Telecommunication Is Fast Becoming Gambia's Biggest Sector As Africell Moves To Become The Country's Biggest Tax Payer

Times have surely changed per the Gambia's business environment. Not too far in the distant past, petroleum retailing companies and Banks used to be the big boys of tax payments. Well times have surely changed as the telecomunication sector in the Gambia has come of age. 16 years ago, it was unthinkable that Africell will be not only a dominant player in the Gambian economy but a national leader in tax payments.

Africell has paid approximately 650 to 700 million dalasis in taxes to the Revenue Authority in 2018. In real terms, this represents anywhere between 9% to 11% of total tax collected in the period under review. These figures have far reaching implications on the overall economy that one needs to look at. The efforts made by Africell to bag this award has been complimented by the indirect jobs created through the distribution channel of their dealer. On a conservative estimate, Africell through its dealer have an approximately 11,000 agents. This by extension creates economic dividends to the overall economy. Telecommunications is not only a fast growth sector but a sector that will propell economic growth and Fin Tech innovation.

This sector is not only in need of government support to enhance the telecomunication architecture of the country but sound public policy to promote innovation and good service delivery. Gambians often complain about the quality of service delivered by network operators but they tend to forget that these operators invest in capital items and they expect a decent return on invest within a reasonable time frame. Unfortunately, the current tax regime and policy environment is not too conducive to make the telccommunication sector robust. Case in point, the stalled liberalisation quest to open up the market and the incessant over reach of the regulator.

Once the policy environment is robust and responsive to the demands of the telco market, the tax authority can collect more from companies such as Africell. Currently, the Gambian subscriber is yearning for cheaper international rates, and that can only be accomplished through liberalisation of the gateway. Congratulations to Africel for pushing away the petro companies and Banks from the covetted position of "BIGGEST TAX PAYER IN THE NATION".