Charging the mobile - East African governments are targeting telecoms firms -
http://www.economist.com...s-firms-charging-mobile
Quote:Gabriel Solomon of the GSMA, a global association for mobile operators, says his members are being unfairly targeted as a proxy for taxing the informal economy. East African mobile consumers already pay some of the highest sector-specific taxes in the world, he argues. It has reached the stage, he says, where “if you’ve got a hole in the budget then target telcos.”
Bob Collymore, Safaricom’s chief executive, says he understands the need to raise public funding to pay for infrastructure but worries that over-taxation risks “stifling what is still a nascent sector”.
Indeed, the value of mobile payments, which posted strong monthly rises throughout 2012, fell by almost 1% in January, the month the Kenyan transaction tax was first levied. The contraction reached almost 5% by March. A move back to stuffing bills in mattresses helps no one.
Yep, I still don't get why tax mobi cash when you want money velocity to scale up to fast track the economy... Very bogus move this and KE has taught its EA sisters this bad habit
$15/barrel oil... The commodities lehman moment arrives as well as Sovereign debt volcano!