ADVERTISEMENT
The Moment Nigeria
  • Home
  • News
  • Business
  • Entertainment
  • Interviews
  • Life and Styles
  • Sport
No Result
View All Result
  • Home
  • News
  • Business
  • Entertainment
  • Interviews
  • Life and Styles
  • Sport
No Result
View All Result
The Moment Nigeria
No Result
View All Result
  • Home
  • News
  • Business
  • Entertainment
  • Interviews
  • Life and Styles
  • Sport

NCC determining mobile ITR price to promote healthy competition

by Usman Kadri
June 10, 2021
Reading Time: 3 mins read
NCC determining mobile ITR price to promote healthy competition

NCC chairman, Danbatta

Share on FacebookShare on TwitterShare on WhatsappShare on LinkedIn

The Nigerian Communications Commission (NCC) has concluded the process for determining the cost-based price of Mobile International Termination Rate (ITR) to ensure healthy competition on traffic handling for voice services between local and international operators in Nigeria.

The Commission made this known at the final Stakeholders’ Forum for the presentation of the study on cost-based pricing of mobile ITR, undertaken by Messrs Payday Advance and Support Services Limited, recently held at the Commission’s Head Office in Abuja with Management Staff of the Commission physically in attendance while other critical industry stakeholders participated virtually.

The forum was convened by the NCC to present the findings from the study, which commenced in March, 2020, to industry stakeholders and to solicit further perspectives, insights and other input on the findings towards a mutually realistic termination rate for international voice traffic in Nigeria.

RELATED STORIES

ICAN Fidelity Bank chapter inaugurates new chairman

ICAN Fidelity Bank chapter inaugurates new chairman

July 31, 2025
Nigerian Breweries empowers 360 retailers nationwide with business training

Q2 2025: Nigerian Breweries plc records N733.19 billion revenue

July 31, 2025

Speaking at the forum, the Executive Vice Chairman of NCC, Prof. Umar Garba Danbatta, said the cost-based study became imperative, following previous efforts at finding an optimum price for the termination of international voice services that will be beneficial to all relevant industry stakeholders.

Danbatta said: “overriding need for regulatory options and intervention in relation to the international termination rate in the voice market segment is predicated on some intractable challenges, most common with economies with severe macroeconomic volatility such as ours.”

Going down memory lane with respect to MTR determination in the Nigeria’s telecom industry, Dambata said, in 2013, the Commission issued a determination stating that mobile Termination Rates (MTR) are the same irrespective of where the call originated. He, however, stated that this was misconstrued by operators at that time to mean that ITR should be the same rate as the MTR, consequently ignoring the international cost portion.

“Arising from these is the persistent fact that Nigeria’s ITR is below that of most countries with which it makes and receives the most calls, making Nigerian operators perpetual net payers. The obvious implication of this is seen in the attendant undue pressure on the nation’s foreign reserves, which continue to get depleted by associated net transfers to foreign operators on account of this lopsidedness,” Danbatta explained.

Danbatta further stated that regulating the ITR is imperative for developing countries, such as Nigeria, with volatile currencies in order to prevent or mitigate the imbalance of payments with international operators. He also said the Commission was faced with the challenge of arriving at a rate that will balance the competing objectives of economic efficiency while, at the same time, allowing operators the latitude to generate reasonable revenues.

He informed the forum however, that “where ITR is not regulated, it tends to converge to the MTR and for a market like Nigeria with major supply side challenges, the socio-economic implications and attendant backlash can only be imagined.”

Speaking, Director, Policy, Competition and Economic Analysis, NCC, Yetunde Akinloye, corroborated the EVC, noting that the study was intended to compliment and consolidate the initial work done by the Commission which had also culminated in the MTR Determination published in June 2018.

According to her, the ITR previously determined was based on actual benchmarking with countries of similar characteristics to Nigeria, but the findings from that study were faced by major national macroeconomic management challenges, ultimately pointing to the need for an ITR that is cost-based, consistent with the MTR.

ITR is the rate paid to local operators by international operators to terminate calls in Nigeria as contrasted with MTR, which is the rate local operators pay to another local operator to terminate calls within the country.

Next Post
Actress Nkechi Blessing finally releases wedding photos

Actress Nkechi Blessing finally releases wedding photos

More Articles...

NBA Epe 2025 Law Week Was A Massive Success, Chairman, Dr. Jimoh Says

NBA Epe 2025 Law Week Was A Massive Success, Chairman, Dr. Jimoh Says

August 2, 2025
Customs CG, Adeniyi Advocates AI Integration in governance, tasks Journalists on accountability 

Tinubu extends Customs CG Adeniyi’s tenure

July 31, 2025
ICAN Fidelity Bank chapter inaugurates new chairman

ICAN Fidelity Bank chapter inaugurates new chairman

July 31, 2025
Nigerian Breweries empowers 360 retailers nationwide with business training

Q2 2025: Nigerian Breweries plc records N733.19 billion revenue

July 31, 2025
MOWCA will mobilise efforts for Nigeria’s into IMO Category C —Adalikwu

Adalikwu secures MOWCA Ministers support for Nigeria’s election into IMO Council

July 31, 2025
Peter Obi’s supporters are demarketing him

ADC exempts Peter Obi, El-Rufai from defecting from LP, SDP

July 31, 2025

STANBIC IBTC ADVERT

About Us

Themomentng.com is an online community of reporters and social advocates dedicated to bringing you features, news reports by Africans, but from a global perspective.

Contact Us

+447771081433
+2348051966180(WhatsApp/SMS Only)
Email: themomentng@gmail.com

Categories

  • Business
  • Education
  • Entertainment
  • Events
  • Featured
  • Food
  • Foreign
  • Health
  • Interviews
  • Life and Styles
  • Metro
  • Motoring
  • News
  • Opinion
  • Politics
  • Religion
  • Society
  • Sport
  • Technology
  • Top Story

Follow Us

Facebook Twitter Instagram

Copyright © Themomentng.com. All Rights Reserved.

No Result
View All Result
  • Home
  • News
  • Business
  • Entertainment
  • Interviews
  • Life and Styles
  • Sport