Uganda in full control of Libya-owned telecom

The Ugandan government has taken complete control of the Libyan-owned Uganda Telecom, Dow Jones Newswires reported. The move is the result of continued unrest and violence in Libya and part of the United Nations sanctions against the country.

Analysts believe the move is likely to help move the company forward and ensure services will not be broken.

“It is in line with current thinking that if the situation in Libya continues to remain uncertain, companies must be saved in order to protect the consumer,” said John Marks, a telecom expert in Uganda.

According to a statement earlier this month, the Ugandan ministry of information and communications technology said that as a stakeholder in the company, “it could not simply sit and watch” as customers’ futures were at risk.

The government, the ministry said, has taken over control of the company to “safeguard its interests and those of the telecom’s customers.”

The Libyan Arab Portfolio, or LAP Green Network owned by the Libyan government, holds a majority stake in Uganda Telecom.

By Staff