Iraq to delay fourth mobile licence auction to early 2012

Iraq is reported to have delayed the auction of the country’s fourth national mobile network licence until the start of next year, due to delays in securing government approval for the tender.

The auction had been due to take place by the end of this year.

"I have submitted all the papers to the council of ministers," communications minister Mohammed Allawi told Reuters. “I should get a response definitely, God willing, within November."

Allawi later said at the conference that the auction would likely happen in early 2012.

Earlier this year when announcing the tender for the licence, the government said that it hopes to raise as much as US$2 billion from the sale.

Under the terms of the tender, 40 per cent of the shares would be owned by the operator, 35 per cent by the public, and the remaining 25 per cent of the shares would be owned by the ministry.

Allawi also said that he expects parliament to vote on a long-awaited communications law, a crucial step in the development of the telecom sector, before the end of the year. The sector currently relies on pre-2003 legislation.