MTN Nigeria’s N764.2bn Tax Payment and Sustainability Claims Under Scrutiny

MTN Nigeria Communications Plc (MTNN and Nigerian Exchange Limited (NGX) event

MTN Nigeria Communications Plc has announced a significant tax contribution of N764.2 billion in the past reporting year, marking a 39.1 percent increase in taxes, levies, and duties paid to the Nigerian government. Esosa Balogun, General Manager of Risk Management at MTN Nigeria, highlighted the company’s commitment to fulfilling its financial obligations during the company’s Facts Behind the Sustainability Report presentation, where the Executive Management presented key highlights of the company’s 2024 Sustainability Report on Thursday, 8 May 2025.  However, this substantial payment has sparked debate about the broader impact of MTN’s operations on Nigerians, particularly in terms of affordability and market dominance.

In a bid to position itself as a leader in transparency, MTN Nigeria also boasted its role as an early adopter of international financial reporting standards. The company has aligned with the International Financial Reporting Sustainability Disclosure Standards (IFRS) ahead of mandatory compliance dates. It also joined the ISSB’s Transition Implementation Group and the FRC’s Adoption Readiness Working Group. Despite these efforts, critics are questioning whether such strides genuinely benefit Nigerian consumers or simply serve to bolster the company’s public image.

The telecom giant reported a N3.5 billion investment in Corporate Social Responsibility (CSR) initiatives in 2024, bringing its total CSR investment to N31.9 billion since its inception. These initiatives have purportedly impacted over 663,300 individuals, supported 628 small businesses, and enhanced educational outcomes in 62 schools. But concerns remain about the true effectiveness of these efforts, especially in underserved rural areas, where access to essential services like affordable data remains a challenge.

MTN Nigeria’s commitment to sustainability extends beyond business operations. Through its “What Can We Do Together?” program, the company empowers local communities to propose and implement development projects. This initiative, combined with efforts like the deployment of 194 solar-powered rural telephony sites, aims to address both social and environmental challenges. Yet, many argue that the company’s impact on local communities is not as wide-reaching as it claims.

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The company’s Chief Corporate Services and Sustainability Officer, Tobe Okigbo, further emphasized that MTN Nigeria’s approach to sustainability goes beyond profit-making. However, with questions about the high costs faced by Nigerian consumers, there is growing skepticism about the company’s motivations. As MTN continues to dominate the telecom landscape, it faces mounting pressure to ensure that its business practices align with the real needs of Nigerians, rather than just corporate interests.

MTN Nigeria also touted its network coverage rate of 93% and over 2.8 million active MoMo wallets, yet industry experts contend that the company’s market dominance stifles competition. This leaves many wondering whether MTN’s corporate social investments and governance claims are genuine efforts to create long-term value or simply strategies to maintain a stronghold over the Nigerian market.

As MTN Nigeria moves forward, it will need to strike a balance between corporate growth and meeting the needs of the Nigerian people. The challenge remains: will the telecom giant’s sustainability efforts truly contribute to the socio-economic development of Nigeria, or will they continue to serve its own interests while the challenges faced by consumers persist?

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