading fintech platforms.

Data usage per customer rose from 7.8GB to 10.6GB per month, driving a 56.3% increase in network traffic, while smartphone penetration reached 51%, reflecting continued digital adoption.

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Accelerated network investment drove capital expenditure (capex) of US$389 million, up from $121 million in the corresponding period last year.

“Supported by an elevated pace of deployment, we added more than 920 sites during the quarter, our highest first-quarter site rollout, while further expanding our fibre network to 82,100km,” the company said.

Airtel’s cost-efficiency programme supported EBITDA margin resilience, with the margin remaining at 50.1% in Q1.

However, the company warned that higher energy costs linked to geopolitical developments could increase inflationary pressures and weigh on margins in the near term.

Despite this outlook, the operator said its investment programme remains on track, with spending brought forward to support demand and capture growth opportunities linked to Africa’s digital transformation.

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MTN Foundation has opened applications for the 20th edition of the MTN Foundation – MUSON Music Scholars Programme. This year’s edition marks 20 years of the Foundation’s partnership with the Musical Society of Nigeria (MUSON), one of Nigeria’s longest-running private sector investments in music education.

Since 2006, the partnership has helped over 500 talented young Nigerians access professional music education at the MUSON School of Music. It has nurtured aspiring musicians, removed financial barriers to learning, and contributed to the growth of Nigeria’s creative industry.

Applications open on Monday, July 20, 2026. Young Nigerians who meet the admission requirements and have a passion for music are invited to apply for the fully funded scholarship programme. Successful applicants will receive scholarships covering tuition, books and approved course-related expenses for the duration of their studies.

Speaking on the call for applications, Executive Director of the MTN Foundation, Odunayo Sanya, said the 20-year partnership reflects the Foundation’s commitment to developing young talent through education. “For two decades, our partnership with MUSON has created opportunities for talented young Nigerians to pursue professional music education. We are proud of the impact the programme has made over the years and remain committed to supporting the next generation of musicians as they develop their talent and build rewarding careers.”

The scholarship is open to candidates who meet the admission requirements of the MUSON School of Music. Applicants are encouraged to review the eligibility criteria carefully and submit all required documents before the application deadline.

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The MTN Foundation MUSON Music Scholars Programme remains a key part of the Foundation’s education portfolio. Through the initiative, the Foundation continues to equip young Nigerians with the skills, discipline and professional training needed to thrive in the music industry.

Interested applicants can apply by visiting mtn.ng/foundation/muson-2026 Further information on the admission requirements is available on the MUSON School of Music website. Applications close on Sunday, August 23, 2026.