MTN Group and Airtel Africa Partner to Boost Digital and Financial Inclusion in Uganda and Nigeria
In a significant move to enhance digital and financial inclusion across Africa, the MTN Group and Airtel Africa have announced a strategic partnership to share network infrastructure in Uganda and Nigeria. This collaboration is aimed at improving service delivery and expanding coverage to millions of customers, particularly those in remote and rural areas who currently lack access to modern connectivity.
Airtel Africa made the announcement via a statement on Wednesday in Lagos, emphasizing that both companies are committed to ensuring the agreements comply with local regulatory and statutory requirements. The infrastructure-sharing agreements are designed to achieve improved network cost efficiencies while providing enhanced mobile services to users.
According to Ralph Mupita, President and CEO of MTN Group, the demand for data services across the continent remains strong. “As MTN, we are dedicated to delivering digital solutions that bolster Africa’s progress,” Mupita stated. “We continue investing in coverage and capacity to ensure our customers enjoy high-quality connectivity.” He also highlighted the potential benefits of resource sharing within regulatory frameworks, which can drive significant cost efficiencies and returns.
Sunil Taldar, Managing Director and CEO of Airtel Africa, echoed this sentiment, noting the competitive landscape among telecommunications companies (telcos) in Africa. “While we compete based on our brand and services, we are also focused on building common infrastructure within the regulatory framework,” Taldar stated. This collaborative approach aims to create a robust digital infrastructure while discouraging the unnecessary duplication of costly resources.
The initiative aligns with a growing global trend toward network sharing, allowing telecom operators to explore innovative, pro-competitive solutions to enhance service quality while effectively managing costs. Taldar remarked, “By sharing infrastructure, we can extend world-class, reliable mobile services to a broader customer base across Africa.”
Following the agreements in Uganda and Nigeria, both companies are considering further opportunities in other markets, including Congo-Brazzaville, Rwanda, and Zambia. The types of agreements being explored include Radio Access Network (RAN) sharing, commercial and technical agreements for fiber infrastructure sharing, and potentially constructing fiber networks.
It is important to note that throughout this collaboration, MTN and Airtel will continue to operate as independent entities in the market, maintaining their competitive presence while also being open to partnerships with other operators in their respective regions.
This strategic alliance between MTN Group and Airtel Africa marks a crucial step toward empowering communities with better connectivity and access to essential digital services, ultimately fostering economic growth and development across the continent.