Home News Rwanda Rwanda to get private firm to manage $100m ICT assets

Rwanda to get private firm to manage $100m ICT assets

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KIGALI, RWANDA - The Rwandan government plans to transfer a bigger part of its assets in Information Communication Technology (ICT) to a private firm for better management.
These assets include the national fibre optic cable (2300 kilometres),  the national data centre and the Kigali Wibro, a wireless internet project in Kigali city.
According to the Permanent Secretary in the Ministry of ICT (MINICT), Mr. David Kanamugire, the government has invested over US$100m in these assets.
Mr Kanamugire told East African Business Week in Kigali recently that the process of hiring the firm is underway.
He however could not disclose when the company would be hired.
"These are complex processes that involve various scenarios. What we are doing right now is a mixture of management," he explained.
He said transferring government assets to a private operator would ease access to these facilities by whoever that wishes to use them.
He said currently, some telecom operators are using the government fibre optic cable to deliver internet services to their customers.
This is being done through lease agreements and Mr. Kanamugire said the cost of leasing the cable is based on the cost of running it rather than on profit basis.
Kanamugire said that the government invested in communications infrastructure especially the fibre optic in the areas where it could take time for private telecom companies to reach especially rural areas.
However, telecom operators had previously expressed concerns that the government was competing with them and this could hurt their businesses.
Kanamugire said the government 'had no intention to compete with the private sector but it wants to promote access to ICT'.
MTN Rwanda Chief Operating Officer Mr. Andrew Rugege welcomed the use of a private firm to manage national assets.
He,  however, he warned that it should be done in a fair way.
"We hope it will be done in a fair way not giving advantage to whoever becomes the person to whom the entity is privatised."
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