Ethiopia plans to award telecommunications licenses to two new operators in 2020, Moneyweb reports.
The two mobile operators are expected to apply for one of the two available permits in a consortium alongside two unnamed financial institutions, according to Safaricom CEO Michael Joseph.
A successful bid for one of the two available licenses is expected to be in the billion-dollar range, Reuters reports.
Ethiopian Prime Minister Abiy Ahmed is opening up the telecoms sector as part of his agenda to boost one of the world’s fastest-growing economies and attract foreign investment.
State-owned provider Ethio Telecom enjoys a monopoly in the East African country. Ethio Telecom is expected to be partly privatized in early 2020.
Listen to GHOGH with Jamarlin Martin | Episode 68: Jamarlin Martin
Jamarlin talks about the recent backlash against Lebron James for not speaking up for Joshua Wong and the violent Hong Kong protestors.
Ethiopia, — population, 108 million people — could be a major market for any new entrant.
Safaricom CEO Joseph has referred to Ethiopia as “the biggest prize left in Africa from a telecoms point of view”.
Once the license is secured, Joseph said he believes that another $1 billion may be required to build the required network to compete with Ethio Telecom and others, according to Moneyweb.
#1 Macroeconomic Newsletter For Black America