
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...
02/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
02/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
02/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
02/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
02/05/2026
Scripps Research immunologist Dennis Burton elected to American Academy of Arts and Sciences A leader in broadly neutralizing antibodies, Burton has helped driv...
02/05/2026
Dalet, a leading technology and service provider for media-rich organizations, t...
01/05/2026
Ratings Roundup is a rundown of recent rating news and is derived from press rel...
01/05/2026
BKB Bare Knuckle Boxing ( BKB ), today announced the appointment of Will Wright ...
01/05/2026
Lawo has been at the center of the industry's transition to IP and other next-generation technologies. At NAB 2026, its story was the Edge One AV stagebox, ...
01/05/2026
HBA Media, acting on behalf of NBC Sports and Churchill Downs Incorporated, has announced broadcast and streaming distribution for Kentucky Derby 152, taking pl...
01/05/2026
By Bailey Pennick
One of the most exciting things about the Sundance Film Festi...
01/05/2026
Florals for spring? Groundbreaking. But a playlist that tells you which The Devi...
01/05/2026
One of the world's biggest popstars is headed to El Cl sico. Later this mont...
01/05/2026
Limited-edition model celebrates 15th anniversary
Heritage Audio's range of monitor controllers has just gained a new member, the Baby RAM Black Edition...
01/05/2026
Dumble recreation now available as UAD plug-in
Along with their renowned processing plug-ins, Universal Audio have been steadily introducing emulations of c...
01/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
01/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
01/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
01/05/2026
To celebrate the opening of its new showroom and office, Lightware UK hosted a dedicated launch event at the new London location. The event welcomed partners, c...
01/05/2026
Choice without compromise
The broadcast industrys transformation is accelerating, and traditional broadcasters are having to fundamentally reinvent how they o...
01/05/2026
Beam Dynamics will return to MPTS 2026 with its asset intelligence platform, helping systems integrators, live production teams, media facilities and profession...
01/05/2026
Best-in-class UX design and rapid, scalable delivery for next-generation viewing experiences
Leading video software provider, Synamedia, today announced a coll...
01/05/2026
Compact new cforce MAX lens motor brings unrivaled speed and responsiveness to t...
01/05/2026
Panavision welcomes Fritz Heinzle as Vice President of Sales
Brie Clayton May 1, 2026
0 Comments
Heinzle will support Panavision's global growth s...
01/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
01/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
01/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
01/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
01/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
01/05/2026
LONDON, APRIL 30, 2026 The Post Republic London's Re-recording Mixer and Dialogue Editor Dan Johnson has built a reputation for clean, emotionally resonan...
01/05/2026
Adobe Unveils Powerful New Innovations in Photoshop & Lightroom
Deepa Subramaniam April 30, 2026
0 Comments
Your most tedious creative tasks just got ea...
01/05/2026
Berklee Partners with Santander US to Establish Global Opportunity Fund The $400,000 grant offers students access to experiential learning opportunities withi...
01/05/2026
Student Spotlight: Keziah Thomas The Indian composer, who was named the 2026 student commencement speaker for Berklee College of Music, talks about how shes p...
01/05/2026
Friday 1 May 2026
Hannah Waddingham and Ncuti Gatwa to host the series final tw...
01/05/2026
Friday 1 May 2026
Got plans? Cancel them. Sky Sports Big Weekend is coming
Sky Sports is preparing for a bumper weekend of live action, including Manchester ...
01/05/2026
Friday 1 May 2026
Sky Sports to broadcast all matches from World Sevens Football London edition
Sky Sports will be the exclusive UK broadcaster of the women...
01/05/2026
Back to All News
NIAJ Fest Gets Los Angeles In on the Joke With Free Pop-Up Events
Entertainment
01 May 2026
GlobalUnited States
Link copied to clipboard
...
01/05/2026
RT Sport awarded first pick free-to-air on Wednesday nights
Champions League and Super Cup finals
Highlights on Wednesday nights
RT today (Thursday 30 Apri...
01/05/2026
January 5 2026, 18:30 (PST) NBCUniversal's Peacock to Be First Streamer to ...
30/04/2026
The Professional Women's Hockey League (PWHL) concluded its third regular season on Saturday, reporting growth across attendance, viewership, digital engage...
30/04/2026
NBC Sports will air national MLB coverage on Sundays beginning May 3, with MLB Sunday Leadoff on Peacock and NBCSN at 12:30 p.m. ET, followed by the debut of th...
30/04/2026
Clear-Com has appointed Brian Grahn as Market Outreach Manager of the Americas and Ben Turnwell as Business Development Manager for EMEA live.
Grahn joined Cle...
30/04/2026
ARRI has introduced the cforce MAX, a new lens motor for the Hi-5 lens control system. The cforce MAX is twice as fast as the cforce plus motor it replaces whil...
30/04/2026
Knuerr, Voxtronic, and IHSE will jointly present an integrated control room solu...
30/04/2026
The CW Network and ESPN have announced an agreement to make the ESPN App the exclusive streaming home for all CW Sports live events. CW Sports will continue to ...
30/04/2026
Ed Sheeran's The Loop' tour launched in Auckland in January 2026 before moving on to Australia, with South America and the United States to follow late...