Wholesale telecommunications provider Botswana Fibre Networks (BoFiNet) has announced plans to lower tariffs by approximately 20 to 25%.

The newly formed BoFiNet said the prices will be brought down in the next six months.

“I cannot sum it yet but we may go down by approximately 20 to 25 per cent,” Ratsela Mooketsi, BoFiNet’s board chairman told media.

“This is to catalyse competition in the market to breed better prices and good services which are beneficial to the consumer at the end.”

Mooketsi said the company entered the market at a lower price and also has intentions bring costs of connectivity down while improving internet speeds.

In addition, BOFINET intends implement Dense Wavelength Division Multiplexing (DWDM) system to help its network carry more traffic efficiently.

“Basically with this new system we are expanding without necessarily having to buy new equipment. We are scaling up supply without additional infrastructure costs. We are allowing more wholesale customers to buy bandwidth network from our cables,” Mooketsi said.

Established at the value of P78million, state-owned BoFiNet is set to take over operations of managing backbone infrastructure for voice and data provision from Botswana Telecommunication Corporation (BTC).

Government plans to privatise BTC in 2014. But in the meantime, BTC has become a retailer of services while BoFiNeT has been created to specifically handle the wholesale infrastructure business.