By Prince Osuagwu

LAGOS— THE Federal Government has announced a seven-year tax holiday to interested companies to be licensed soon as a way of attracting investment into the telecom infrastructure business.

Government made this policy statement yesterday in Doha, Qatar, where it is being represented by the Ministry of Communications Technology and the Nigerian Communications Commission, NCC, at the ongoing ITU Telecoms World Conference.

Announcing the incentive, Mr Joseph Tagbe, Principal Partner of KPMG, government consultants to the soon to flag off licensing regime, said licensed Infrastructure Companies (Infracos) in the broadband spectrum will, among other incentives, get tax holidays of between five and seven years to cushion their investments.

Tagbe announced this as one of the highlights of the Nigeria investment meeting at the ongoing ITU World 2014 in Doha.

Corroborating Tagbe, Communications Technology Minister, Dr Omobola Johnson, said it was part of Nigeria’s drive for more investors into the blossoming ICT sector.

She said the licensing regime was based on the Open Access Model and that beneficiaries of the licences were getting tax holidays among other incentives, to encourage them invest and guarantee adequate returns on investments.

Earlier, Executive Vice Chairman of the Nigerian Communications Commission, NCC, Dr Eugene Juwah, revealed that Nigeria had achieved 96 per cent teledensity with over 134 million active subscribers, and ICT contribution to national GDP of over 10 per cent.