The Association of Mobile Money and Bank Agents in Nigeria (AMMBAN) has hinted at a potential increase in service charges following the Federal Government’s approval of a 50% hike in telecommunications service tariffs.
Ogungbayi Ganiyu, the National Public Relations Officer of AMMBAN, disclosed this during an interview on Monday.
He explained that the tariff increase would impact the operations of mobile money agents, whose services rely heavily on telecom infrastructure, particularly data.
“The telecom tariff hike will impact the operations of our members. I am afraid this may also have a multiplier effect on service charges,” Ganiyu stated.
While acknowledging the potential cost implications, Ganiyu noted that members of AMMBAN might attempt to absorb some of the additional expenses to cushion the impact on customers.
“We have not sat down and looked at the latest tariff hike,” he added.
The increase in telecom tariffs, the first since 2013, has sparked widespread reactions with the National Association of Telecoms Subscribers vowing to challenge the decision in court.
AMMBAN members are expected to feel the brunt of the tariff hike due to their reliance on telecom services for day-to-day operations.
Industry stakeholders fear that the increased costs may ultimately be passed on to customers in the form of higher transaction fees, News About Nigeria reports.
As the ripple effects of the tariff hike begin to manifest, mobile money agents are bracing for adjustments that could reshape the cost of financial services in Nigeria.
The decision by AMMBAN to potentially review service charges will likely be a critical development for the financial inclusion agenda in the country.
