MTN hikes call tariffs

Apr 26, 2006

EFFECTIVE May 1, MTN will implement new tariffs on pre-paid and post-paid mobile lines.<br>There will be a 5% increase in tariffs for different profiles. <br>Calls from MTN to MTN will cost sh450 on the PayGo Standard and sh520 from MTN to mango and Celtel.

By Vision Reporter

EFFECTIVE May 1, MTN will implement new tariffs on pre-paid and post-paid mobile lines.
There will be a 5% increase in tariffs for different profiles.
Calls from MTN to MTN will cost sh450 on the PayGo Standard and sh520 from MTN to mango and Celtel.

Calls to all networks on the YelloMax Standard will cost sh380 per unit.

Erik van Veen, the chief commercial officer, said on Tuesday that the cost of doing business had increased significantly over time necessitating an increase.

“The escalating power crisis is having a particular impact on MTN’s cost base. In an effort to continue to offer quality services to our customers, it has become necessary to implement a nominal tariff increase,” van Veen said.

He said over the past three years, only tariff increases due to excise tax have been possible.

“These increases were necessary so as to recover the tax burden from the end-user.

“MTN has not been able to implement any price increases to cater for inflation and the increased cost of doing business,” van Veen said.

He said whereas the cost of doing business had increased by over 25% over the last three years, the tariff adjustments only reflect about 5%.

MTN has also started issuing new sim-packs, which already have seven digits.

“All new MTN sim-packs will be within the “4” range. They are already configured,” van Veen said.

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