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Telecoms Sector’s Hidden Struggle: Despite N2.4tn Tax Contribution, Investments Plummet

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Telecoms Sector’s Hidden Struggle: Despite N2.4tn Tax Contribution, Investments Plummet....KINDLY READ THE FULL STORY HERE▶

Telecommunication companies in Nigeria contributed a staggering N2.4tn in taxes to the government in 2023, according to a recent digital economy report from the Groupe Special Mobile Association (GSMA) obtained by Sunday PUNCH. This hefty tax contribution comes despite the sector’s struggle to attract new investments……..CONTINUE READING

 

 

 

The GSMA report highlighted the telecommunications sector’s vital role in the Nigerian economy, accounting for about N33tn, or 13.5 percent of the country’s GDP. The report emphasized the sector’s potential for significant growth in the next 3–5 years.

“The mobile telecoms sector accounted for 13.5 percent of total GDP in 2023, including the direct value added by wider ICT industries and the impact of the sector in enhancing the productivity of other sectors,” the report noted. It further detailed the mobile sector’s overall contribution to GDP, estimated at N33tn in 2023, with tax revenue contributions of N2.4tn.

Data from the National Bureau of Statistics (NBS) revealed that in the first quarter of 2023 alone, telcos paid N119.87bn in taxes, a 35.91 percent increase from the N88.19bn paid in the same period in 2022. This tax revenue included both Company Income Tax (CIT) and value-added tax (VAT), with operators paying N35.75bn as CIT and consumers contributing N84.12bn as VAT.

The NBS also highlighted that the information and communications sector was a top contributor to CIT during this period, with the total tax revenue for Q1 2023 standing at N1.18tn, and the sector contributing 10.17 percent to this total.

However, the industry faces significant challenges. Rising inflation, energy costs, and exchange rate volatility have severely impacted telcos. Last year saw a dramatic 70.5 percent decline in sector investments, dropping to $134m from $456.8m in 2022, as reported by the NBS.

Major players like Airtel and MTN Nigeria have reported substantial losses. Airtel declared a $151m loss in the first quarter of 2024, while MTN Nigeria reported a loss of N137bn for the year ended 2023.

Tony Emoekpere, President of the Association of Telecommunications Companies of Nigeria (ATCON), warned that operators might not survive the year-end if economic hardships continue. “Telcos have been running at a loss, even though they may be reluctant to disclose,” he stated in April.

Recently, telcos have petitioned the Federal Government to allow tariff increases, a move not seen in the past 11 years. Gbenga Adebayo, Chairman of the Association of Licensed Telecom Operators of Nigeria (ALTON), pointed out that the sector is no longer attracting investments due to economic challenges.

Bismarck Rewane, CEO of Financial Derivatives Company Limited, supported the telcos’ call for a tariff review, noting that inflation has surged multiple times since the last review in 2013.

As the industry navigates these turbulent times, the hefty tax contributions underscore the sector’s significant economic impact and the urgent need for strategic interventions to sustain growth and attract investments.

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THE CASE IS CLOSED: APP Deregistration Battle Finally Settled By Supreme Court!.

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The Supreme Court has effectively ended the legal dispute regarding the potential deregistration of the Action Peoples Party (APP), confirming its status as a legally registered political entity. A five-member panel of the Supreme Court, presided over by Justice John Inyang Okoro, dismissed Appeal No. SC/CV/248/2026 on May 12, 2026, after the appellant, Mr. Blessing Elujiuba, chose to formally withdraw the case.....KINDLY READ THE FULL STORY HERE▶

This ruling leaves the previous decisions of the Federal High Court and the Court of Appeal, both of which favored the APP, final and binding. The initial legal challenge aimed to force the Independent National Electoral Commission (INEC) to deregister the party, alleging it did not meet the requirements set out in Section 225A of the 1999 Constitution.

The Court of Appeal in Owerri had previously dismissed these claims, with the court noting that the APP provided valid evidence of its electoral success, such as winning a councillorship seat in Jigawa State and victories in local government elections in Rivers State. The appellate judges also supported the interpretation that Section 225A should be read disjunctively, meaning a party only needs to meet one of the stipulated conditions to remain registered.

With this definitive ruling from the Supreme Court, the legal threats against the party’s leadership and its ability to participate in the 2027 general elections have been resolved in the party’s favor.

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FOOTBALL IS CRAZY! DR Congo Shakes World Cup With Portugal Draw!.

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In their first FIFA World Cup appearance in 52 years, the Democratic Republic of Congo delivered a resilient performance to secure a 1-1 draw against Portugal in their Group K opener. This result adds to Portugal’s ongoing struggles in World Cup tournament debuts, marking only one victory in their last five opening matches.....KINDLY READ THE FULL STORY HERE▶

Portugal initially took control when João Neves scored a header from a Pedro Neto cross just six minutes into the game. While Portugal sought to capitalize on their lead, the Leopards maintained defensive discipline and began to find their rhythm. DR Congo’s persistence was rewarded just before halftime when Yoane Wissa headed in a corner, marking the nation’s first-ever goal in World Cup history.

The second half saw Portugal attempt to increase the pressure, though a potential go-ahead goal from João Cancelo was overturned due to an offside call. Cristiano Ronaldo also had an opportunity to secure a victory but was unable to convert a pass from Francisco Conceição. Despite efforts from both teams to find a late winner, the match concluded in a stalemate.

This draw marks a notable improvement for DR Congo, who previously exited the tournament without a point or a goal in their last appearance. With upcoming matches against Colombia and Uzbekistan, the team now holds realistic ambitions of advancing to the knockout stages.

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JUSTICE AT LAST: Killer Kidnapper Sentenced To Death After Brutal Murder Of Kogi Hotelier!.

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A Kogi State High Court, presided over by Justice Abdul Nicodemus Awulu, has sentenced Jibrin Halilu to death for his role in the kidnapping and murder of Uche Andrew Offo, a hotel owner in Obajana. Halilu was found guilty of conspiracy and kidnapping, in violation of the Kogi State Kidnapping and Other Related Offences Prohibition Law, 2023.....KINDLY READ THE FULL STORY HERE▶

The incident occurred on March 23, 2023, when Halilu and an armed gang abducted Offo from his hotel, the Everready Hotel. Although Offo’s family paid a ₦2.5 million ransom, he was killed after recognizing Halilu—his own neighbour—among his abductors. Halilu was eventually arrested by the Department of State Services (DSS) on December 4, 2025, and was also linked to the April 2, 2023, kidnapping of Ibrahim Abdullahi in Lokoja, for which a ₦5 million ransom was paid.

This verdict is part of a series of recent major legal successes for the DSS:

  • Owo Church Attack: On June 3, 2026, a Federal High Court in Abuja sentenced four men—Idris Abdulmalik Omeiza, Al Qasim Idris, Jamiu Abdulmalik, and Abdulhaleem Idris—to death for the 2022 terror attack on St. Francis Catholic Church, which resulted in over 40 deaths and 100 injuries.

  • Katsina Arms Courier: Just 24 hours prior to the Kogi ruling, a Katsina State High Court sentenced a female arms courier apprehended by the DSS to death.

Security sources stated that these consecutive convictions serve as a strong message that those involved in terrorism, kidnapping, and violent crime will be held accountable and face the full extent of the law.

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