NCC amends international termination rate determination, sets fee at USD0.1

31 Aug 2022

The Nigerian Communications Commission (NCC) has announced that it has increased the international termination rate (ITR) for voice services paid by overseas telecoms carriers for terminating international calls on local networks in Nigeria to USD0.10 per minute. The new rate will take effect on 1 September 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. It repeals the previous ITR decision which came into effect at the start of this year and set the rate at USD0.045.

The previous rate was the minimum that could be charged, and operators were free to negotiate a rate above the floor via commercial negotiation with other operators and international carriers/partners. However, following complaints from industry players that this had led to discriminatory pricing, it has been determined that the new rate of USD0.10 will be the fixed price for international termination services and that operators are no longer free to negotiate a rate above or below that level. It applies for mobile operators and international carriers, while smaller Nigerian transit carriers and IDA operators are able to terminate inbound international calls in the network of domestic operators at a 21% discount.

The NCC has added that the mobile termination rate (MTR) of NGN3.90 (USD0.009) 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.

Previously, the ITR for inbound traffic was increased from NGN3.90 to NGN24.40 per minute in October 2016 and the rate was maintained at this level from 1 June 2018.