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GSMA Seeks Favourable Policies to Realise $76bn Investments in Africa’s Mobile Networks Infrastructure

Dike Onwuamaeze The GSM Association (GSMA) has called on African governments to come up with favourable fiscal and monetary policies that would enable mobile networks to realise the projected $76

The GSM Association (GSMA) has urged African governments to establish favorable fiscal and monetary policies to facilitate the projected $76 billion investment in mobile network infrastructure from 2025 to 2030. Senior Director, Public Policy & Communications, Ms. Caroline Mbugua, stated that global satellite mobile services would contribute $290 billion to the African economy by 2030.

Currently, the sector contributes $240 billion to the continent's economy, accounting for 7.8% of Africa's GDP, supporting 13 million jobs and paying $45 billion in taxes and fees in 2025.

Mbugua suggested that the sector doesn't need to convince anyone to invest in mobile networks, but African governments should reassess mobile device taxation to encourage access to mobile network services. Currently, $20 billion of the $45 billion the sector pays in taxes each year comes from VAT, sales taxes, excise and customs duties on handsets. Device (handset) taxation is crucial as it directly impacts demand. Where a regulatory cost falls, capital will follow, she mentioned.

She also called for reliable access to foreign exchange, as operators earn in local currency and purchase equipment in dollars; without the ability to convert, a profitable business cannot reinvest, and no investor will commit to a market where the first is trapped. Mbugua urged governments to designate telecommunications as critical national infrastructure, similar to power and water sectors, which would grant networks priority forex, grid access, and legal protection.

Additionally, she advocated for technology-neutral authorization, allowing spectrum to move from 4G to 5G without a fresh application, and a published spectrum roadmap to help operators plan capital over a decade instead of a licensing cycle.

Fees should be set in local currency to prevent devaluation from increasing costs during times when customers have less to spend, she argued. To help households afford phones, Mbugua suggested a handset financing scheme, using undisbursed levies paid by mobile operators to fund this initiative.

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