Kenya: Citizens Paying Dearly for Internet Access

Kenyans are paying 37 times more for international telecommunications access compared to countries that have broadband access.

This has increased the cost of doing business and robbed the country of competitive advantage in export markets.

Currently, companies connect to the outside world via satellite at $7,500 per megabite per month as compared to other countries like India who pay $200 for the same capacity through broadband connection.

Microsoft managing director East and South Africa region Louis Otieno said the high costs had hampered realisation of benefits arising from the population being more IT literate.

“The high cost is curtailing the use of technology to generate wealth,” Mr Otieno said.

However he acknowledges the efforts being done by the government to fast track the under sea fibre optic project which is envisaged will lower the cost of connectivity.

The cable project, which is expected to land in the port of Mombasa by first quarter of next year, will lower the cost to $500 per megabit per month. Mr Otieno said Kenya should put in place laws regarding electronic commerce by adopting and customising those in other countries.

“We don’t need to reinvent the wheel when it comes to creating e-commerce laws,” said Mr Otieno. By going online, the country can save millions of shillings in transport costs alone as most services would be accessed from home or offices.

Presently, services are centralised in Nairobi, provincial, district and divisional headquarters and are largely manual based, leading to congestion and delays.

Microsoft is considering options for making software more affordable and accessible.