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MTN Pays Record Levies and Taxes to FG Telecoms giant MTN Nigeria reported a record N764.2 billion in taxes and levies paid to the Nigerian government in 2024, marking a significant contribution to public revenue at a time when the country faces deepening fiscal challenges. The announcement, disclosed in the company’s latest financial report, underscores the growing importance of corporate taxation amid Nigeria’s widening budget deficits. The tax payments include corporate income tax, value-added tax, regulatory levies, and spectrum charges, among others. MTN’s contribution amounts to roughly 13% of the federal government’s total non-oil revenue for the year, highlighting the telecom sector’s role as a critical pillar of Nigeria’s economy. Despite economic headwinds, MTN posted resilient revenue figures, buoyed by data consumption and mobile financial services. However, the heavy tax burden also reflects the rising fiscal pressures on businesses operating in Nigeria, where multiple layers of taxation have long been a source of contention between the private sector and government regulators. MTN’s tax payments come against the backdrop of Nigeria’s ongoing struggle to diversify its revenue streams. With oil earnings under pressure and debt servicing consuming an ever-larger share of the national budget, authorities have turned increasingly to the non-oil sector for fiscal relief. Telecoms, banking, and manufacturing industries have borne the brunt of these efforts. While the government has lauded the telecom sector’s contributions, industry leaders warn that excessive taxation could stifle growth, deter investment, and ultimately harm consumers through higher service costs. MTN itself flagged regulatory and fiscal risks in its outlook, even as it reaffirmed plans to expand its network infrastructure and digital platforms. Analysts note that Nigeria’s dependency on large corporates like MTN for tax revenue raises questions about the breadth and sustainability of its tax base. Small and medium enterprises, which account for over 80% of employment, contribute far less, partly due to the informal nature of much of the economy. As Nigeria’s fiscal authorities chart their path forward, the balancing act between revenue generation and private sector vitality will remain a critical policy challenge. For now, MTN’s N764.2 billion tax contribution offers temporary relief to government coffers, but the underlying structural issues persist. The Editorial Team, ECP Channel _The Truth and Nothing But the Truth_ Join ECP Community 👇🏾👇🏾👇🏾👇🏾👇🏾👇🏾👇🏾👇🏾 https://chat.whatsapp.com/D1cSObqJEKlDJolEkxCowT