Apple will be introducing a change in pricing or in-app purchases made through the App Store from July 25, 2023. App developers and consumers in 3 African markets, including Nigeria, Egypt, and Tanzania, would be impacted by the price changes.
The App Store’s commerce and payments system was built to empower people to conveniently set up and sell products and services on a global scale. This payment can be made in 44 currencies across 175 storefronts.
According to Apple statement, the implementation of Value Added Tax (VAT) and a rise in taxes in the affected countries are the reasons for the changes. They added that they sometimes need to update prices on the App Store in certain regions and/or adjust your proceeds.
These updates are done using publicly available exchange rate information from financial data providers to help ensure prices for apps and in‑app purchases stay equalized across all storefronts.
Apple mentioned that, all offshore businesses that provide digital services to local clients in Nigeria are required to pay a 6% tax on their revenue under the terms of the 2021 Finance Act. Apps, high-frequency trading, electronic data storage, and internet advertising are all included.
Egypt, Nigeria, Tanzania, and Türkiye were chosen as base storefronts for Apple’s new app-store pricing.
If you’ve selected Egypt, Nigeria, or Tanzania, as the base storefront for your app or in-app purchase (excluding auto-renewable subscriptions), the price won’t change on that storefront. Prices on other storefronts will be updated to maintain equalization with your chosen base price.