The National Telecommunications Regulatory Authority of Egypt (NTRA) directed telecom operators in Egypt’s market to provide new packages for fixed internet and mobile phone services, with the aim of promoting digital inclusion. In line of this, a new fixed internet package was introduced at a price of EGP 150 instead of the lowest current package, priced at 210 EGP, whereas a new mobile package was also introduced at a price of EGP 5 instead of the lowest current package, priced at around EGP 13.
Furthermore, NTRA approved making all government as well as educational websites available for free, via fixed internet and mobile data networks, even after data packages run out.
This step comes as part of a plan to adjust telecom service prices, by applying a price-increase ranging from 9% to 15% in some packages including taxes, while keeping the price of fixed-line voice minutes, mobile voice minutes, pre-paid cards, and e-wallet services unchanged.
The decision comes in line with NTRA’s commitment to supporting the sustainable development of telecom services and working to improve the quality of services provided to users across Egypt. This is actually achieved by enabling operators to increase their investments in upgrading networks, enhancing operational efficiency, and expanding infrastructure to keep pace with the growing demand for telecom services, as well as the steady rise in internet usage rates which reached 36% for fixed internet within a year. NTRA’s decision also reflects the increasing pressure on networks, and underscores the importance of re-aligning prices with the actual cost of service, thereby contributing to the optimal use of telecom services and maintaining the quality of service provided to users.
The requests to adjust prices came in light of many economic, operational, and investment variables that directly affected the cost of providing telecom services. These variables included changes in exchange rate, increased commercial activity costs such as power prices, higher fuel and petroleum product prices, particularly diesel used to operate mobile stations, as well as rising operating, labor, and network-construction costs. Operators were also impacted by the rise of investment costs associated with network expansion and modernization, due to higher international shipping costs, supply chain disruptions, and rising prices of electronic chips used in telecom devices and equipment, in addition to the increased cost of building and developing networks.
Furthermore, these adjustments are expected to contribute to supporting the operators’ plans to increase investments aimed at improving service quality and enhancing network efficiency. NTRA also affirms its will ongoingly monitor the operators’ compliance with the acknowledged quality standards and commits to taking the necessary regulatory measures to ensure the protection of users’ rights, and achieving a balance between service quality and cost. This will strengthen the efficiency of telecom sector and its ability to support development and digital transformation plans in the Arab Republic of Egypt.
