GSMA Urges Tax Reforms to Boost Digital Inclusion in Africa
GSMA Urges Tax Reforms for Digital Inclusion in Africa

The Global System for Mobile Telecommunications Association (GSMA) has called on African governments to recognize telecommunications as a core economic pillar and implement two tax reforms that could dramatically accelerate digital inclusion across the continent.

Daddy Mukadi, Chief Regulatory Officer of Airtel Africa and Chair of GSMA Africa's Policy Group, made the call at the first edition of the États Généraux du Secteur des Postes et Télécommunications in Kinshasa, Democratic Republic of Congo. The event was convened to support the development of a strategic roadmap for the country's digital and telecommunications sector and was attended by President Félix Tshisekedi.

Mukadi, also a member of the GSMA Global Policy Group, urged government and industry stakeholders to rethink the role of telecommunications in national development. He argued that it should be framed not as a sector-specific concern but as a continent-wide imperative.

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"The telecoms sector can no longer be considered merely as a support sector. It is now a core sector. Both are vital, and every other sector, from security and finance to transport and health, depends on digital technology for growth," Mukadi said.

His remarks come at a critical moment for Africa's digital economy. According to the GSMA's Mobile Economy Africa 2025 report, the mobile sector contributed $220 billion to the continent's economy in 2024, equivalent to 7.7 per cent of GDP, and is projected to reach $270 billion by 2030. Yet despite mobile networks now covering 95 per cent of Africa's population, nearly 75 per cent of people remain offline. The GSMA identified this gap as Africa's greatest connectivity challenge, driven above all by the unaffordability of devices.

Mukadi called for strategic adjustments to public policy, as well as legal and regulatory frameworks, to support wider access to digital services. He asserted that the telecommunications sector should be treated as a foundational pillar of economic development, with stakeholders working together to accelerate investment, expand coverage, and close the usage gap across the continent.

The Chief Regulatory Officer also highlighted key barriers to digital inclusion, including the affordability of smartphones and the impact of import duties on telecommunications infrastructure. He proposed a two-to-three-year exemption on import duties and taxes for entry-level smartphones priced between $40 and $150 to help bridge the usage gap. He also called for the removal of entry duties on telecommunications equipment for at least three years to support the expansion of network coverage.

"These measures would help deliver inclusive and sustainable digital technology for economic and social progress," Mukadi said. "They would also support faster connectivity, improved access and the ability to connect more people, businesses and communities to the digital economy."

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