Sun. Aug 3rd, 2025

The Global System for Mobile Communications Association (GSMA) representing Kenya’s leading mobile network operators, has advocated for tax and policy reforms to enhance digital access and affordability across the country. During a meeting with senior government officials, including Cabinet Secretary for Information, Communications, and Digital Economy, William Kabogo, and Principal Secretary, Stephen Isaboke, the operators presented proposals to make mobile services more affordable and expand access to entry-level smartphones. The key recommendations include the elimination of taxes on low-cost smartphones, such as Value-Added Tax (VAT), customs duty, and import duty, to make these devices more accessible to low-income households. Additionally, the operators are advocating for a reduction in excise duty on mobile services, including voice, data, and mobile money, to lower the cost of connectivity for all Kenyans. Furthermore, they propose incentives for local assembly of smart devices, including duty exemptions on completely knocked-down (CKD) units, to encourage local manufacturing and job creation. Regarding network expansion, the GSMA recommends reforms to the current frequency spectrum licensing system. They propose an increase in license duration from 15 to 25 years to enable better long-term planning and investment certainty. The operators also seek more transparent and predictable processes for spectrum renewals, including early engagement with mobile service providers. Cabinet Secretary Kabogo welcomed the proposals, expressing the government’s commitment to digital inclusion and economic empowerment. Principal Secretary Isaboke praised the collaborative spirit of the discussions, noting that the proposals align with Kenya’s digital goals. The government has pledged to create a supportive policy environment for the growth of transformative digital initiatives, with a strong focus on inclusivity, sustainability, and national unity.

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