Ethiopia’s telecommunications market is gearing up for further growth, with the arrival of a third telecom operator expected by late 2025 or early 2026, according to the Ethiopian Communications Authority (ECA). Although the ECA paused new license issuance in mid-2023, this move is intended to foster a more favorable investment climate before welcoming new global players.
Balcha Reba, Director General of the ECA, emphasized that the pause allows for a reassessment of the market and necessary reforms to attract long-term investments. “We are working to ensure that the investment conditions are appropriate and to make improvements where needed,” he stated.
The introduction of a third operator is anticipated to boost competition, improve service quality, enhance network coverage, and reduce consumer costs. Since 2018, Ethiopia has progressively moved towards liberalizing its telecom sector, which was previously dominated by state-owned Ethio Telecom. This transformation was marked by the 2021 licensing of Safaricom, Ethiopia’s first private telecom operator, which has already reached 42% of the population.
Source: Capital Ethiopia
