MTN paid over N600bn taxes, invested N1.6trn in network

MTN Nigeria has disclosed that it paid more than ₦600 billion in taxes, customs duties, regulatory levies and other statutory obligations over the past year, underscoring the telecommunications giant’s growing contribution to government revenue beyond its strong half-year financial performance.

The company also revealed that it has invested over ₦1.6 trillion in capital expenditure since January 2025 to expand network capacity and improve service quality, while rewarding shareholders with an interim dividend of ₦26 per share.

Speaking on Arise News’ Global Business Report, MTN Nigeria’s Chief Financial Officer, Modupe Kadri, said the company’s financial performance extends well beyond revenue growth, creating value for government, shareholders, suppliers, employees and the broader Nigerian economy.

According to him, MTN’s earnings are distributed across multiple stakeholders before profits accrue to shareholders.

“For every one naira of revenue, about 24 kobo becomes profit. The government receives over ₦600 billion through taxes and levies, operating costs account for a significant portion of our revenue, and every participant within the ecosystem benefits from the value we create,” Kadri said.

He explained that while profitability remains important, the company’s broader economic impact is reflected in its substantial investments in telecommunications infrastructure and its contribution to public finances.

The disclosure comes as the Nigerian Communications Commission (NCC) continues to identify the telecommunications industry as one of the country’s largest contributors to Gross Domestic Product, supporting digital financial services, education, healthcare, commerce and government services.

Kadri said MTN remains committed to sustaining investment in network infrastructure despite increasing shareholder returns.

He noted that the company has committed more than ₦1.6 trillion to capital expenditure since January 2025 to strengthen network capacity, improve service quality and expand digital connectivity across the country.

According to him, dividend payments represent only one element of the company’s capital allocation strategy.

“Even when we declare dividends, the government still receives withholding tax, while we continue investing heavily in our network because sustaining quality service requires ongoing capital commitment,” he said.

Industry analysts have consistently identified continued investment by mobile network operators as critical to expanding broadband penetration, improving service quality and accelerating Nigeria’s digital economy.

The company’s latest disclosure highlights the growing role of the telecommunications sector not only as a major corporate taxpayer but also as one of Nigeria’s largest private investors in digital infrastructure, supporting economic growth, financial inclusion and broader digital transformation.