Internet usage in Nigeria dropped sharply between January and April 2025 following a 50% increase in data tariffs, according to the latest report from the Nigerian Communications Commission (NCC).
The report shows that total internet data consumption fell by over 17,600 terabytes during the period, dropping from 1 million terabytes in January to about 983,000 terabytes in April, a 1.76% decrease. This followed the NCC’s approval of a tariff hike in February that raised the average cost of 1GB of data from ₦287.50 to ₦431.25. The price adjustment was due to inflation, unstable exchange rates and high energy costs affecting telecom operators.
The immediate impact was seen in February, when internet usage fell by 10.8%. There was a brief rebound in March, but usage declined again in April, showing that many Nigerians are still struggling with the cost.
The number of internet subscribers also dropped during this time. From over 142 million users in January, the figure fell to 141.9 million by April, with the biggest drop recorded in February. This trend reflects not only the higher cost of data but also ongoing disconnections of SIMs not linked to National Identification Numbers (NINs).
Meanwhile, the reintroduction of a 5% excise duty on telecom services recently approved as part of the Nigeria Tax Bill 2024 is expected to make things worse. The bill, passed in May 2025, means consumers will now pay more for calls, texts and data. Operators say this could slow down Nigeria’s digital growth, especially with more than 50 different taxes already being paid by telecom companies.
Despite the challenges, MTN Nigeria reported a strong recovery in Q1 2025, with a profit of ₦133.7 billion, bouncing back from a heavy loss last year. The company said data now brings in more revenue than voice services, with internet traffic rising by 46% and average user data consumption hitting 12.8GB. MTN added nearly 4 million new smartphones to its network, increasing smartphone use to 60.7%.
Still, industry experts warn that continued price hikes and new taxes may push more Nigerians offline and weaken efforts to improve digital inclusion.