Mobile phone users in Ethiopia and South Africa are set to benefit from lower calling rates between operators, as African communication regulators implement pricing models aimed at providing more competitive prices for consumers.
In Ethiopia, the Communications Authority has adopted a top-down pricing model that will result in a 25% drop in mobile termination rates, from US$ 0.0054 to US$ 0.0044 per minute by May 1, 2024. This move is intended to promote competition among operators and offer consumers more choice and competitive prices on off-net calls.
Meanwhile, in South Africa, the Independent Communications Authority is working on a wholesale model that will see large operators like Vodacom and MTN reduce their mobile termination rates from US$ 0.0047 to US$ 0.0037 per minute by July 1, 2024. Small operators and new entrants will also see reductions in their termination rates, further enhancing competition in the market.
Kenya has already experienced savings in calling rates, with the Communications Authority reducing Mobile Termination Rates from US$ 0.0043 to US$ 0.0031 per minute. This has led to changes in cross-network rates by Airtel Kenya, with the hope of further reductions in the future to benefit consumers.
Overall, these regulatory changes aim to create a more competitive and consumer-friendly telecommunications landscape in Africa, providing users with more affordable and flexible calling options across networks. With ongoing efforts to lower termination rates and promote fair competition, mobile phone users can look forward to enjoying cheaper calls and better services in the coming years.