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 Egypt’s MobiNil objects suggested cut in interconnection rates

  • November 5th, 2008
  • 5:38 am

According to a media report, MobiNil, Egypt’s leading mobile operator in terms of subscribers has proclaimed that it might accept a drop in interconnection rates, but that levels suggested by the regulator were ‘not reasonable’. MobiNil states that changes to interconnection rates between fixed line incumbent Telecom Egypt (TE) and itself should be part of a broader package of changes. Alex Shalaby, Chairman of MobiNil, noted, ‘We are in very serious discussions and I daresay disagreements on points of view with the regulator on a drop they are suggesting for interconnection between the fixed and the mobile networks’, and it is understood that the cellco is considering legal action over the ruling. The issue has arisen following a decision in favour of TE by the National Telecommunications Regulatory Authority (NTRA) that changed interconnect prices between fixed and mobile networks.

TE had requested that MobiNil drop its interconnection rates to below EGP0.15 (USD0.03) for termination on MobiNil’s network, and EGP0.10 to terminate on the fixed line network, disclosed Shalaby. It is antcipated that MobiNil is ready to accept reductions in the interconnection rates but only as a part of a package including measures in the leased line sector, which the cellco has argued is priced higher than its international counterparts.

 Telecom Regulatory Authority delays auction of second fixed licence (Egypt)

  • September 17th, 2008
  • 7:20 am

In response to the changing scenario in international market, TelephoneEgypt’s National Telecom Regulatory Authority Board of Directors has come to the decision to defer the auction of the second fixed license for a year. This decision was issued in the light of the discussions that took place between the NTRA and the 12 companies that bought the specifications handbook. The ICT international markets in Europe and the United States are facing major fluctuations due to the increasing inflation rates and the increasing prices. The ICT investments worldwide are accordingly shrinking. Therefore, the decision was taken to postpone the license until a tangible improvement in the international market is witnessed. It is worth mentioning in this regard that the investments of the second fixed license are not expected to be less than one billion dollars during the first years of operation, said, Dr. Amr Badawi, the Executive President of the NTRA. NTRA supports this decision so as to make sure the participation of more companies and therefore ensure the biggest revenue for the welfare of the state treasury.