NCC sets new international termination rate

21 Dec 2021

The Nigerian Communications Commission (NCC) has determined the new international termination rate (ITR) for voice services paid by overseas telecoms carriers for terminating international calls on local networks in Nigeria at USD0.045 per minute. The new rate will take effect on 1 January 2022 and has been set in US dollars (USD) to enable Nigerian operators to receive an increasing rate in Nigerian naira (NGN) terms to accommodate devaluation. The ITR rate is the minimum that can be charged; operators will be free to negotiate a rate above the floor and this will be entirely left to commercial negotiation between the operators and international carriers/partners. Previously, the ITR for inbound traffic was increased from NGN3.90 (USD0.009) to NGN24.40 per minute in October 2016 and the rate was maintained at this level from 1 June 2018.

The NCC has added that the mobile termination rate (MTR) of NGN3.90 for generic 2G/3G/4G operators and NGN4.70 for new entrant LTE operators determined in 2018 will continue to apply for local call termination until a new rate is determined by the regulator.

‘The Commission has carefully considered the information provided by stakeholders and taken a view on parameters and regulatory measures in the light of relevant information such as international experience, cost model results, the state of competition in the sector and the Nigerian macro-economic environment,’ commented the NCC’s Executive Vice Chairman Umar Garba Danbatta, adding: ‘We are confident that the result the review will make a significant contribution to the development of the telecoms sector in Nigeria and be beneficial to subscribers, operators and the country at large.’

Nigeria, Nigerian Communications Commission (NCC)