Telecommunications subscribers in Nigeria may soon face higher call and SMS charges as the Nigerian Communications Commission begins a review of interconnection tariffs for mobile operators.
The review, which focuses on Mobile Termination Rates (MTR) — the charges network operators pay each other when calls cross different networks — comes eight years after the last major adjustment. The current interconnection rate ranges between ₦3.90 and ₦4.70 per minute.
Industry stakeholders warn that any upward adjustment could eventually reflect in retail prices paid by consumers, even as the regulator insists the process is aimed at ensuring fairness, cost-reflectiveness, and long-term industry stability.
The review was discussed at a stakeholders’ consultative forum held in Lagos, where experts highlighted major economic and technological changes since the last determination in 2018.
A partner at KPMG, Wole Adenekan, said rising inflation, naira depreciation, higher energy costs, and increased spending on telecom infrastructure have significantly changed operators’ cost structures.
According to him, tariffs that are too low could discourage investment in network expansion and weaken service quality, while excessively high rates could also hurt consumers through increased retail charges. He argued that a balanced, cost-reflective pricing model is necessary to sustain competition and encourage infrastructure development.
Adenekan also noted that developments such as 5G deployment, artificial intelligence, Internet of Things adoption, and the growing influence of internet-based communication platforms have reshaped how telecom services are delivered and consumed. He added that traditional interconnection frameworks are increasingly outdated in the current digital environment.
On the regulatory side, the NCC said the review is part of its mandate to ensure that telecom tariffs remain fair and aligned with market realities. Officials explained that the commission is also assessing retail pricing controls and other regulatory arrangements to protect consumers while maintaining industry competitiveness.
The regulator further stated that Nigeria’s telecom sector has undergone significant transformation since the 2018 framework, including rapid network expansion, the entry of new service providers such as Mobile Virtual Network Operators, and wider adoption of advanced technologies.
It also stressed that macroeconomic pressures, particularly exchange rate volatility and inflation, have raised the cost of delivering telecommunications services across the country, making periodic tariff reviews necessary to keep the industry sustainable.
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