Ethiopia to sell stake in Ethio Telecom to encourage competition

By professo

The Ethiopian government has announced plans to 30-40% stake in Ethio Telecom, the state-owned telecommunications company.

The government has made the decision in a bid to remove the telco from its monopolised position by splitting it in two, Reuters reported.

The news was announced on 18 June by the nation’s Prime Minister, Abiy Ahmed, who noted the goal of creating competition in the industry.

“There will be two telecom corporations and shares will be sold in both,” stated Ethiopia’s Prime Minister, claims Reuters.

SEE ALSO:

“Somalia, with a population of 12 million, has four telecommunications firms. Ethiopia, with 100 million people, has one. There needs to be competition in the country.”

It is anticipated that Ethiopia, a country with an untapped telecoms market, could receive a large rise in investments from firms who want to work with the government.

The shares will be sold to the top 10 globally ranked firms in the industry, the Prime minister confirmed, with Vodacom and MTN having expressed interest.

“There will be one year or two years of intensive study taking place (before the shares of Ethio Telecom are sold).”

Share

Featured Articles

Meet the COO: Brook Sims of MAC Diversity Recruiters

Passionate about helping others find their voice, diversity leader and COO Brook Sims talks powerful leadership, diverse teams and being a change agent

Best business books to improve leadership strategy

From strategic guides to inspiring CEO memoirs, these new books dish up plenty of principles, strategies, and anecdotes to help you become a better leader

Shoplazza founder and CEO Jeff Li, ex Baidu, on leadership

Named in Fortune China’s 40 under 40 for 2022, former Baidu head Jeff Li is the entrepreneurial founder and CEO of ecommerce platform Shoplazza

The office shifts to new way of working – workplace special

Leadership & Strategy

Trailblazer: Clorox's DEI leader Shanique Bonelli-Moore

Sustainability

The inspirational CEO story – Dean Forbes of Forterro

Leadership & Strategy