
Audio By Carbonatix
Nigeria, Africa’s biggest wireless market, is moving ahead with a proposed 5% tax on voice calls, mobile data and text messages to tackle a mounting fiscal crisis.
Finance Minister Zainab Ahmed announced the implementation of the tax, delayed since last year, in an emailed statement that highlighted the government’s strained financial picture. As of April, Africa’s biggest crude producer spends more on debt servicing than it brings in revenue.
“Although Nigeria is celebrated as the largest economy in Africa, translating this wealth into revenues remains a challenge,” Ahmed said. The statement did not say when collections of the levy, which is in addition to a 7.5% value-added tax on calls and data, will begin.
Communications Minister Isa Pantami earlier this month asked the government to reconsider the tax on the grounds that it could slow the expansion of one of the country’s fastest-growing sectors.
A similar tax introduced by West African neighbor Ghana was blamed for a slowdown in mobile-money revenue by MTN Ghana in its first half results. Ghana, also facing a fiscal crisis, introduced a 1.5% e-levy in May to boost government revenue and reduce its burgeoning budget deficit.
Nigeria has one of the lowest tax-to-GDP ratios in the world, at 6% in 2019, according to the Organization for Economic Cooperation and Development.
The government generated 1.63 trillion naira ($3.8 billion) in revenue in the four months through April, against 1.94 trillion naira in debt service payments for the period.
Latest Stories
-
15-year-old Wofford completes Meet of Champions 2026 with three medals
46 minutes -
Israeli film industry seeks rebound with investors through new film ‘Our Loves’
49 minutes -
DVLA to replace all Ghana vehicle number plates by 2028 under new digital system
51 minutes -
TUSAAG to resume indefinite strike July 20 over unpaid allowances
1 hour -
Saltpond Methodist A Basic School receives 10-seater toilet facility from alumnus
1 hour -
Divided mandates, shared crises: Institutional intersections in Ghana’s flood management
2 hours -
Most young Ghanaians want marriage and children but jobs and finances stand in the way – UNFPA Report
2 hours -
Accra-Tema Motorway reconstruction 48% complete with drainage works reducing flooding
2 hours -
22-year-old law student declares bid for Manhyia South seat on Base Movement Ghana ticket
2 hours -
Ghana’s crude oil production falls for six years, costing billions in lost revenue – IES report
2 hours -
Today’s Front pages: Tuesday, July 14, 2026
2 hours -
CPP mourns Ya-Na Abukari II, calls for heightened security ahead of Dagbon funeral
2 hours -
Finance Minister Ato Forson set to present Mid-year Budget Review next week
2 hours -
Some abandoned 1D1F factories have been converted into churches – Ahmed Ibrahim
2 hours -
Coca-Cola Bottling Company donates relief items to support flood-affected families in Tema West Municipality
3 hours