International gateway fees raised by Zambian government

22 Aug 2008

Disregarding opposition from telecom companies, the Zambian government has raised international gateway licence fees from USD12 million to USD19.5 million with immediate effect according to Network World. The rise makes Zambia one of the most expensive propositions for investors in the East African region; by comparison, the cost of acquiring an international gateway licence in Kenya and Uganda is USD214,000 and USD50,000 respectively. Mobile operator Zain Zambia had unsuccessfully petitioned the Zambian parliament in April 2008 to force the government to reduce the costs of the licences in order to increase competition in the market. Despite the deregulation of international gateways in other countries in the region, the Zambian government has refused to do likewise, claiming that it could risk the country’s security.

Zambia, Airtel Zambia