DUSHANBE, December 25, 2014, Asia-Plus -- Increase in excise tax on mobile phone services and rental payment will lead to a definite increase in prices for mobile phone services, Ghafour Irkayev, Head of the Association of Mobile Phone Operators of Tajikistan, told Asia-Plus in an interview.

“The Communications regulatory agency will take into consideration changes in the currency exchange, changes in prices for utilities, rental payment and the call cost,” Irkayev said.

According to him, tariff hikes will affect the market attractiveness and lead to decrease in mobile phone service use and staff reduction.  “Besides, remote areas without fixed line connectivity will suffer from the tariff hikes,” Irkayev added.

We will recall that the law on excise tax on mobile phone services came into force in Tajikistan on January 1, 2011.

Speaking at the parliament session, Finance Minister Safarali Najmiddinov said on November 25, 2010 that the new excise tax on mobile services will let Tajikistan''s state budget receive additional 30 million somoni ($6.8 million) a year that will be spent on the development of the social sector.

Mobile phone users will not be greatly impacted by the new law, Najmiddinov said.  “The annual income of all mobile providers in the country makes USD409 million and operators will pay additional tax at the expense of their incomes,” he added.