The GSMA has commissioned Frontier Economics to undertake a report examining the impact of mobile air time taxes in East Africa. It builds upon a previous report from 2007, and aims to analyse the impact of lowering and removing mobile specific taxes levied on air time, handsets and equipment across sub-Saharan Africa. It quantifies and estimates the mobile industry’s historical and future impact on tax and investment, economic growth and penetration. Taxation has a large impact on access to mobile communications and Value added services like mobile money. According to the World Bank there is direct link between connectivity and economic growth; hence, achieving access at affordable prices to the broadest base of the population is essential to driving economic growth and alleviating poverty.

Read more: http://mmublog.org/global/the-impact-of-taxes-on-mobile-growth/