Dr. Evans Woherem, Chairman of Digital Africa Global Consult Ltd, has described the recent removal of the 5% tax on telecommunication services in Nigeria as a significant step towards enhancing the country’s digital economy.
Woherem who made this known on his official LinkedIn page, said this decision, initiated by former President Buhari and formalized by President Bola Tinubu, will undoubtedly have positive impacts on various fronts.
“The telecom sector plays a pivotal role in our country’s GDP growth, and the removal of this tax will further accelerate its expansion.
“By reducing charges for voice and data services, this measure will promote affordability and accessibility, enabling more individuals and businesses to participate actively in the digital economy,” he said.
Woherem, the erstwhile Group Executive Director, Operations and Information Technology at Unity Bank Plc stated that the removal of the 5% tax on telecoms services in Nigeria is particularly noteworthy in the country’s journey towards transforming her predominantly analogue economy into a thriving digital one.
“The elimination of this tax burden creates an environment that fosters innovation, entrepreneurship, and technological advancement. It signals a progressive shift towards embracing digital transformation as a means to propel our nation forward.”
“Another crucial aspect of this decision is the potential for job creation within the telecom industry. As the sector experiences robust growth, there will be an increased demand for skilled professionals in various roles, including network infrastructure, software development, customer support, and digital marketing. This, in turn, will create employment opportunities and contribute to the overall well-being of our citizens,” he said.
Woherem, who was also a former Executive Director at FirstBank Nigeria, noted that by removing this tax, the government is demonstrating its commitment to leveraging the immense potential of the telecom sector for the betterment of the economy, adding that it is a welcome development that will foster progress, empower individuals, and drive Nigeria towards a prosperous digital future.
“Let us embrace this positive change and work together to leverage the opportunities presented by a thriving telecom industry. With reduced charges and increased accessibility, more Nigerians can engage in e-commerce, online education, telemedicine, and other digital services that will contribute to their personal growth and the overall development of our nation,” he said.
The Harvard Business School alumnus further said that the move by the Tinubu government also opens doors for domestic and foreign investments in the telecom sector, noting that with a favourable business environment and reduced financial barriers, telecommunications companies can allocate more resources towards infrastructure development, network expansion, and technological advancements.
While contending that all these will, in turn, enhance connectivity, improve service quality, and ultimately benefit end-users across the country, Woherem said that the removal of the telecom tax presents an opportunity for collaboration between government, telecom companies, and citizens to build a digitally empowered nation, driving innovation, employment, and inclusive growth.
“Let us seize this moment and propel Nigeria towards a future where digital technologies drive socio-economic progress, empower individuals, and position our country as a global leader in the digital revolution,” Woherem urged Nigerians.