May 29, 2024

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MTN Mobile Money transaction drop 36% since levy, says URA

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MTN Mobile money transaction drop 36 percent since levy, URA

Ugandans have abandoned money transactions using communication companies agencies due to increased tax.

After an increase of Mobile Money tax last year, the tax increased charges to mobile money uses.

A follow in the business has been evident.

‘Levy on mobile money contributed a deficit of UGX 30.48 billion which can be explained by the fact that high value clients withdraw their funds from agency banking,’ says the official.

“MTN has had a drop of 36 percent in MM transaction values since the introduction of the levy on mobile money.” The official said

According to Mr Kinobe Joseph a resident of Buwama town told Whisper eye that Mobile money business owners are crying due to few customers.

‘Businesses are affected by the increment on the tax,’ says Mr Kinobe.

“If a person want to send Ug shs. 1,000,000/= from Buwama to Mpigi town your charged 20,000/= yet you only need 5,000/= on transport using public means.” Mr Kinobe explained.

Whisper Eye reporter toured a round Buwama town council and a number of Mobile money kiosks are abandoned.

Those operating have few customers in need of the services.

Many just use these kiosks to load airtime to their phones.

Mobile money uses and business owners asks government to make a proper assessment and make reforms over the controversial tax

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