2023-07-01 11:52:00
(Agence Ecofin) – The Ethiopian telecom market has great potential with a population of around 120 million people and a low mobile penetration rate. This market in full liberalization arouses the interest of giants like Veon, Orange, Etisalat.
The Ethiopian Communication Authority (ECA) launched Friday, June 30 a Request for Qualifications (RFQ) for the award of the country’s 2nd private telecom license (License B). The regulator invites interested world-class telecommunications operators to come forward before September 15 by submitting a written request.
The Ethiopian Communications Authority has launched a Request for Qualifications (RFQ) for a Second New Telecommunications License (License B). @addis_fortune @TheReporterET @MoF_Ethiopia pic.twitter.com/2JIOVon4jI
— Ethiopian Communications Authority (@eca_ethiopia) June 30, 2023
The awarding of License B is part of the liberalization of the national telecom market initiated in 2020. The first step saw the consortium Global Partnership for Ethiopia (Safaricom Ethiopia) acquire the country’s first private telecom license. The second stage is in progress and concerns the privatization of the incumbent operator Ethio Telecom up to 45%.
Brands such as the French Orange, the Dutch VEON and the Emirati Etisalat have already shown interest in a possible entry into this market.
This interest can be explained by the considerable leeway that Ethiopia offers to players in the sector. The country had a population of more than 120 million at the end of 2021 and a mobile penetration of only 34% according to the World Association of Telephone Operators (GSMA). Moreover, Ethio Telecom has about 70 million subscribers, while Safaricom has 4 million after a few months of activity.
According to the ECA, this initiative should promote ” promoting a competitive telecommunications market, improving connectivity to catalyze digitization and digital transformation, extending the coverage of telecommunications services and ensuring quality services, building an ICT ecosystem dynamic that drives innovation, creating employment opportunities and contributing to national economic growth, and enhancing Ethiopia’s visibility as an attractive destination for foreign direct investment ».
Isaac K. Kassouwi
Read also:
06/06/2023 – Dutch Veon is interested in the Ethiopian telecom market
24/05/2023 – The Emirati Etisalat is interested in the Ethiopian telecom market
22/05/2023 – Ethiopia to launch international tender for second private telecom license in June
03/18/2023 – Orange is still interested in the Ethiopian telecom market
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