Hormuud Telecom presents a national 4G coverage plan
Somali company Hormuud Telecom has pledged to provide full 4G coverage across Somalia by 2023.
If successful, Hormuud would reach the coverage milestone before the 2024-2025 target announced by the government.
According to Ormuud’s own figures, more than 70% of Somalis – around 11.25 million people – have access to 4G, however, the remaining 30% are largely based in rural areas. Of Ormuud’s total customer base, 30% of its 3.6 million customers still depend on the 2G network.
CEO Ahmed Mohamud Yuusuf said, “We are delighted to announce Ormuud’s ambition to bring broadband speed, 4G data, to every Somali citizen over the next two years. We are proud to have long played a leading role in bringing Somalis online. Increasing 4G internet access is essential for Somalia to achieve its goal of becoming a cashless economy. “
As part of its national ICT policy, the Somali government has committed to achieving total 4G coverage by 2024-2025. Demand is already increasing – the average Hormuud data user consumes 5 GB of data per month, up from a national average of around 1 to 2 GB a year ago – mobile money causing a large part of the request.
Hormuud reported that two-thirds of all payments in Somalia are made through mobile money platforms.
In February, the Central Bank of Somalia issued the country’s first mobile money license to Hormuud Telecom, meaning that Ormuud’s EVC Plus mobile money platform would be officially regulated and licensed by the Central Bank of Somalia. Somalia.
Before the Covid-19 epidemic, mobile money penetration in Somali urban centers was over 80%. Even in rural Somalia, mobile money penetration rates were around 55%.
A World Bank report released in 2018 found that nearly three-quarters of Somalia’s population aged 16 and over use mobile money. In comparison, in Nigeria, the continent’s largest economy, only 39.7% of adults had mobile money accounts in 2018.
Yuusuf, added: “Access to high speed data is now a human right. It is a fundamental requirement for developing countries to provide vital services such as international aid and remittances, as well as to support day-to-day business activity.
Abdi Sheikh Ahmed, Somali Minister of Post, Telecommunications and Technology, said: “It is encouraging to see the telecom operators in Somalia taking leadership roles to meet the guidelines of the national ICT policy.
The continued expansion of 4G shows that the country is on track to meet its network expansion goals, providing the essential services our citizens need. “
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