Taxation and mobile services in Africa

In 2007, more than 430 million sub-Saharan Africans (60 per cent of the population) were covered by mobile networks. With around 162 million connections, this implies a penetration rate of 37 per cent.

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Taxation and mobile services in Africa

Taxation structures and levels vary considerably across sub-Saharan Africa. Below are some benchmarks of countries that levy taxes on network equipment, handsets and airtime

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Taxation and mobile services in Africa

According to the GSM Association, the mobile sector in sub-Saharan Africa is in the second phase of private sector investment which began in 2005 and was characterised by international investment. The first phase of investment was characterised by entrepreneurial endeavours where the private sector and multilateral agencies backed companies to cash flow positive positions.

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Emerging market magnetism

Whether a deal does, in fact, come off between an India-based telecoms provider and South Africa’s MTN is not the point. What the discussions between Bharti Airtel and subsequently Reliance Communications with MTN signify is that the scope for cross-regional investment in the communications space is expanding. Just three short years ago, the acquisition of Celtel International in Africa by MTC Group (Zain Group) was viewed as a pioneering development, but since then the flow of cash across continents has evolved quickly.

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Welcome to the best thing to happen to business journalism in the telecoms sector for a while

It is a pleasure to welcome you to the inaugural issue of Comm., the publication that is on course to position itself as the mouthpiece of the telecoms sector across emerging markets.

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