Latest News

Possible South African investments in Ethiopian operator

Google+ Pinterest LinkedIn Tumblr

Two of the main key players in South African mobile operators, MTN and Vodacom, have shown interest in investing in the Ethiopian company Ethio Telecom.

Both companies have invested in many countries on the continent. Ethiopia was not one of them as the government wanted to keep this sector under its control. But their policy is changing and they have decided to consider opening Ethio Telecom’s capital to investors.

According to MTN, “Ethiopia presents many exciting telecommunication opportunities and we look forward to further discussions with that nation’s authorities on potential partnerships and opportunities.” and Vodacam stated that it “has said on many occasions that Ethiopia is an attractive market so it follows that there would be interest. Naturally this is dependent on what might become available and if it fits within our investment parameters.”

Abiy Ahmed, Ethiopian new Prime Minister, came to power with promises of reforms. This policy comes as a proof of his will to change the country’s economy. As a part of those reforms, Ethio Telecom is about to let eight companies to act as VISP (Virtual Internet Service Providers). The government hopes that is will allow to increase the number of users that is now 16 million out of 100 million inhabitants.

Write A Comment