As Egypt’s leading mobile operator, Mobinil, deals with the restructuring of its parent company Orascom Telecom, it was reported by local press that the top mobile company in the country is looking to cut its international telecom gateway.
Owned by Telecom Egypt, the gateway provides competitive services on an international level, but Mobinil believes that by reducing the prices it would be able to increase development and infrastructure in the mobile industry.
Egyptian newspaper Youm7.com reported that the company has asked the National Telecommunications Regulatory Authority to cut those costs.
CEO Hassan Kabbani was reported to have said that the NTRA “rejects cutting international telecommunication license prices” and added that service price is too high, in the report.
Kabbani asked the NTRA for a license similar to Etisalat Egypt but said Mobinil hat not received any answer yet.
Analysts on Monday said that the move could help boost competition in both the local market and enable Egyptian companies, such as Mobinil, to push forward on expansion plans.
“It already exists for Etisalat so why not open the doors for local companies to have the ability to compete,” said Jack Edwards, a British telecom expert currently in Cairo researching the industry for a new volume on telecommunications in the Arab world.
By Desmond Shephard
