President Bola Tinubu has permanently scrapped the controversial 5 per cent excise duty on telecommunications services, in a bid to ease financial pressures on consumers and businesses within Nigeria’s digital economy.

The disclosure was made by the Executive Vice-Chairman of the Nigerian Communications Commission (NCC), Aminu Maida, during a media briefing in Abuja on Tuesday.

Maida explained that the levy—initially suspended in 2023—has now been formally abolished through revised national tax legislation.

“The 5 per cent excise duty is no longer in effect,” Maida said. “At first, it was only suspended, but the President has now completely removed it. I was present when the issue came up, and he firmly said, ‘No, we cannot place this burden on Nigerians.’ I was pleased to see this directive reflected in the new law.”

The duty, which applied to mobile voice and data services, had sparked strong opposition from industry stakeholders and consumer groups, who argued that it would raise the cost of digital access and further strain telecom operators already struggling with high operating expenses.

Tinubu first suspended the tax in July 2023 as part of a wider fiscal reform programme aimed at reducing multiple tax burdens on households and businesses. The suspension was enacted through a series of executive orders signed shortly after he assumed office.

The matter resurfaced in October 2024, when the National Assembly proposed reintroducing the levy as part of new revenue measures, which also included taxes on gaming, betting and lottery services.

Telecom industry groups, led by the Association of Telecommunications Companies of Nigeria (ATCON), strongly resisted the proposal, warning that reinstating the tax would harm affordability and hinder sectoral growth at a time when reliable internet access is increasingly vital to Nigeria’s economy.