Safaricom misses target to resume full operations in Ethiopia

Telecom provider SafariCom, a subsidiary of Vodafone, has faced yet another setback in commencing fully-fledged telecommunications services in Ethiopia this month. The much-anticipated launch, expected in August, has been marred by delays attributed to various operational hurdles. Brook Taye, the advisor to the Minister of Finance in Ethiopia, shed light on the intricate challenges SafariCom has encountered as it navigates the complex telecommunications landscape in the East African country. The company's ambitious plan to roll out its services in stages, starting from Bredoa in the eastern region, before expanding to 25 cities, has hit roadblocks causing delays in the implementation timeline. Despite significant investments in equipment, procurement, data centers, and workforce, the full realization of SafariCom's services is now projected to materialize in the coming months. Taye elaborated on the key obstacles thwarting the operational progress, emphasizing the meticulous process of deploying infrastructure, negotiating with incumbent operators, and ensuring regulatory alignment. Infrastructure development, tower installations, location scouting, and infrastructure sharing agreements with Ethiopia Telecom have surfaced as critical bottlenecks affecting SafariCom's launch timeline. The intricate negotiation process to establish co-location agreements and infrastructure sharing protocols has been a time-consuming endeavor for SafariCom. The need for meticulous planning, resource allocation, and regulatory compliance has necessitated a phased rollout strategy for SafariCom's entry into the Ethiopian market. Taye underscored the significance of reaching operational milestones within the stipulated timeframe, highlighting the contractual obligation to achieve significant population coverage by next year. The commitment to providing comprehensive services encompassing voice, data, and other telecom offerings underscores SafariCom's pledge to transform the telecommunications landscape in Ethiopia. The strategic imperative to extend services to 25% of the population by April 2023 validates SafariCom's dedication to expanding its network reach across key cities in Ethiopia. The meticulous planning, strategic deployment strategy, and regulatory alignment signify SafariCom's commitment to fostering a digital ecosystem conducive to economic growth and innovation. The holistic approach towards enhancing service quality, reducing costs, and expanding network coverage epitomizes the transformative potential of SafariCom in bridging the digital divide in Ethiopia. The focus on delivering efficient services, automating government processes, and enhancing connectivity for educational institutions underscores SafariCom's pivotal role in accelerating digital transformation in Ethiopia. The forthcoming provision of mobile financial services licenses to foreign operators, including SafariCom, reflects the government's commitment to fostering financial inclusion and driving digital innovation in the Ethiopian market. The ongoing legislative amendments to enable foreign companies to engage in mobile money businesses signal a progressive shift towards a more inclusive and competitive financial services landscape in Ethiopia. Overall, SafariCom's strategic roadmap, operational challenges, and regulatory milestones are emblematic of the transformative journey towards a more connected, digitally empowered Ethiopia.