Reduced rates for interconnections

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WINDHOEK – The cost of making calls across various mobile and fixed telecommunication operators has dropped. This means that consumers can now call at a cheaper rate on any mobile or fixed telecommunication network.

The reduced rates are effective since last month and the Communications Regulatory Authority of Namibia (CRAN) says the rationale of reducing the cost was to encourage competition and more investments in the telecommunication industry. The rates for voice calls have been reduced to N$0.20 from N$0.30 while for  SMS they have reduced to N$0.10 from N$0.20 across all telecommunication providers.

“These rates will assist new entrees into the market to become more competitive, since the rates reduce the cost operators pay to each other to carry calls and will over a long-term period  benefit the consumer who will be paying less for voice calls and SMS,” said Stanley Shanapinda, Chief Executive Officer of CRAN.

Shanapinda added that cost-based termination rates encourage fair competition and more investment in the telecommunications industry.

Since July 2009 interconnection rates in Namibia have decreased from N$1.06 to N$0.30 for mobile and fixed operators. The reduction in these termination rates led to fairer competition, lower prices, better services, more jobs, more investment, and an expansion in the market.

“The continual reduction in termination rates will yield positive results for the ICT industry and the economy of Namibia,” said Shanapinda.

By Staff Reporter

 

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