(Ecofin Agency) – The Rwandan government has entrusted the semi-public company Korea Telecom Rwanda Networks with the provision of wholesale 4G services in the country. Kigali wants to change its approach as part of its ambition to guarantee mobile services to the entire population.
The Rwanda Utilities Regulatory Authority (RURA) has decided to revoke the wholesale monopoly granted to Korea Telecom Rwanda Networks (KTRN) on 4G and future mobile technologies. A notice of intent to modify the license issued to the telecom operator on December 29, 2022 was published in the January 30 edition of the official journal.
This initiative is part of the implementation of the new national broadband policy adopted by the government in October 2022. It aims in particular to increase competition in the market to accelerate the adoption of mobile services at broadband; make frequencies and technologies available to facilitate the deployment of operators; and enhance competition in the fiber optic link market.
In 2013, the Rwandan government and Korean Telecom signed a 25-year agreement for the wholesale supply of 4G in the country. The two parties then agreed on the creation of a joint venture KTRN in charge of improving the offer of online services. As part of this partnership, Korea Telecom was to offer its expertise and invest approximately $140 million. The government, meanwhile, provided the assets of the national fiber optic network, the spectrum and a wholesale operator license for 25 years.
As a wholesale operator, KTRN holds frequencies in the bands of 2600 MHz (2×70 MHz), 1800 MHz (2×15 MHz), 800 MHz (2×30 MHz) and 700 MHz (2×42, 5MHz). It resells capacity to other operators. These other operators hold frequencies in the 900 MHz, 1800 MHz and 2100 MHz bands, and only provide 2G and 3G services. ” The wholesale network has had varying success. While the network was successfully launched, it initially fell short of coverage targets, but improved significantly thereafter. “, according to the World Association of Telecom Operators GSMA.
The modification of KTRN’s license for the provision of network services should lead to a new structure of the Rwandan telecommunications market with more competition. This should also remove ” regulatory barriers that prevent other telecom operators from deploying the latest technologies available ».
Isaac K. Kassouwi
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