Sri Lankan operators impose 20% hike in mobile and data tariffs

Sri Lankan operators impose 20% hike in mobile and data tariffs

Amidst the country’s continuing economic and political crisis, Sri Lanka’s four major telecom operators have implemented a 20% increase in their mobile, broadband and value-added tariffs from 5th September.

In a joint statement, Airtel Lanka, Dialog Axiata, Hutch and SLT-Mobitel said that the changes were necessary due to tax increases and the escalating cost of operating, largely brought about by the the devaluation of the Sri Lankan rupee. The tariff hikes have been approved by the Telecommunications Regulatory Commission of Sri Lanka (TRCSL).

Sri Lanka’s government increased VAT on all telecoms services from 11.25% to 15% back in June, reversing a tax cut from December 2019. From today, VAT on pay-TV services has increased from 1% to 15%, while overall pay-TV prices have increased 25%.

The TRCSL’s data showed that for June 2022, factoring in VAT and other levies, telecommunications services were taxed at an effective rate of 31.4%. The was some reprieve for internet services as the telecoms levy does not apply to them; the effective rate in this instance is 14.3%.

MORE ARTICLES YOU MAY BE INTERESTED IN...


Sign-up to our weekly newsletter

Keep up-to-date with all the latest news, articles, event and product updates posted on Developing Telecoms.
Subscribe to our FREE twice-weekly email newsletters for the latest telecom info in developing and emerging markets globally.
I agree with the Terms and conditions and the Privacy policy
By accepting occasional e-mails from our partners, inviting you to download articles, white papers and attend events, you are helping fund free access to this valuable news service for emerging markets.