Thursday, 3 October 2013

Tanzania Telecommunications Report Q4 2013

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Tanzania Telecommunications Report Q4 2013
Oct 2nd 2013, 00:00

Price: $ 1295  

BMI View: Growth in Tanzania's mobile market remains slow for a country with a penetration rate of less than 60%. BMI attributes this to limited network coverage in remote and underserved areas, where the majority of the population live. Although some operators plan to invest in network deployment in rural areas, the government's decision to increase taxation of the telecoms sector is a major disincentive to network expansion. As low profit margins mean operators are unwilling to absorb new taxes, they will be passed on to consumers, leading to higher tariffs, diminished demand and poor chances of recouping investments in rural roll-outs. Therefore, we believe operators are more likely to pursue revenue growth by providing advanced data services in urban areas, which will offset the impact of decl ...

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