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Kenya: Move to cut terminal rates pending
Published in Bikya Masr on 09 - 05 - 2012

NAIROBI: Communication Commission of Kenya (CCK) is now divergent on the idea of whether to cut mobile termination rates by 35 percent in July or not.
Francis Wangusi, the acting director at CCK had previously stated that the termination rate would drop from the current Sh2.21 to Sh1.44 per minute in July.
Bitange Ndemo, Information and Communication PS stated that there was a need to conduct fresh study that would look into the current rates and see whether the move is justified or not.
“CCK cannot go ahead and implement the termination rates without conducting a fresh study where all operators are involved; I will not pass a policy matter where some parties are not consulted.”
Bob Collymore, CEO of Safaricom previously commented, saying that the methodology used by CCK was not fit for purpose and produced a result that was inconsistent with the economic realities in Kenya.
Shivan Bhargava, Managing Director at Bharti Airtel Kenya previously explained that they fully support CCK on that move but they were not in the position to further reduce their tariffs.
As for Yu Mobile, Madhur Taneja, MD of Essar Kenya earlier supported the move by CCK and commented that they hope for a decrease in terminal rates that will translate to lower calling rates.


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