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Nigerian Telecoms Firms Seek to Double Prices to Survive Economy - BLOOMBERG
(Bloomberg) -- Nigerian telecommunication companies are lobbying their regulator for permission to double price tariffs to weather harsh economic conditions and inflation running near a three-decade high.
“We’ve put forward requests of approximately a 100% increase” to the regulator, Karl Toriola, chief executive officer of MTN Nigeria Communications Plc, told Lagos-based Arise TV. “There’s no way that the industry could continue to sustain itself and provide the required quality of service under the present structure,” he said.
The industry has been stepping up efforts for permission to relax pricing rules that have been in place for 11 years, amid surging annual inflation that touched 34.6% in November, and the steep depreciation of the naira against the dollar.
If the pricing issue is resolved, Toriola is optimistic 2025 will be a good year for operators. The unit of MTN Group Ltd. plans to grow voice and data revenue this year by increasing coverage of rural areas as well as 5G broadband penetration, he said.
