The Nigerian Communications Commission (NCC) has commenced a review of interconnection rates for telecom operators, marking the first major assessment of the pricing framework since 2018.
Interconnection rates, also known as Mobile Termination Rates (MTR), are the charges telecom operators pay when calls or SMS messages are routed between different networks. The current rates stand at between N3.90 and N4.70 per minute.
Industry experts say an upward review could eventually lead to higher call and SMS costs for consumers.
Speaking at a stakeholders’ forum in Lagos, KPMG partner Wole Adenekan noted that the existing rates no longer reflect current operating realities due to rising inflation, currency depreciation, increased energy costs, and growing investment in technologies such as 5G.
He explained that cost-reflective pricing would encourage infrastructure investment, promote fair competition, and support long-term growth within the telecommunications sector.
The NCC also said the review is necessary because the industry has changed significantly over the past eight years, with the emergence of new market players, evolving technologies, and shifting economic conditions.
According to the commission, the exercise is aimed at ensuring telecom tariffs remain fair, transparent, and aligned with current market realities while protecting consumer interests.
The proposed review is currently undergoing stakeholder consultations before any final decision is made.
