MTN has become the latest cellular service provider to increase rates for its contract and data plans, and is reviewing its prepaid data bundle prices.
In the last few years, MTN’s prices have been relatively stable despite the challenging economic environment and the substantial investment MTN has made on its network.
In accordance with the Consumer Protection Act and MTN’s Subscriber Agreement terms and conditions, MTN will give its subscribers 20 working days’ notice prior to effecting the price changes for contract customers.
Announcing the new prices, the company released a statement as follows:
“In 2014, MTN underwent a process of reviewing its operations which was aimed at increasing efficiencies and reviewing its costs. This exercise was aimed at mitigating the impact of the challenging environment MTN operates in.
The reduction in mobile termination rates, coupled with the increased costs of network investment, has necessitated a review of pricing.
“MTN has not increased contract subscription prices for over a decade despite rising operational costs, distribution costs, transport costs, handset price increases, infrastructural costs, falling exchange rates and an increase in taxes.
“Recently, MTN has had to invest substantially in generators and back-up batteries to power its base stations during power outages. All these cumulative costs have compelled the operator to review its pricing as the last resort.
“MTN is committed to offering value and will continue to introduce solutions and products that allow its customers to save costs and access the internet for longer, faster and more affordably.