Telecom Liberalization Spurs Cross-Sector Economic Growth, Says Ethiopian Technology Minister

Addis ababa: Ethiopia’s ongoing efforts to liberalize its telecommunications sector are a clear example of how public-private partnerships can drive substantial economic progress across various sectors, according to Yeshurun Alemayehu, the State Minister of Innovation and Technology. Speaking at the launch of the “Driving Digital Transformation of the Economy in Ethiopia” report by GSMA and Ethio Telecom, Alemayehu emphasized that the collaboration between government and private industry is key to the nation’s economic development.

According to Ethiopian News Agency, the event, held in Addis Ababa, featured a panel discussion with key industry stakeholders, including CEOs from Ethio Telecom, Safaricom Ethiopia, GSMA, and ZTE. Alemayehu highlighted Ethiopia’s achievements in digital transformation and the government’s proactive stance in fostering an environment conducive to innovation and entrepreneurship. He underscored the importance of the Digital Ethiopia 2025 strategy, which aims to leverage digital tec
hnology for economic diversification and inclusive development.

Alemayehu outlined the strategy’s focus not only on advancing the ICT sector but also on integrating technology into crucial areas such as agriculture, health, education, and finance. Despite the notable progress, he acknowledged ongoing challenges like the digital divide, skill gaps, and privacy concerns, which he believes can be addressed through effective policies and partnerships.

Ethiopian Communications Authority Director General, Balcha Reba, detailed the regulatory reforms and infrastructure investments that have bolstered the telecom sector’s growth. He noted a substantial increase in the sector’s revenue, rising from 30 billion Birr in 2018 to a remarkable 93 billion Birr last year, alongside significant tax contributions. Reba also pointed to the growing number of mobile broadband subscribers and the collaborative efforts between Ethio Telecom and Safaricom Ethiopia.

Ethio Telecom CEO, Frehiwot Tamiru, added that the number of mobil
e users in Ethiopia has surged from 37 million in 2018 to 79 million, with internet users increasing from 16 million to 46 million. GSMA Global Chief Regulatory Officer, John Giusti, remarked on the impressive expansion of 4G coverage since the telecom market was opened, highlighting the vast opportunities for investment and infrastructure development.

These developments underscore the transformative potential of Ethiopia’s telecom liberalization, serving as a catalyst for growth across various sectors and enhancing service delivery to the country’s citizens and businesses.