Kuwait-based telecommunications operator Zain Group has been awarded a 25-year licence to operate a mobile telecommunications network in Syria after winning a competitive Request for Applications (RFA) process conducted by the country's Ministry of Communications and Information Technology (MCOT).

The licence, comprising an initial 20-year term with an option to extend for a further five years, was awarded following technical and financial evaluations. Zain submitted a bid valued at $747 million.

Under the agreement, Zain will establish a new operating company in Syria in which it will hold a 75 percent stake, while a Syrian government entity will own the remaining 25 percent.

Commercial launch of the Zain Syria brand is targeted for the first quarter of 2027, subject to completion of regulatory approvals and licence conditions.

During a six-month transition period, Zain will work with the Syrian Ministry of Communications and Information Technology and the existing mobile telecommunications network team to ensure continuity of services for the current subscriber base of approximately 6.3 million customers.

As part of the licence commitments, Zain Syria plans to invest more than $800 million over the next 10 years to expand and modernise the network, including the deployment of 5G infrastructure and artificial intelligence-powered digital technologies.

The investment programme will be financed from cash flows generated by the Syrian operation.

The company said the transition phase will include a comprehensive network modernisation programme while maintaining uninterrupted services. Initial deployment phases are expected to deliver more than 98 percent population coverage through 5G rollout, infrastructure upgrades and AI-enabled network solutions.

Zain provides mobile voice and data services in Kuwait, Bahrain, Iraq, Jordan, Saudi Arabia, Sudan and South Sudan.

(Writing by Majda Muhsen; Editing by Anoop Menon)

(anoop.menon@lseg.com)

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