President Museveni officially launched the Uganda Telecommunications Corporation Ltd (UTCL) yesterday, marking a significant milestone in the country’s telecom industry. The government-owned telecom company aims to correct past mistakes and revolutionize the sector with a focus on high-quality services, including 5G internet, voice calls, and mobile money transactions.
Reflecting on his past errors in the early 1990s, where his nascent NRM government blindly liberalized and sold off many parastatals, President Museveni has longed for an opportunity to rectify those wrongs. One of his main concerns has been the control of the telecommunications business by exploitative foreign companies, especially the South African telecom giant MTN, which he accuses of repatriating a significant portion of the money made in Uganda.
The President sees foreign ownership of crucial data as a security risk, given the vast sums involved in Ugandans’ mobile money and digital financial transactions. Consequently, he has been determined to establish a powerful telecom sector player in which the government holds a controlling stake.
UTCL’s establishment is the result of President Museveni’s vision and the dedication of Privatization and Investments Minister Evelyn Anite, who was given the specific task of revamping the company in 2017. The process encountered challenges as some actors sought to liquidate UTL and seize its assets. UTL has been under administration since April 2017, accumulating substantial debt to creditors.
Given the difficulties in reviving UTL, President Museveni opted for a pragmatic approach, winding up the company and negotiating with the administrator to acquire all its assets, infrastructure, and equipment. The new government-owned telecom company will also retain core staff, with additional hires expected based on performance evaluations.
UTCL is poised to bring positive disruption to the telecom market. The company aims to provide high-quality services at affordable rates, and with its focus on 5G technology and infrastructure ownership, UTCL is set to gain an upper hand in broadband, data, and internet services.
“We are looking at both viability and clear growth potential of the entire telecom market,” said Dr. Grace Ssekakubo, UTCL’s Board Chairman. With an annual growth rate of 8% in the telecom sector and over 23.7 million broadband subscribers, UTCL sees a promising future.
The President, along with government officials, is keen to ensure that the new telecom company serves Ugandans’ needs effectively. The rollout of Ug-Sente, offering affordable mobile money services, has been approved, and the company plans to invest heavily in the latest equipment and technology.
A super launching ceremony for UTCL is scheduled for next February, where President Museveni will make significant announcements about the company’s future. The President’s vision is to create a vibrant and formidable national telecommunications services provider that will leverage on its assets, infrastructure, and talented staff to revolutionize the industry and provide superior services to Ugandans.
The launch of UTCL represents a turning point in Uganda’s telecom sector, and stakeholders are optimistic about its potential to drive economic growth and further improve connectivity for citizens. With a renewed focus on secure, reliable, and high-speed internet services, UTCL is ready to compete and transform the telecommunications landscape in Uganda.
Would you like to get published on this Website? You can now email Uganda Times: an Opinion, any breaking news, Exposes, story ideas, human interest, articles, or any interesting videos: [email protected]. Or join the Ugandatimes WhatsApp Group or Telegram Channel for the latest updates
