The government of Ethiopia has pushed back the privatisation of the state-owned entity Ethio Telecom. According to the Ethiopian Minister of Finance, the decision to postpone came after “recent developments and fast-moving macroeconomic changes,” locally and internationally, mentioned the ministry on their Twitter account.
“It is the view of the government of Ethiopia that delaying the acquisition will allow the improvement of macroeconomics and the financial indicates of Ethio Telecom, increasing value for all parties involved and in particular the citizenry of Ethiopia,” the media statement said
Opening Ethio Telecom would make the behemoth carrier with 44 million subscribers more competitive and efficient.
In June, 40 percent of the stake of the Telecommunication provider was sold and a few months later invited proposals from interested parties. In the bid to break up the monopoly over the sector, in 2021, the Ethiopian government issued a tender to award two licences to private telecommunication operators.
In late May, a licence was given to a consortium headed by Kenya’s Safaricom, which offered $850 million and promised to invest $8.5 million.