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Airtel Hikes Call Rates Amidst Airtime Tax

N

Nyakundi Report

Newsroom 1 min read

This archive report was first published on 2 July 2021.

President Uhuru Kenyatta's assent to the Finance Act, 2020, has led to a significant increase in call rates for Airtel subscribers. The new rates, which took effect on July 2, 2021, see calls to other networks costing Sh. 2.78 per minute, up from Sh. 2.

According to Airtel, the price increase is due to the excise duty on airtime and data being raised from 15% to 20%. The company notified its subscribers through short text messages, stating: 'Dear customer, due to an increase in excise duty from 15 percent to 20 percent from July 2, your call rate is now Sh. 2.78 per minute.'

Mobile data and SMS charges remain unchanged. The Finance Act, 2020, is expected to generate nearly Sh. 7 billion in revenue for the government annually.

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