Finance

Ethiopia: Vodacom and MTN in race for new telecom license

Ethiopia: Vodacom and MTN in race for new telecom license
Monday, 26 April 2021 16:54

MTN Group is battling with a consortium of telecom operators led by Safaricom, the Kenyan dealer of South African Vodacom, to obtain a new telecom license in Ethiopia.

Early this morning, Safaricom, the second-largest telecoms company in Africa, reported that its consortium included, besides Vodacom, the UK-based parent company Vodafone, and also institutional investors such as the Commonwealth Development Corporation (CDC Group) and the Japanese group Sumitomo Corp.

The completion of this process should reassure Ethiopians and international partners such as the World Bank that the Ethiopian government is willing to truly open up the national telecom market to competition. The delay in the process has already raised some suspicions of failure within the Ethiopian consumer community.

The government’s interests in this process are multiple. Beyond being a political line, opening the Ethiopian economy to foreign investors has become a necessity. The growth model based on public investment has begun to show its limits, even before covid-19.

Data from the Institute of International Finance indicates that after an average annual growth of 9.5% between 2011 and 2018, the Ethiopian economy had grown by only 2.4% in 2019.

Idriss Linge

On the same topic
Côte d’Ivoire will receive $234 million for a sustainable urban mobility project in Abidjan. Gambia will receive $32.2 million to build...
Stanbic IBTC and Zenith Bank cut monthly card spending abroad to $500 and $200 Foreign reserves fall by $3.5 billion in six...
Cauri Money launches Gajo Money, an e-wallet for the Cameroonian diaspora, targeting €120 million in transactions by end-2025. The fintech...
• Kenya and ASR sign deal to reduce risk on projects worth up to $2 billion.• Risk cover will target infrastructure, energy, logistics, and trade...
Most Read
01

• Investors seem to keep focusing on yields, which are high for the moment• New Leadership might see...

Afreximbank Bonds Retain Market Confidence Despite Moody’s Downgrade
02

• ECOWAS Bank funds 47.7-km stretch of strategic 700-km road project• Lagos-Calabar highway seen boo...

Nigeria Secures $100 mln ECOWAS Bank Loan for Lagos-Calabar Coastal Highway
03

• Algeria grants commercial 5G licenses to top three telecom operators: Mobilis, Djezzy, and Ooredoo...

Algeria Awards Commercial 5G Licenses
04

• IFC teams up with AfDB and Nigeria’s EbonyLife to assess a new fund for African cinema• Sector cou...

IFC Plans Investment Fund to Help Grow African Film Industry
05

• Global coffee consumption projected to hit a record 169.4 million 60-kg bags in 2025/2026, up from...

Coffee: Global Consumption Expected to Reach Record Level in 2025/2026
Enter your email to receive our newsletter

Ecofin Agency provides daily coverage of nine key African economic sectors: public management, finance, telecoms, agribusiness, mining, energy, transport, communication, and education.
It also designs and manages specialized media, both online and print, for African institutions and publishers.

SALES & ADVERTISING

regie@agenceecofin.com 
Tél: +41 22 301 96 11 
Mob: +41 78 699 13 72
Média kit : Download

EDITORIAL
redaction@agenceecofin.com

More information
Team
Publisher

ECOFIN AGENCY

Mediamania Sarl
Rue du Léman, 6
1201 Geneva
Switzerland

 

Ecofin Agency is a sector-focused economic news agency, founded in December 2010. Its web platform was launched in June 2011. ©Mediamania.

 
 

Please publish modules in offcanvas position.