Rwanda telco competition hots up

Rwanda telco competition hots up
Staff Writer
By Staff Writer, ITWeb
04 May 2012

MTN Rwanda, the largest mobile provider in the country, has cut its data prices in half as it looks to maintain its leadership in the market after the entry of India’s Bharti Airtel.

The price of MTN’s 250Mbyte data package has been cut from Rwf6,000 to Rwf3,000, while the 500Mbyte and 5Gbyte tariffs have also been cut in half to Rwf5,000 and Rwf15,000 respectively.

The halving of the price of mobile data bundles for post-paid and top-up users comes just months after the operator cut its call prices.

A mobile price war has been underway in the country even prior to Airtel’s arrival, with MTN, which controls 65% of the market, seeking to ward off competition from rival Tigo.

MTN Rwanda has already reduced its prices by 33% and 52% respectively for prepaid and post-paid customers in order to better compete with Tigo.

Rwanda is amongst the fastest growing telecoms markets on the continent, with Rwanda Utilities Regulatory Agency (RURA) reporting that mobile penetration was up to 41.6% in December 2011, up from 40.2% in September and 25% in December 2010.

“We continue with our aggressive push for market penetration, especially in rural areas,” said Yvonne Makolo, MTN’s chief marketing officer.

Airtel, ranked as one of the top five telecoms globally, launched its mobile operations in Rwanda last month.

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