Western Union and MTN Uganda launch Mobile Money transfer service (Uganda)
The Western Union Company and MTN Group have announced the launch of a mobile money transfer service in Uganda, allowing MTN customers to send and receive money across borders using just their mobile phones for the first time.
The service marks the debut of an offering from Western Union that allows the more than 2 million customers of MTN’s mobile money transfer service, Mobile Money, in Uganda to add funds to their accounts that were sent through Western Union’s system. Senders send the funds as they normally would – either in-person at 450,000 Western Union Agent locations in 200 countries and territories, from www.westernunion.com in 22 countries or directly from a bank account in select countries. The receiver of the funds simply chooses to pull the transaction into a MTN Mobile Money account.
The new service also enables MTN customers to send money internationally with Western Union directly from their Mobile Money accounts for cash payout at Western Union Agent locations worldwide or to subscribers of select mobile phone companies with which Western Union has agreements.
Western Union and MTN also announced today that they will provide 9,000 branded mobile ‘Yellow Phones’ to Ugandans. Customers who receive these phones must already have an active MTN Mobile Money account or sign up for one in order to use the new remittance service. The phones will be given away via ongoing promotions throughout Uganda over the next few months.
Diane Scott, Executive Vice President, Chief Marketing Officer and President, Western Union Ventures, said that Western Union is changing quickly and they are leading the way in bringing international remittances to mobile subscribers around the globe. Further, their network of nearly half a million locations, their experience in moving money across borders, and their relationships with the world’s most successful mobile operators such as MTN, ideally position them to introduce many people to cross-border financial services.
Scott also said that the mobile money transfer service will unlock new economic opportunities for thousands of underserved consumers in Uganda, whose financial needs are not being met elsewhere. By deploying these powerful tools for sending and receiving funds – particularly in areas lacking financial infrastructure – Western Union and MTN are helping to create more self-sufficient local economies.
Christian de Faria, MTN Group Chief Commercial Officer, said that MTN Mobile Money has seen great success in Uganda. They currently have more than 2 million Mobile Money customers, and continue to grow exponentially. By joining forces with Western Union, customers can now receive funds directly in their MTN Mobile Money accounts quickly and easily. MTN looks forward to expanding this offering in new countries with Western Union.
MTN has deployed its Mobile Money service in 12 markets, including Ghana, Cote d’Ivoire, Cameroon and Rwanda. Following the launch of the Mobile Money transfer in Uganda, MTN and Western Union plan to introduce the service in other countries where Mobile Money is offered, and where regulation permits international remittance.
MTN Uganda and American Tower to form joint venture (Uganda)
American Tower Corporation, a leading provider of wireless and broadcast towers worldwide, is reportedly planning to start a joint venture with MTN Uganda. According to reports, the joint venture titled ATC Uganda will acquire as many as 1,000 mobile data towers of MTM in Uganda at a price of US$ 175 million.
Further, sources suggest that American Tower is expected to have a 51 percent stake in the new venture with MTN controlling the remaining 49 percent stake. Reports reveal that Jim Taiclet, CEO and Chairman, American Tower has said that their strategy is to invest in select African markets with strong wireless growth potential and a positive investment climate. As per sources, the joint venture is expected to add 280 new towers for MTN Uganda in the next three years.
FDC calls for MTN boycott (Uganda)
Uganda’s FDC has called for a public boycott the services of the country’s largest mobile telecommunications company. MTN Uganda Ltd. is blaming it for disrupting the opposition poll tally center during the February 18 presidential polls.
The opposition FDC party has blamed MTN Uganda of intentionally jamming the telephone lines that the opposition had bought for its polling agents to transmit results to its tally center on February 18th. The opposition also accuses the company of giving campaign funds and free airtime to the ruling National Resistance Movement party.
MTN denying the allegations stated that it is considering legal action after a press conference last week cut up a collection of MTN supplied SIM cards and burned an MTN advertising sign.
As per MNT spokesperson, they have never received a formal complaint about the alleged jamming of the lines from the FDC.
African mMoney revenue to grow to $3 bn in 2015
A new study has revealed that in Africa, mMoney operator revenue as a percentage of total operator revenue will continue to rise to more than 5% in 2015, representing a nearly US$3 billion opportunity.
While Safaricom’s M-Pesa in Kenya has long been the lone success story in the mMoney universe, researcher can now see success being replicated in Uganda and Tanzania with similar mobile money offerings.
MTN Uganda’s MobileMoney service accounts for 3% of all airtime sold on its network, and Vodacom’s M-Pesa service in Tanzania currently has 6 million subscribers with exponential growth of 600% experienced in the past year alone.
From the beginning of March, mMoney offerings remain limited and are concentrated in just 22 of the more than 50 African countries.
Researchers believe that the African mobile money market has the potential to grow to a money-making market, but operators, banks and regulators need to work toward developing an enabling environment for business models that meet service providers’ revenue demands and offers needed by mMoney services to end users.
MTN Uganda halts plans to block calls to rival network
The Ugandan government has announced that MTN Uganda Ltd. has agreed not to block calls to a rival network operated by Libyan-owned Uganda Telecom Ltd. over unpaid interconnection fees.
According to Uganda’s Information and Communication Minister Aggry Awori, the government had agreed with the companies to solve the matter in an amicable way to avoid any inconvenience to the public. Last week, MTN Uganda–a unit of Johannesburg-listed MTN Group Ltd stated that Uganda Telecom owes it US$8.6 million in unpaid fees which have accumulated over a three-year period.
MTN is the country’s No. 1 mobile telecommunications company by subscribers and has at least 6 million subscribers. It had stated that it would block the calls from March 14 if the bill wasn’t cleared.
The termination would have blocked Uganda Telecom subscribers from making calls to MTN customers. MTN subscribers would also not be able to make calls to Uganda Telecom subscribers, estimated at 2 million. Uganda Telecom also stated that the amount demanded by MTN has been contested and the two companies are currently in the process of reconciling their accounts.
The Libyan Arab Portfolio, or LAP Green Network, holds a 51% stake in Uganda Telecom. The remainder of the shares is owned by the Ugandan government.
MTN Uganda warns to suspend connections with UTL
MTN Uganda has warned to stop accepting phone calls from its network to Uganda Telecom (UTL) over claims of unpaid bills for termination charges. The company claims it owes US$8.4 million from its commercial rival.
According to MTN, calls between the two networks could be severed as early as next week if the debt is not paid. MTN customers will therefore be unable to place direct calls to UTL subscribers and vice-versa.
As per Fatuma Nalubawa, a Uganda Telecom spokesperson, the company is looking into the matter and will deal with it appropriately. It was a small disagreement but it will be sorted out.
UTL has also been in dispute with Warid Telecom and Airtel Uganda over unpaid termination fees.
MTN reduces international roaming rates (South Africa)
MTN South Africa has announced that it will reduce the retail rates for international roaming on both voice and data with effect from today.
According to Serame Taukobong, Chief Marketing Officer at MTN SA, MTN Roaming is now an even more affordable and convenient means for MTN Pay-As-You-Go, Contract and Top-Up customers to always stay connected when travelling abroad.
MTN had introduced Seamless Roaming in March this year to provide MTN Pay-As-You-Go and Top-Up customers with the ability to load airtime using foreign airtime vouchers in Southern and Eastern Africa regions where MTN operates.
Serame Taukobong added that MTN has now decided to further reduce roaming rates to encourage customers to stay connected on the MTN network while travelling in Southern and Eastern Africa regions. This means that all MTN Pay-As-You-Go, Top-Up and contract customers can now travel with their MTN cell phones to MTN Uganda, MTN Zambia, MTN Swaziland, MTN Rwandacel and Mascom Botswana, and enjoy one of the most affordable roaming call and internet rates.
The new roaming rates have been revised substantially and will be charged as: International calls or calls to home (South Africa) at R5.00 per minute, Local calls at R3.00 per minute, Receiving calls at R4.00 per minute, Sending SMSs at R1.50 per SMS and Data at 25c per 25KB
According to Taukobong, with the new voice and data rates, it is intention to encourage company’s loyal customers to make the most of the MTN network, no matter where they roam in Southern and Eastern Africa. The company is also encouraging customers to ensure they comply with RICA requirements by simply taking their ID and proof of residence to their nearest MTN store, thereby ensuring they experience uninterrupted service during their travels.
Uganda Telecom sued by MTN for contract breach
www.WirelessFederation.com/news: A case has been filed against Uganda Telecommunications Ltd (UTL) by MTN Uganda in the Kampala High Court’s Commercial Division for unpaid interconnection fees, seeking UGS7.2 billion (USD3.55 million).
UTL has been accused of breach of contract by MTN which claimed that February 2001 its management entered into an agreement with UTL to interconnect their respective networks, as required by their respective telecoms licences awarded by the Uganda Communications Commission.
According to MTN, in accordance with the interconnection charges that were detailed in the agreement its management issued invoices to UTL, but that the state-owned telco failed to pay them. MTN has asked for a court order compelling UTL to pay the owes plus interest, damages and costs.
MTN Uganda’s former employees charged over free calls scam
www.WirelessFederation.com/news: MTN Uganda’s former employees James Clinton Benio, a contractor, Patrick Muhoozi, an offline administrator, and Douglas Kibuuka, a system analyst; have been charged with attempting to defraud the company of up to US$5.1 million. All the three have been remanded to prison.
It has been alleged that the three employees modified SIM cards through which they could make calls without triggering billing records on the network. This effectively enabled the users to make unlimited free phone calls.
The offences were allegedly committed in December 2009 and January this year. It has also been alleged that the offences were committed even after knowing that it would cause loss to MTN.
