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AfricaEconomyNews

Gabon plans a 5% telecom tax — and the industry isn’t happy 📶

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The Gabonese government is considering a 5% excise tax on telecom services — including voice calls, mobile data, internet access, and value-added services — as part of its 2026 draft finance bill. Officials describe the measure as “moderate,” arguing it will help boost public revenue and diversify the state’s income streams at a time of tight fiscal pressure.

Boosting public revenue 💰

Government projections estimate the new levy could bring in between 12 and 15 billion CFA francs annually (roughly USD 21–26 million). Officials say the tax is essential to fund digital infrastructure projects and strengthen the country’s economic sovereignty.

Libreville argues that these additional resources will support efforts to modernize networks and expand internet coverage nationwide. The Ministry of Economy insists the tax will be implemented in a “balanced” way to avoid discouraging private-sector investment in telecoms.

A potential setback for digital inclusion ⚠️

Despite these assurances, the proposal is raising concerns among operators and consumers. Industry players warn that any additional tax will ultimately land on users’ bills — already burdensome in a country where the cost of living continues to rise.

Observers also fear higher data and call prices could limit internet access, particularly for low-income households. Gabon’s internet penetration rate stands at 71.9% in 2025, with 1.84 million users and over 3.19 million mobile connections — strong adoption overall, but still fragile in rural regions.

A risk to the growth of a strategic sector 📊

The digital economy accounts for about 5% of Gabon’s GDP and has become a key pillar of economic diversification. In recent years, the country has partnered with private operators to extend mobile coverage and improve service quality.

Analysts warn that adding a new tax to an essential service could slow this progress and deepen the digital divide. With connectivity now at the core of education, healthcare, and employment, any increase in costs risks widening inequalities.

Some experts argue for a more balanced approach — one that broadens the tax base while encouraging innovation — to maintain the sector’s competitiveness without undermining fiscal objectives.

👉🏾 Is this tax a sustainable solution, or a setback for Gabon’s digital transformation?


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