Ethiopia Internet Case Study

Figure 4: Fixed and mobile telecommunication tariffs

1. Fixed

1 USD =

8.56 Birr

    Connection fee

305 Birr

(35.6 USD)

    Monthly rental:

    Business

17 Birr

(2 USD)

    Residential

8 Birr

(1 USD)

    Local calls

0.2 Birr for 6 minutes

(0.02 USD)

    National long distance calls:

0.2 Birr/pulse

(0.02 USD)

    Duration of pulse

Normal*

Reduced*

    16 50 Km

60 sec

60 sec

    201 300 Km

12 sec

18 sec

    551 700 Km

6 sec

9 sec

    International call tariff:

    Africa

13 Birr/min

(1.5 USD)

    Europe

15.98 Birr/min

(1.87 USD)

    Asia

19.68 Birr/min

(2.3 USD)

    America

21.35 Birr/min

(2.5 USD)

2. Mobile

    Subscription

543 Birr

(63.5 USD)

    Deposit for security

408 Birr

(47.7 USD)

    Monthly rental

50 Birr

(5.8 USD)

    Call charge:

    Mobile to mobile

0.75 Birr

(0.09 USD)

    Mobile to fix

From 0.33 (local, off peak tariff) to 2.72 (long distance,

peak tariff) Birr/min (repectively 0.04 and 0.32 USD)

    International Call Charge

Call Charge for fixed telephones + 0.72 Birr/minute

(0.04 USD)

* Normal: from 8 a.m. to 8 p.m.

    Reduced: from 8 p.m. to 8 a.m. and Sundays and public holidays.

Source: ETC.

Table 4: Mobile cost and revenues (selected African countries)

Country

Cost of 3 minute

Mobile

Mobile

local call (USD)

subscribers

revenue (USD)

Ethiopia

0.26

28'000

8'262'896

Uganda

0.36

188'568

49'705'072

Mozambique

0.46

51'065

22'486'678

Zimbabwe

0.50

309'000

45'708'048

Kenya

0.59

127'404

13'754'971

Zambia

0.68

98'853

1'532'318

South Africa

0.69

8'308'000

3'040'345'856

Ghana

0.90

130'045

2'521'334

Note: Data refer to year 2000. Data for Ethiopia are for 2001.

Source: ITU World Telecommunication Indicators 2002.

10