Safaricom has just announced that it has increased its call services by 30 cents and SMS services by 10 cents thanks to the recently passed Finance Act of 2018. Safaricom is the first telco to implement the change, despite being the most expensive service provider.

“While we remain committed to delivering great value to Kenyans, recent changes to taxes affecting our services were passed through the Finance Act 2018. In particular the Excise Duty tax applicable on Voice, SMS and Data services was increased from 10% to 15%. This is in addition to the prevailing Value Added Tax applicable to mobile services at the rate of 16%. ”

“We have since then been undertaking extensive engagement with the Government on the impact, timing and exact nature of services that these taxes will affect.  Therefore, as a result of the increased taxes passed in the Finance Act 2018, we wish to notify our customers that from midnight tonight, the 18th October 2018, our headline price for voice calls and data will increase by 30 cents and SMS by 10 cents.”

Following this move by Safaricom, i wont be surprised if Telkom and Airtel follow suit.

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