MTN Group Limited is looking to cement its influence in East Africa as it scouts for $60 million syndicate loan to upgrade its network in Rwanda.
The South Africa-based multinational mobile telecommunications company hopes the seal the deal before the end of November this year to facilitate its competition in the telecom industry.
In addition to funding its upgrade development plan, its subsidiary in Rwanda mulls selling its shares on Rwanda Stock Exchange (RSE). It would follow a similar move by the company in Nigeria, where it sold its shares as well in Lagos. Currently, Nigeria’s market is the largest for the business.
MTN Group could launch mobile money services in Nigeria around the Q2 2019. The firm has applied for mobile banking license as it looms to better e-commerce services. “We will be applying for a payment service banking license in Nigeria in the next month or so, and if all goes according to plan, we will also be launching Mobile Money in Nigeria probably around Q2 of 2019,” Rob Shuter, MTN CEO said.
Similarly, MTN Group could introduce the mobile money services in its home country. Mobile money is proving to be an integral aspect; as mobile connectivity continues to widen in the market. Technology and innovation are changing the dynamism of doing business as well.
The economic retrogression in South Africa may have spurred the move by the telecom firm as it seeks to gain popularity and dominance in the competitive industry. However, still, with the uncertainty in the business environment, MTN has managed to stay on the surface.
More relieving news is the launch of MyMTN App by MTN Rwanda. The unit becomes the first Rwandan telco to launch a mobile application. According to a release this application is an all-in-one self-care tool enabling MTN customers to self-serve, and engage with customer service online, and everywhere they go.
With the Mobile Money and MyMTN Self-Care, MTN can serve its customers effectively and lure new subscribers to its platform. During the launch, Desire Rudahunga, MTN’S Senior Manager for Operations said: “It is a step forward toward our goal of making easy our customer service. Most of the transactions that had been previously done via USSD codes will be done directly with the app and our customers will no longer need to memorize multiple shortcodes that are currently being used in different transactions.”
As of 30 June 2016, MTN recorded 232.6 million subscribers across its operations. It serves around 56 million people in Nigeria and over 3.6 million in Rwanda. Rwanda ranked better in 2019 Ease of Doing Business World Bank report which should give MTN Group more hope to invest in the country.
Its dominance in East Africa goes beyond South Sudan and is interested in venturing into the Ethiopian market.