Consumers will enjoy lower calling rates following the review of Mobile Termination Rates (MTRs) and Fixed Termination Rates (FTRs) by the Communications Authority of Kenya.
In the latest review, the Authority has capped the MTRs and FTRs at Shs0.12 per minute with effect from January 01, 2022.
MTRs and FTRs are the costs that operators charge each other to allow customers to communicate across networks. Currently, all the telecommunications service providers are implementing an MTR and FTR of KES 0.99.
The review was founded on the recognition that higher MTRs and FTRs mean higher calling rates for consumers. This makes it difficult for consumers to enjoy affordable communications services.
“The revised interconnection rate is projected to have a positive outcome for both the consumers and operators. At the retail level, consumers will now enjoy access to a variety of affordable services across networks,” explained CA Director-General, Ezra Chiloba.
At the wholesale level, he added, operators will have more price flexibility when developing innovative and affordable products
This initiative is aligned with the Authority’s Vision of a Digitally Connected Nation, as well as the National ICT Policy Guidelines 2020 broad goal of ensuring accessibility and affordability of ICTs by Kenyans.
This latest development will also reduce the need for consumers to own multiple SIM cards as charges across networks come down.
As required by the Constitution, the Authority in July 2021 undertook a public consultation exercise on this matter, receiving views and comments from diverse stakeholders including the telecommunications operators.
This is not the first time that the Authority is lowering the MTRs and FTRs. The first such determination was issued in 2007 and followed by another one in 2010.