Friday
February 15
2019

Ethiopia’s plan to privatize and split up its mobile phone monopoly won’t be as easy as it looks

By Abdi Latif Dahir

After decades of a centralized economic model and antiquated socialist red tape, Ethiopia is opening up to the world.

Last year, the government announced plans to gradually privatize state-owned enterprises in a bid to expand the role of the private sector, increase foreign direct investment, revitalize the economy, and reduce unemployment and poverty rates. A 21-member advisory council was appointed to steer the process, and to help loosen state monopoly, both partially and fully, on enterprises including aviation, shipping and logistics, energy, and telecommunications.

The move was part of sweeping reforms introduced by prime minister Abiy Ahmed, who ended hostile relations with neighboring states, prioritized regional integration, and reduced the military’s stake in key infrastructural projects.

Photo courtesy of Internews Europe.

Source: Quartz Africa (link opens in a new window)

Categories
Technology
Tags
business, economic development, mobile phones, technology, telecommunications