Nigeria suspends plan for 5% tax on telecoms despite revenue crunch

ABUJA: Nigeria has suspended plans to add a 5% excise duty on telecommunications services, saying the sector is already overburdened with taxes.

The move comes despite the need for new revenue streams in a country facing rising debt servicing costs, crushing fuel subsidies and a plunge in oil exports due to underinvestment and industrial-scale theft.

Isa Pantami, communications and digital economy minister, said in a statement that the potential tax could “impact very negatively” on the digital economy and was on hold until a committee could review it.