Ethio Telecom, the sole telecom service provider in Ethiopia, announced it has garnered a revenue of 36.3 billion birr, amounting to $1.26 billion, in the recently concluded Ethiopian fiscal year. 

The revenue, despite a seven percent increase compared to last year's, is 85 percent of the target set by the company. This comes despite a 40 to 50 percent tariff discount made earlier this year. Since the tariff reduction, traffic rose to 130 percent in data usage and 19 percent in voice calls.

Frehiwot Tamiru, Ethio Telecom's CEO, said at a press briefing the company has paid $362 million of its debt which has been pending for the last three years. Earnings before interest, tax, depreciation, and amortization (EBITDA) stood at 24.5 billion birr, attaining 79 percent of the target, showing an increase of 5.6 percent compared to the preceding year. Mrs. Frehiwot further remarked negotiations have been held with several international telecommunication companies to further modernize the telecommunication system in the country. The company has also paid 16.2 billion birr in taxes, and 7 billion birr in dividends.

Ethio-telecom’s total subscribers have reached 43.6 million, achieving 95 percent of the target and showing a 15 percent increase compared to the same period last year. The figure results in tele-density of 44.5 percent. The number of mobile voice service subscribers stands at 41.92 million, data and internet users at 22.3 million and fixed service users at 1.2 million.

In spiate of challenges such as telecom fraud, power outage and tampering with fiber cables, Ethio Telecom has seen a rise in international incoming traffic to 50 percent, which has been declining consistently in the previous years.

Sources: Fana BC, ENA