The Lagos Chamber of Commerce and Industry (LCCI) expresses concern that the recent increase in telecom tariffs will negatively impact consumers, particularly those with low incomes.
Consequently, they emphasize the need for measures to mitigate these effects and protect vulnerable populations.
On January 20, the Nigerian Communications Commission (NCC) approved a 50 percent increase in tariffs for telecommunications companies.
In a statement, Chinyere Almona, LCCI’s director-general, noted that the current telecom operating environment has become prohibitively expensive for profitable operations.
While Almona acknowledged that this tariff adjustment might ease operators’ financial pressures, it simultaneously raises affordability concerns for consumers.
Almona pointed out that rising energy costs, network equipment prices, inflation, and currency depreciation have significantly strained operators financially.
Consequently, telecom providers have increased tariffs to alleviate these rising costs.
The recent telecom tariff hike has elicited mixed reactions. Although it may benefit operators, it risks further straining consumers, particularly those with lower incomes.
The LCCI DG emphasized the necessity for better service delivery and enhanced regulatory oversight.
She also called for increased investment in critical digital infrastructure to help Nigeria achieve its $1 trillion economy goal.
Beyond the tariff increase, Almona urged telecom operators and regulators to focus on delivering quality services that improve operational cost efficiency and support government service automation.
She reiterated the chamber’s call for reducing human involvement in regulatory processes like product licensing and permit approvals.
Almona asserted that automating these activities would enhance cost-effectiveness for businesses and improve government efficiency.
Moreover, she pointed out that the food production, security technology, and artificial intelligence sectors rely heavily on a strong digital ecosystem similar to those in advanced economies.
Almona emphasized that the activities within the information and communications technology (ICT) sector should be included in Nigeria’s GDP rebasing.
This sector demonstrated resilience during the COVID-19 pandemic and has led post-pandemic recovery.
According to Almona, the government should allocate more attention and funding to the digital and creative industries to optimize business operations.
She believes that empowering Nigeria’s digital economy can catalyze economic growth and drive innovation and new opportunities.
Finally, the LCCI DG called for ongoing engagement with key stakeholders to ensure mutually beneficial outcomes for all parties involved.