09 July 2006

Dubai: Etisalat has been granted a 011 code by the Egyptian Telecommunication Regulatory Authority to start offering its mobile telephone services in Egypt, in preparation to enter the market next February.
 
Etisalat recently won a bid to operate a third mobile network in Egypt for Dh10.6 billion.

Etisalat is expected to name the president of its Cairo operation, who was chosen in the board of directors' meeting in Abu Dhabi yesterday. During the meeting, the board also approved the company's half-yearly earnings and dividends.

An Etisalat official said the company will garner millions of subscribers in Egypt, the UAE and Saudi Arabia, through offering international roaming service by utilising its networks in the three countries.

The source added "connecting these three countries will attract millions of new subscribers, especially in Egypt, with the possibility of the subscribers' transfer from one network to the other with the same telephone number.

"Licensing rules in the two rival companies allow Mobinil and Vodaphone subscribers to keep their numbers when moving from one company to another, to guarantee that the subscribers get the best offers and prices without the need to change their numbers," the official said.

The source also added that this agreement will allow the third mobile company to grow and get an significant number of users by the beginning of next year.

He added that the agreement holds the two companies to offer the local roaming service outside big cities, at the same time the third company will start operating at the latest.

Etisalat will use over 3,600 of the Egyptian Post Service Authority bureaus, its partner in the alliance, in marketing, distributing and paying bills throughout Egypt.

"The expected return of the new Etisalat company ranges between 5.5 and 9.5 per cent in the first phase" said Dr Ahmad Shirbini of the National Telecommunication Institute in Egypt.

He added that the number of subscribers will exceed 35 million people, with a penetration of 38.6 per cent, double the current number of 15 million.

By Mohammad Ezz Al Deen

Gulf News 2006. All rights reserved.