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Home Technology Telecommunication

Egypt’s telecom sector may raise prices again: What this means for consumers

Oluwatosin Adeyemi by Oluwatosin Adeyemi
November 25, 2024
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Egypt’s telecom sector may raise prices again: What this means for consumers

Egypt’s telecom sector may raise prices again: What this means for consumers

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Egypt’s telecom industry is bracing for a price hike after the National Telecom Regulatory Authority (NTRA) gave preliminary clearance to increase the cost of mobile services.

Network providers including Vodafone, Orange, Etisalat, and WE have been forced to up their service costs to correspond with skyrocketing inflation, rising energy prices, and a 70 percent increase in import costs.

This move largely reflects the growing operational costs faced by these companies.

For the first time since 2017, telecom firms raised tariffs this year. In February, they made changes ranging from 10 to 15 percent.

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Read also: Telecom Egypt’s profit dip by 6% despite strong revenue growth in Q3 2024

Gain for telcos, pain for consumers 

The price increment is aimed at maintaining the sector’s profitability while continuing investments in infrastructure improvements, such as the rollout of 5G. But given that this is the second big price hike in 2024 alone, consumers may find it difficult to afford it at this time of difficult economic situation.

Some would contend that, given Egypt’s continued inflation, the timing of the price increase could put people under even greater strain.

However, others could counter that, in order to ensure the sector’s stability going forward, setting sustainable prices is essential for its long-term growth and innovation.

ICT is one of Egypt’s fastest-growing sectors, with a 14.4 percent growth rate in 2023–2024. It is crucial to keep up this momentum without upsetting clients.

Tags: EgyptTelcom
Oluwatosin Adeyemi

Oluwatosin Adeyemi

Oluwatosin Adeyemi is a seasoned writer with 5+ years of experience. He holds a degree in Animal Science from Olabisi Onabanjo University. A hardworking and creative individual with a passion for teamwork and self-improvement.

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