In Ethiopia, Ethio Telecom, the state-owned telecommunications company, is asking the Ethiopian Parliament to implement policies that would make land acquisition easier to help expand its network across the country. Frehiwot Tamiru, the CEO of the company, shared this request during her speech to the Parliamentary Committee on Public Enterprises and Institutional Affairs.
According to Ms. Frehiwot, inadequate land acquisition procedures, especially in urban areas, are the main obstacle to expanding the company’s infrastructure. She explained that Addis Ababa is the hardest city in which to install towers, unlike rural areas, where the situation is much better.
This request comes as Ethio Telecom plans to invest US$1 billion in FY2024-2025 to expand its network coverage. The company intends to deploy 1,298 new mobile sites, including 165 in rural areas. It also plans to build 320,000 new fibre optic distribution lines, install 1,553 kilometres of metropolitan fibre, and extend its national network by 400 kilometres, increasing its total length to 22,200 kilometres.
In addition, the Global System for Mobile Communications Association (GSMA) reports that in 2023, 4G covered 33% of Ethiopia’s population, while 5G reached just 1%. The 2G and 3G networks covered 99.1% and 98.5%, respectively. The GSMA also notes that mobile phone penetration was 40% in 2023, with 100 million Ethiopians still not connected to mobile internet.
While resolving land issues could help speed up the network expansion, other significant challenges remain. Ms Frehiwot mentioned insecurity, poor road access, lack of commercial electricity, vandalism, fraud, and financial constraints as additional barriers. The company also seeks funding to support its US$1 billion investment project.
