MTN Rwanda has registered a 30 per cent increase in traffic on their network, management has announced.
The increase is attributed to a recent reduction of call tariffs rates. Now many Rwandans are making calls and using MTN internet services.
This follows a reduction for both local and international call tariffs by MTN. Local calls dropped by 35 per cent while regional and international ones reduced closely to 60 per cent.
The reduction came after operators in the country told government that the high taxes were partly to blame for the low telephony penetration bringing.
Government listened to the operators concerns and reduced excise duty on airtime by 70 per cent—this is the lowest in the East African region.
Rwanda Revenue Authority used to charge 10 per cent excise duty on airtime but this was reduced to 3 per cent.
The reduction in tariffs has contributed to the number of subscribers increasing from 600,000 early this year, to 820,000 people as of Monday 30 June morning.
Themba Khumalo, the MTN Rwandacel Chief Executive Officer told journalists that the increasing number of customers has forced them to shift to a better platform.
Adding, “The migration was inline with MTN’s commitment to deliver world class communication services.”
“All prepaid customers will be moved to a new system,” Khumalo told journalists from different media houses at the MTN Centre in Nyarutarama.
The journalists were on a guided tour of the multi-billion software, which MTN imported in order to swift from Converse platform to Ericsson.
Khumalo said customer on MTN pay as you go, MTN per second, MTN flexi, MTN Gonga, Tuvugane and Tel’imbere will all be affected. The telecom’s investment comes shortly after government reduced taxes on airtime.
MTN investment in the Ericsson platform is part of the $60 million, the telecom company budgeted to upgrade and expand its infrastructure countrywide.