
48 Per Cent of the Population of Kenya Remains Unconnected to Mobile Networks
Nairobi: Kenya is making excellent progress to achieve its target of universal broadband coverage by 2030 and there is an opportunity for the government to accelerate the country's digital transformation with more supportive policies. This was the key finding of a report released today by the GSMA, which highlights potential areas for policy reform that would support achievement of Kenya's Digital Economy Blueprint, and broadband coverage goals.
The mobile market in Kenya has expanded rapidly over the last decade, with the percentage of Kenyans connected to mobile services increasing from 30 per cent in 2009 to 52 per cent in 2019. According to GSMA Intelligence this number has the potential to grow to 58 per cent by 2025.
In order to achieve this, the GSMA report urges Kenya's government to follow best practice tax principles, simplify infrastructure deployment fees, and permit the tax deductibility of government payments. These, amongst other more supportive policies, would provide greater certainty for operators to invest in mobile networks and increase mobile penetration.
Maintaining a more stable tax system is necessary to unlock the full value of mobile connectivity for the 48 per cent of people currently unconnected in Kenya, said Akinwale Goodluck, Head of Sub-Saharan Africa, GSMA. With growing mobile penetration, Kenyans stand to benefit from improved financial inclusion, digitally-enabled local entrepreneurship, innovative health and education systems, and growing numbers of e-government initiatives. By improving the business environment for mobile operators, all Kenyans could benefit from these economic and social benefits of mobile connectivity.
The key findings from the report, Mobile Taxation in Kenya: Accelerating Digital Development', are highlighted below:
More supportive policies are key to securing Kenya's digital leadership
The tax contribution of the mobile sector in Kenya is high compared to other countries in Sub-Saharan Africa (SSA), which risks limiting the growth potential of the country's mobile sector. In 2018, the total tax contribution of the mobile sector was estimated at KES 97 billion ($954 million), representing 37 per cent of the total market revenue. This was above the average in SSA (26 per cent) and any other reviewed region, including Europe (21 per cent) and Latin America (18 per cent).
Further, the Kenyan mobile sector makes a large contribution in taxes and fees relative to its economic footprint; while the mobile market revenue accounted for 3 per cent of Kenya's GDP, the sector's tax and fee payments accounted for around 6.5 per cent of government total tax revenue. The tax contribution of the mobile sector is therefore 2.2 times its size in the economy. This is limiting mobile operator's ability to make the necessary investments in Kenya's mobile networks and improve the affordability of mobile services.
Improving the affordability of mobile services could boost economic growth
Mobile technology plays an important role in Kenya's economic growth and for this to continue, significant investment in mobile networks, and addressing barriers to adoption, such as affordability, is required. In Kenya, affordability is hampered by excise taxes, which increase the cost of using mobile services.
Mobile operators in Kenya make a significant and valuable contribution to the economy and society. Total mobile sector revenues were KES 264 billion in 2018 ($2.6 billion), generating KES 133 billion ($1.3 billion) of direct economic value. This economic value constitutes over 1.5 per cent of Kenya's gross domestic product (GDP). There is potential for the mobile sector to make a far greater economic and social contribution by increasing mobile connectivity, so everyone can participate in the country's digital economy.
An uncertain tax environment could have detrimental impacts on the wider economy
The GSMA report argues that a short-term focus on the ICT sector for tax revenue could jeopardise the long term economic and social benefits of digital inclusion.
To illustrate this, the report analyses the potential detrimental effects of a hypothetical increase in the excise duty on mobile services from 15 per cent to 18 per cent. The study highlights that such a tax increase would potentially decrease Kenya's GDP by $268m and reduce potential mobile subscribers by 950,000.
Kenya is considered a front runner in digital transformation in the region. To maintain this position, the government must strike the right balance between tax revenue maximisation, and incentivising investment and economic growth, added Akinwale Goodluck.
The report, Mobile Taxation in Kenya: Accelerating Digital Development', is available at www.gsma.com/mobile-taxation-in-kenya
-ENDS-
About the GSMA
The GSMA represents the interests of mobile operators worldwide, uniting more than 750 operators and nearly 400 companies in the broader mobile ecosystem, including handset and device makers, software companies, equipment providers and internet companies, as well as organisations in adjacent industry sectors. The GSMA also produces the industry-leading MWC events held annually in Barcelona, Los Angeles and Shanghai, as well as the Mobile 360 Series of regional conferences.
For more information, please visit the GSMA corporate website at www.gsma.com. Follow the GSMA on Twitter: @GSMA.
Media Contacts:
For the GSMA
GSMA Press Office
pressoffice@gsma.com
Like what you read? Share.
Most recent headlines
05/01/2027
Worlds first 802.15.4ab-UWB chip verified by Calterah and Rohde & Schwarz to be ...
04/08/2026
Dalet, a leading technology and service provider for media-rich organizations, t...
04/07/2026
April 7 2026, 19:00 (PDT) Detective Conan: Fallen Angel of the Highway Opens in...
01/06/2026
January 6 2026, 05:30 (PST) Dolby Sets the New Standard for Premium Entertainment at CES 2026
Throughout the week, Dolby brings to life the latest innovatio...
09/05/2026
New SoundApp ARA Plugin Transforms Boris FX CrumplePop
Jessie Electa Petrov May 9, 2026
0 Comments
CrumplePop 2026.5 streamlines music, voice, and cin...
09/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
09/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
08/05/2026
NBC's 9:16 live-production workflows power Courtside Live, Rinkside Live, Vi...
08/05/2026
Native 1080p HDR productions will rely on a mix of remote workflows from Bristol and Los Angeles
Despite another prosperous WNBA season in 2025, there was no g...
08/05/2026
In-venue and creative video staffers at the professional and collegiate level ha...
08/05/2026
Players Era, an EverWonder Studio company, and ESPN have announced a multi-year ...
08/05/2026
BFBS (British Forces Broadcasting Service) has announced the selection of Syname...
08/05/2026
UFC and Joe Hand Promotions, UFC's exclusive commercial distributor in the U...
08/05/2026
Ease Live, an Evertz company, has announced it has been granted US Patent No. 12,556,777 for its graphical overlay technology for interactive live streaming. Th...
08/05/2026
Ateme has announced that VTVcab has deployed Ateme's OTT platform to power its VTVprime streaming service in Vietnam. The deployment covers live and on-dema...
08/05/2026
Amagi has announced the availability of its In-Content Ads offering via the Amagi ADS PLUS marketplace, providing programmatic access to ad formats inserted dir...
08/05/2026
Young broadcaster will deploy 11-camera complement, At the Line' scorebug f...
08/05/2026
Ratings Roundup is a rundown of recent rating news and is derived from press rel...
08/05/2026
FOX Sports, America's English-language home for the FIFA World Cup 2026, and...
08/05/2026
Molly Gordon and Ben Platt appear in Theater Camp. (Courtesy of Searchlight Pictures)
By Lucy Spicer
Her character is the beloved founder of the AdirondACTS...
08/05/2026
One-button synth generates random four-track ideas
Cyma Forma and French artist Bambounou have announced RND synth, a compact hardware synthesizer built aro...
08/05/2026
Portable four-layer granular and sampling instrument
Tasty Chips have announced the GR-2, a new granular synthesizer and sampling instrument that combines e...
08/05/2026
Video Show Report
Video of SUPERBOOTH 26: Polyend Drums
Polyends big announcement for Superbooth 2026 is the Drums, a new drum machine that features both ...
08/05/2026
Deal agreed as NI enters new chapter
Native Instruments CEO Nick Williams has announced that a definitive agreement has been signed for the company to be ac...
08/05/2026
Video Show Report
Video of SUPERBOOTH 26: Erica Bullfrog Drums
The Bullfrog Drums is the latest collaboration between Erica Synths and Richie Hawtin, and ...
08/05/2026
In our latest blog, Tim Pearson reflects on the recent launch of Play Snooker, the new digital home of snooker by the World Professional Billiards and Snooker A...
08/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
08/05/2026
Riedel Communications today announced its return as a sponsor of the Glasgow 2026 Commonwealth Games, where the company will serve as the Official Connectivity ...
08/05/2026
For the second straight year, Miri Technologies Inc. has been honored with a pair of coveted awards at the broadcast, media and entertainment industry's pre...
08/05/2026
Nine Alumni Nominated for Tony Awards More than 20 alumni contributed to this year's Tony-nominated productions.
May 7, 2026
By
Tori Donahue
Boston Co...
08/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
08/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
08/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
08/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
08/05/2026
Liberty University on why broadcast technology isn't just a technical invest...
08/05/2026
COW Jobs: UGC, On-Camera Video Content
Brie Clayton May 7, 2026
0 Comments
UGC, On-Camera Video Content
April 17, 2026Documentary Editor - US,......
08/05/2026
Pete reunites with Dogs Trust for a fourth series and a two-part overseas special
London, Friday 8th May 2026: The award winning factual entertainment series P...
08/05/2026
Wuppertal May 8, 2026
Riedel to Support Glasgow 2026 as Official Connectivity Integration Provider Riedel Communications today announced its return as a spons...
08/05/2026
Back to All News
Netflix Announces Standalone Sequel to Global Hit La Palma
Entertainment
08 May 2026
GlobalDenmarkFinlandNorwaySweden
Link copied to clipb...
08/05/2026
ICG is excited to share news of our official launch in Northern Ireland, marking a significant milestone in the agency's growth.
Led by Digital Marketing M...
08/05/2026
Over the past ten years, Thames Water, in partnership with Arqiva, has installed more than 1.2 million smart meters, creating one of the most extensive advanced...
07/05/2026
Journalists reporting on Sudan are working in one of the most complex and fast-m...
07/05/2026
Multi-year partnership positions Victory+ as a free home for Dallas Cowboys orig...
07/05/2026
From sideline reporting to directing and producing, the talented sophomore is building a well-rounded foundation for a career in live sports production
In the ...
07/05/2026
Cobalt Digital has received two Future Best of Show awards at NAB Show 2026. The COBALT blueCORE platform was recognized by TV Tech, and the COBALT PACIFIC ULL-...
07/05/2026
ESPN analyst Mina Kimes will host the televised semifinals and finals of the 202...
07/05/2026
Bitmovin has announced that MUBI, the global film streaming platform, has selected Bitmovin as its cloud VOD encoding partner. Bitmovin's encoding infrastru...
07/05/2026
NBCUniversal Telemundo Enterprises and the U.S. Soccer Federation have announced...
07/05/2026
Angel City Football Club (ACFC) and Victory have announced a regional broadcast partnership bringing live match coverage to fans across the greater Los Angeles...
07/05/2026
Spiideo has announced the launch of AI Highlights inside Spiideo Play, its automated sports production platform. AI Highlights combines video, event data, audio...