Ncell Leads in Royalty and RTDF Contributions for Fiscal Year 2022/23

Ncell has emerged as the leading contributor to royalty and the Rural Telecommunication Development Fund (RTDF) for the fiscal year 2022/23. According to the Nepal Telecommunication Authority (NTA), Ncell’s significant contribution amounted to over Rs 2 billion in revenue during this period.

In detail, Ncell’s financial contribution comprised Rs 1.47 billion towards royalty and Rs 703.75 million to the government as RTDF in the last fiscal year. A comparison with the previous fiscal year’s figures showcases Ncell’s consistent commitment, with the amount paid to the government slightly decreasing from Rs 1.58 billion in 2021/22 to Rs 1.47 billion in 2022/23. Similarly, the contribution to RTDF saw a slight decline from Rs 709.1 million to Rs 703.75 million.

Under the provisions of the Nepal Telecommunications Act 1997 and Telecommunications Regulations 1998, all service providers are mandated to pay four percent royalty and two percent RTDF of their income annually by mid-January, which aligns with the end of the Nepali month of Poush.

NTA’s latest data reveals that out of 121 operational companies, only 31 have submitted their royalty and RTDF for the last fiscal year, including major players like Nepal Telecom, Ncell, and Worldlink, among others. Alarmingly, 90 companies are yet to fulfill their financial obligations to the government.

Despite the challenges posed by the ongoing fiscal year, NTA reports a collection of Rs 4.821 billion in royalty and RTDF contributions so far, indicating a concerted effort in ensuring compliance with regulatory requirements.