Wireless Federation

Rwanda’s mobile industry expected to witness unprecedented change (Africa)

On 11.28.11, In Mobile, By Editor

Emerging markets such as Rwanda have shown great potential for growth in the telecom industry. With leading telecom giant, Bharti Airtel, entering the mobile segment in Rwanda, mobile phone users are bound to experience a wider range of services and more competitive pricing.

According to reports, industry analysts believe that the increasing amount of investments from international firms are going to help Rwanda’s mobile phone segment, reach newer heights. Bharti Airtel’s investment of US$ 100 million in Rwanda, will have a significant impact on the country’s economy, by driving competition and furthering the overall growth in the industry.

Prior to Airtel’s entry in the market, Tigo Rwanda witnessed great success by adding as many as one million subscribers within three years of its launch, thereby bringing in the first signs of competition in the stagnant market with only two operators – MTN and Rwandatel.

As per sources, all operators have been working at ways to counter Airtels’ entry strategies, which is expected to be on the basis of price wars, in an attempt to maintain their market share. However, the next year is likely to bring many surprises for Rwanda’s mobile industry which could change the entire structure of the current market.

Tigo rewards 210 customers in the ‘Reload and Win’ promotion for mobile money (Rwanda)

On 10.19.11, In Mobile Operators, By Editor

Tigo Rwanda launched a promotion called ‘Reload and Win’ in an effort to encourage users to use the e-wallet service on their mobile handsets. The promotion which began on September 29, 2011 has already resulted in 210 happy winners and will continue till October 30, 2011. As per reports, the winners receive various gifts ranging from cash, mobile phones, tablets and other gadgets. The cash prize winners are awarded money through ‘Tigo Cash’, the company’s mobile financial service allowing subscribers to transfer money with anyone in Rwanda via their mobile phone.

According to reports, Jolly Igoma, Advertising and Media Manager, Tigo, has said that all Tigo prepaid subscribes could participate in the new promotion by simply reloading $0.33 per day. She added that the winners are randomly picked and announced in the presence of a certified notary who uses computerized software to select the winners. Further, she also said that Tigo launched another promotion termed ‘Browse till you drop’ allowing Tigo internet customers to surf for the entire weekend from October 14 to October 16 for only $ 0.82.

Filed under:Mobile Operators Tagged with: e-wallet • Jolly Igoma • mobile money • Promotion • reload and Win • Rwanda • Tigo

Bharti Airtel to offer 2G and 3G services in Rwanda (Africa)

On 09.12.11, In Mobile Operators, By Editor

Bharti Airtel has obtained licenses to operate 2G and 3G services in Rwanda, for which it plans to invest US $100 million over the next three years. With this license, Rwanda is the 17th country in the African continent to receive Airtel services.

According to reports, Sunil Mittal, Chairman and Managing Director, Bharti Airtel said that they were pleased to be part of the vision of the Government of Rwanda to take telecommunications forward as a priority. He added that they will work with the government to bring affordable and best in class mobile services that add value to the lives of people of Rwanda and contribute towards bridging the digital divide in the country. Further, he also said that Rwanda is a key telecom market with immense growth potential which will strengthen Bharti Airtel’s footprint in East Africa. Rwanda is amongst the fastest growing telecom markets in Africa. Sources claim that according to the National Statistics Institute of Rwanda, the mobile penetration in the country was 38.4 per cent as of July 2011.

As per reports, Minister in the President’s Office in Charge of ICT, Ignace Gatare welcomed Bharti Airtel to Rwanda and expressed confidence that its experience in operating in emerging markets will add immense value to telecommunications sector in Rwanda. He said that they are entering an exciting era in telecommunications in Rwanda, which entails bringing advanced broadband wireless services at more competitive prices and allowing more people in rural areas to access mobile technology. He added that this also marks the largest investment out of India into Rwanda and will be invaluable in enhancing the economic co-operation between the two nations.

Filed under:Mobile Operators Tagged with: 3G • Africa • Bharti Airtel • India • Rwanda

Rwanda mulls issue of one more telecoms license

On 08.10.11, In Mobile, By Editor

rwandatel

The Rwandan Government is known to be trying to figure out how to offer one more telecoms license so as to take the place of the vacant spot left behind as a result of Rwandatel’s mobile license being revoked, in addition to the court ruling the sell-off of the assets belonging to the company and then settle contentions with creditors.

Rwansatel’s license was revoked back in April this year following the company’s failure to meet license obligations with regard to investment plan, coverage, rollout plans, in addition to quality of services.

The Registrar General of Companies on behalf of the government had also filed a case in a bid to liquidate the company in the wake of its liabilities exceeding the assets value. The Court of Nyarugenge, Kigali City, recently ruled in favor of the government and the company is all set for liquidation which means that the Government will have to wait until Rwandatel assets are sold prior to issuing another license to the company, or a new license issued.

According to Information communication Technology (ICT) Minister in the Office of the President Mr. Ignace Gatare, a technical team is working on the terms based on which the license would be issued.

At present, MTN Rwanda and Tigo Rwanda happen to be the only telcos that offer mobile communications services. According to sources, the two operators witnessed a 3.7 million mobile subscribers growth in May, representing a penetration level of 36%. On the other hand, the revocation of Rwandatel license, in addition to the court order for liquidating the company’s assets has raised questions over the independence and capacity of Rwanda’s Telecoms regulator.

Filed under:Mobile Tagged with: operator • Rwanda

Court orders Rwandatel liquidation; telco to hold meeting with creditors (Rwanda)

On 08.02.11, In Mobile, By Editor

Rwandatel

Rwandatel is a telco based in Rwanda. The company stated that it is bracing up for holding meeting with its creditors, in the wake of an ordered liquidation by a local court so as to be able to repay debts.

The telco’s debt is estimated at close to $89 million while the company’s assets are valued at just $50 million. In addition, Rwandatel was ordered to close down its GSM network early this year, in view of claims by the regulator that the telco had failed to abide by the license obligations.

Sources have quoted Rwandatel’s Administrator, Richard Mugisha saying that according to the provisions by means of the law, the company is mandated to meet with its creditors to agree on resolutions and approve a managerial team to oversee the company during the process.

Adding that when the company’s assets are successfully sold off, they shall discuss with the different institutions and individuals whom they owe, when and how the payment process will be implemented.

LAP Green, the Libyan investment group owns 80% stake in the telecom company while the Social Security Fund of Rwanda (SSFR) 20 percent.

Filed under:Mobile Tagged with: Libya • operator • Rwanda

MTN gives the thumbs up to stock market flotation (Rwanda)

On 07.05.11, In Mobile, By Editor

South Africa based MTN has spoken in support of the Rwandan government’s plans to float its 10 percent holdings in MTN Rwanda. The flotation of the shares is expected to be done in the local stock market which stands to end the rumors of MTN trying to buy out the stake instead.

Earlier, it was made known by the government that it was looking for buyers of its portion of the holdings in the company. On the other hand, it was also exploring avenues to give its recently opened stock exchange a shot in the arm by way of floating state-owned companies.

According to Shauket Fakie, MTN Group Executive in charge of business risk management, they have not yet finalized how they would structure their shares. They wish that the public own what they have contributed in shaping Rwanda.

Technically, MTN that owned 55% majority stakes in the Rwanda subsidiary was wont to approve of the plans to float the government’s stake on the stock market.

According to sources, the market share of the telecom industry in Rwanda for MTN, Rwandatel and Tigo stand at 53%, 33% and 14% respectively – the only three companies currently operating in the country.

Filed under:Mobile Tagged with: operator • Rwanda • South Africa

WiMAX networks names its new chief executive officer

On 06.30.11, In Mobile, By Editor

WiMAX networks are managed by Augere Holdings under the umbrella of the Qubee brand. Former Vodafone Ghana CEO, David Venn has been named its new chief executive officer. Previously, Sanjiv Ahuja was the CEO of the operator.

Sanjiv Ahuja keeps the executive chairman of Augere position. His primary role will now be chairman and CEO LightSquared, the LTE network based in the USA though.

David had also carried out responsibilities as CEO of Celtel Zambia prior to being appointed CEO of Vodafone Ghana.

Harbinger Capital, France Telecom, New Silk Route and Vedanta Opportunity Fund as well as its founder, Sanjiv Ahuja constitute the principal shareholders of Augere.

At the moment Augere holds spectrum access in Pakistan, Bangladesh, the states of Madhya Pradesh and Chhattisgarh in India, Uganda, Rwanda and Tanzania while aggressively going after spectrum in Africa and Asia.

Under the Qubee brand, Augere had launched its first commercial wireless network in Pakistan in July 2009. Then the Bangladesh network had followed in October 2009. As of mid 2011, Augere operates widely reaching wireless networks. Its network is powered by more than 650 radio base stations and serves more than 100,000 broadband customers.

Filed under:Mobile Tagged with: Bangladesh • France • Ghana • India • operator • Pakistan • Rwanda • Tanzania • Uganda • USA • Zambia

Rwanda to launch SIM registration

On 05.25.11, In Mobile, By Editor

Rwanda is reportedly planning to implement a SIM card registration scheme, to control criminal acts made by mobile phone users.

According to Regis Gatarayiha, head of the Rwanda Utilities Regulatory Agency (RURA), the regulator is working on the issue with the minister in charge of ICT and aims to implement a policy within six months of the government approving legislation.

Gatarayiha also added that the regulator is carrying out a study that is expected to recommend new interconnection fees.

Filed under:Mobile Tagged with: Mobile • Rwanda

Tigo Rwanda introduces mobile money payment service

On 05.16.11, In Mobile, By Editor

Tigo Rwanda has introduced mobile money services, targeting subscribers with limited or no access to banking services.

Tigo Rwanda is the second operator to launch mobile money services in the country following the local unit of MTN in February 2010, which had around 260,000 customers as of March 2011.

Tigo has similar services in Ghana and Tanzania. With about 3.3 million mobile subscribers shared between MTN and Tigo as of January 2011, Rwandan mobile users can use the technology to deposit and withdraw money and can pay electricity bills and school fees via text messages.

According to CEO Tom Gutjah, Tigo Cash is basically a wallet on your mobile phone. Tigo Cash can send between USD1 and USD 550.

MTN Rwanda states that it has transferred more than USD 22 million in mobile payments since February 2010 and is targeting 300,000 subscribers by end-2011.

Filed under:Mobile Tagged with: Ghana • operator • Rwanda • Tanzania

Government seeks to sell MTN Rwanda shares

On 05.12.11, In Mobile, By Editor

The Rwandan government is seeking to raise US$0.04 billion from the sale of its shares in Bank of Kigali (BK) and MTN Rwanda.

The Treasury will include the expected proceeds from the sale of the assets in the budget for the coming fiscal year.

According to John Rwangombwa, the Minister of Finance and Economic Planning, the move is part of the government’s commitment to promoting accelerated economic growth and to liberalise the market. The government was in talks with MTN Group, which has first right of refusal on the shares.

MTN Group is the majority shareholder in MTN Rwanda, with the Rwandan government holding 10 percent.

Filed under:Mobile Tagged with: operator • Rwanda • USA