With the wave of changing technology advancement and innovations in Uganda, the government is still struggling to come up with updated laws to regulate the telecom firms. Sector players keep on introducing new technologies and products on the market. The telecom companies say that they are not sure of the country’s ICT sector when it comes to current or future legislation making it hard to do business in Uganda.
Telecom firm giant MTN Uganda’s CEO, Wim Van Halleputte, says this current situation has caused uncertainties making it difficult for them to scale up investment. Speaking today at the Annual Joint Sector Review Workshop organized by the Ministry of ICT, he said;
It is so important to investors to know what regulation and obligations are there or going to be there for them to take wise long term investment decisions. There is a trend over the last few months is that there is a certain slow down in the investment cycle of the private sector. Because, without long term visibility there cannot be long term investment.
Mobile telecom firms in Uganda now want government’s assurance before they commit on any long term investment. The ICT Minister Hon. Frank Tumwebaze unveiled government plans to streamline the sector at this workshop.
He revealed that the government has set up minimum mobile internet speeds for telecom firms in Uganda and also announced that 2G mobile networks should be phased out in favor for newer and more efficient 3G and 4G-LTE networks. He said;
The minimum acceptable mobile internet speed should be 3G for the rural areas because of the cost of connectivity. Lets also look at affordability in terms of dedicated internet and how do we compare with other countries. Internet to schools, businesses and other established outlets which are billed monthly, I believe the cost there is still high.
Telecom firms in Uganda are concerned about the cost of delivery of mobile data. The MTN CEO stressed the fact that the cost of delivering mobile data in Uganda is by far higher than the price that consumers are paying today. Doris Mvano, Africell’s Business Analyst said that the telecom companies must be appreciated for different affordable bundles and products and services that they are trying to offer.
