Telecom
FG Says 50 Percent Telecom Tariff Hike is Only a Start
Wale Edun, minister of Finance, has stated that the recently approved 50 percent tariff increase in the cost of telecommunications services is only a starting point. He noted that it is necessary to balance rising operational costs with the provision of quality services and the broader economic considerations for both consumers and the telecoms industry.
Wale Edun
He said this during an interview on Arise News at the 2025 World Economic Forum (WEF) in Davos, Switzerland.
Edun explained that the tariff review, the first in 12 years, was necessitated by inflation and a significant rise in telecom operators’ operational costs.
While operators had requested a 100 percent increase to meet cost demands, the Federal Government approved a 50 percent increment as a compromise.
“There is a need to reflect the fact that over a 12-year period, there has been a rise in costs, there has been inflation, and that needs to be reflected,” Edun said.
“It is all about compromise and the timing and sequencing of these changes. As critical players in Nigeria’s economy, we want the telcos to operate efficiently, providing quality services, and contributing to GDP growth.”
Edun highlighted that the government’s primary objective is to ensure that telecom operators deliver efficient services, such as seamless call terminations and improved quality, while fostering growth in the sector.
“We don’t want dropped calls. We want good quality services from them. And at the same time, we want them growing, employing people, and adding to the country’s GDP,” he stated.
While acknowledging the backlash to the tariff increase due to its potential impact on the cost of living, Edun maintained that the government is committed to ongoing reviews and consultations to address these concerns and ensure that the adjustments remain beneficial for both consumers and operators.
“The cost-of-living increase that has occurred has to be reflected,” he explained.
“But I believe that this 50 percent increase is a start, and it is a situation that will be looked at on a forward-looking basis as we go forward. There will continue to be review, consultation, and discussion in this area.”
The minister also noted that telecom pricing is regulated to prevent arbitrary increases and the importance of dialogue and compromise in setting tariffs.
At the recently concluded NextNow Business Forum in Victoria Island, MTN Nigeria electrified the business community with a live demonstration of its forthcoming Communication Platform as a Service (CPaaS), a solution engineered to redefine how Nigerian enterprises connect with their customers.
Unlike traditional communication systems, MTN’s CPaaS is built for the realities of a mobile-first market. The platform unifies SMS, voice, WhatsApp, email, and more into a single, intuitive interface. This approach is especially significant in Nigeria, with over 107 million internet users, 45.4% of the total population, according to Data Report. This figure underscores the necessity for businesses to meet customers where they are.
During the demo, attendees witnessed how CPaaS enables two-way, real-time conversations between brands and customers. The platform’s support for rich media, instant analytics, and seamless integration with business workflows drew particular attention. These features are designed to empower businesses with data-driven insights and the agility to personalise every interaction, whether it’s a service notification, marketing campaign, or customer support exchange.
Akinbulejo Onabolu, Head of Enterprise Segment at MTN Nigeria, articulated the vision: “CPaaS gives enterprises the flexibility to interact with their customers on their preferred platforms; whether it’s chat, voice, or messaging, in a way that feels personal and immediate. We’re looking forward to the value this will unlock for businesses across industries once it launches.”
The fireside chat added depth to the conversation, with Omowunmi Olatunbosun, Head of SME Segment at MTN Nigeria, and Stephen Agbi of Bayobab, highlighting how digital engagement bridges the gap between businesses and audiences.
They emphasised that today’s consumers demand immediacy, relevance, and ease, qualities that CPaaS is built to deliver.
The stakes for digital transformation in Nigeria are high. In a report by Punch, the country’s enterprise tech market is projected to reach $22 billion by 2027, reflecting a surge in demand for scalable, cloud-based solutions that drive efficiency and customer loyalty.
The CPAAS Acceleration Alliance have estimated that globally, the CPaaS market is expected to grow from $14.7 billion in 2025 to $72.4 billion by 2035, at a compound annual growth rate of 18.4%, a testament to the platform’s transformative potential.
The event’s closing keynote from META’s Korhan Yunak reinforced the strategic value of digital channels like WhatsApp, which are now indispensable for business communication and engagement at scale.
As MTN Nigeria prepares for the Q3 2025 launch, the anticipation is unmistakable. With its promise of flexibility, intelligence, and seamless integration, MTN’s CPaaS platform is set to become the backbone of next-generation business-customer engagement in Nigeria, enabling enterprises to not just communicate but to connect, adapt, and grow in a digital-first era.
MTN Uganda is seeking input from stakeholders on a plan to structurally separate its mobile money service, MoMo, from its core telecoms business.
According to the company, the proposed change will be discussed at the upcoming extraordinary general meeting on July 2.
If approved, the telco’s fintech business will be run by a new company controlled by MTN Group Fintech Holdings B.V. and a trust benefiting minority shareholders following a merger.
Additionally, the restructuring also aligns with MTN Group’s ambition 2025 strategy which aims to unlock value, attract new investors, and strengthen regulatory compliance by creating standalone fintech entities in Uganda, Ghana, and Nigeria.
The company’s fintech division has over 13 million customers, with an 18.4% revenue increase in the first quarter of 2025, driven by 19.0% growth in mobile money services, 19.8% growth in transaction volumes, and a 31.4% increase in transaction value.
Reports say the decision is part of the telco’s compliance with the National Payment Systems Act 2020, which mandates mobile money businesses to operate as standalone entities, and to align with MTN Group’s regional fintech strategy.
MTN Uganda, which is led by CEO Sylvia Mulinge, highlighted that the implementation of the proposed transaction will be subjected to a number of conditions and regulatory procedures.
“The implementation of the proposed transaction shall be subject to a number of conditions, including the company and MTN MoMo receiving all required regulatory approvals and no-objections and complying with any regulatory conditions,” said MTN Uganda in notice.
Netflix has announced plans to invest more than €1 billion in Spanish film and television productions over the next four years, reinforcing its commitment to Spain as a key creative hub in Europe.
The announcement was made by co-chief executive Ted Sarandos at an event held at Netflix’s production studios near Madrid, celebrating the company’s 10-year presence in the country.
Sarandos emphasized that the investment would contribute significantly to Spain’s economy, create jobs, and enable the streaming platform to produce more local content. He was joined by Spanish Prime Minister Pedro Sánchez in unveiling the initiative.
Netflix first established its international production studios in Madrid in 2019, following the success of the Spanish-language hit series Money Heist.
Since then, its 22,000-square-meter facility has become one of Netflix’s major production centers within the European Union.
The company currently supports over 20,000 jobs in Spain, highlighting the nation’s growing influence in global entertainment.
The investment reflects Netflix’s ongoing strategy to expand its presence in European markets through original content and local talent.
China Expands Zero-Tariff Trade for Nigeria, 52 Other African Nations
Sterling Bank Pledges ₦2bn to Fully Fund University Scholarships
MTN Nigeria Unveils CPaaS Platform to Transform Business Communication
Aliko Dangote Signs out @ Dangote Sugar Refinery as Chairman
Court Declines Access Bank’s Request to Freeze MTNN Account over N180Bn Claims
General News3 days agoAfDB to Provide $184.1mfor Africa’s Largest Solar Energy, Battery Storage Project
General News3 days agoCourt Declines Access Bank’s Request to Freeze MTNN Account over N180Bn Claims
News3 days agoReport Reveals New Malware Posing as an AI Assistant Steals User Data
Telecom3 days agoMTN Mulls Establishment of Fintech Firm in Nigeria, Others
News3 days agoAliko Dangote Signs out @ Dangote Sugar Refinery as Chairman
E-Business3 days agoFG Mulls Fibre Optic Layout to Bridge Internet Gaps
E-Financial3 days agoFG to Train 100,000 Youths Annually in Forex Trading and Financial Skills
E-Financial2 days agoSterling Bank Pledges ₦2bn to Fully Fund University Scholarships