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Eswatini (Swaziland) Telecoms MarketReport: An Overview of the Telecom Sector in the Kingdom
Eswatini, formerly known as Swaziland, is a landlocked country in Southern Africa with a population of about 1.1 million people.
The telecom sector in Eswatini is regulated by the Eswatini Communications Commission (ESCC), which was established in 2013 as an independent authority to replace the state-owned Eswatini Posts and Telecommunications Corporation (EPTC) as the regulator. The ESCC is responsible for issuing licences, setting tariffs, enforcing quality standards, promoting competition and protecting consumer rights.
What are the main players in the telecomsector in Eswatini?
The telecom sector in Eswatini consists of two main players: EPTC and MTN Eswatini. EPTC is the incumbent operator that provides fixed-line, mobile and broadband services under a unified licence.
EPTC operates a CDMA2000 network for fixed wireless access and a GSM/UMTS network for mobile services. EPTC also offers ADSL and fibre broadband services to residential and business customers.
MTN Eswatini is the leading mobile operator that entered the market in 1998 as a joint venture between MTN Group and EPTC. MTN Eswatini has a GSM/UMTS/LTE network that covers over 95% of the population. MTN Eswatini also offers mobile money, mobile TV and IoT services.
In addition, there are several licensed internet service providers (ISPs) that offer wireless and fibre broadband services, such as Africa Online, Posix, Real Image and Viettel. There is also a new mobile entrant, Eswatini Mobile, which launched services in 2017 using a GSM/UMTS/LTE network under a network sharing agreement with MTN Eswatini.
What are the main trends and developments in the telecom sector in Eswatini?
The telecom sector in Eswatini has experienced some significant trends and developments in recent years, such as:
- The reduction of call termination rates:In 2020, the ESCC imposed a sliding scale reduction of call termination rates for both fixed and mobile operators until 2023. The aim is to lower the cost of
communication and stimulate competition in the market. The call termination rates are expected to drop from 0.65 lilangeni ($0.04) per minute in 2020 to 0.25 lilangeni ($0.02) per minute in 2023.
- The expansion of broadband access: The broadband penetration rate in Eswatini has increased from 14% in 2015 to 29% in 2020, according to the ESCC. This is mainly driven by the growth of mobile broadband subscribers, which reached over 300,000 by March 2021. The expansion
of broadband access is also supported by the deployment of fibre optic networks by various operators and ISPs, such as Paratus, which completed a 750km terrestrial cable linking Maputo through Eswatini to Johannesburg in 2020.
- The launch of the Mbabane Internet Exchange Point (MB-IX): In 2019, the ESCC launched the MB-IX to route local internet traffic within Eswatini and reduce latency and costs for ISPs and end-users. The MB-IX is hosted by Posix at its data centre in Mbabane and has six members: Africa Online, EPTC, MTN Eswatini, Posix, Real Image and Viettel.
- The impact of the Covid-19 pandemic: Theoutbreak of the Covid-19 pandemic has had a mixed impact on the telecom sector in Eswatini. On one hand, it has increased the demand for voice and data services as people rely more on communication and online platforms for work, education, entertainment and social interaction. On the other hand, it has also affected the income and affordability of telecom services for many customers who have faced job losses or reduced incomes due to the economic slowdown caused by the pandemic.
What are the main challenges and opportunities for the telecom sector in Eswatini?
The telecom sector in Eswatini faces some challenges and opportunities that will shape its future development, such as:
- The need for more competition and innovation: The telecom market in Eswatini is still dominated by two players: EPTC and MTN Eswatini. The entry of Eswatini Mobile has introduced some
competition in the mobile segment, but its market share remains low. The ESCC needs to foster more competition and innovation in the sector by creating a level playing field for all operators and ISPs, encouraging new entrants and service diversification, and promoting consumer awareness and choice.
- The need for more investment and infrastructure: The telecom sector in Eswatini requires more investment and infrastructure to improve the quality and coverage of services, especially in
rural and underserved areas. The ESCC needs to facilitate more investment and infrastructure by creating an enabling regulatory environment, providing incentives and subsidies, and supporting public-private partnerships and infrastructure sharing initiatives.
- The need for more digital inclusion andliteracy: The telecom sector in Eswatini has the potential to contribute to the social and economic development of the country by enabling access to
information, education, health, finance, government and other services. However, there are still gaps in digital inclusion and literacy among some segments of the population, such as women, youth, elderly, disabled and low-income groups. The ESCC needs to address these gaps by implementing policies and programs that promote digital inclusion and literacy, such as universal service funds, digital skills training, e-government initiatives and online safety campaigns.
How can you access the full report on the telecom sector in Eswatini?
If you are interested in learning more about the telecom sector in Eswatini, you can access the full report by BuddeComm at https://www.budde.com.au/Research/Eswatini-Swaziland-Telecoms-Mobile-and-Broadband-Statistics-and-Analyses/?utm_source=GNW. The report provides a comprehensive overview of the telecom sector in Eswatini, including key statistics, market analyses, regulatory developments, operator profiles and forecasts. The report is updated regularly to reflect the latest trends and developments in the market..
