Kenyans are set to enjoy cheaper calls after mobile network operators agreed to cut their mobile rates to Sh0.58 starting August 1.
The interim Mobile Termination Rate (MTR) and Fixed Termination Rate (FTR) will apply for a period of 12 Months, after which the Communication Authority(CA) shall issue new rates based on the outcome of the ongoing network cost study.
The Authority had, on December 23 2021, issued a determination on interconnection rates, reducing the prevailing MTR and FTR from Sh0.99 to Sh0.12.
However, a petition was filed by Safaricom at the Communications and Multimedia Appeals Tribunal to challenge the Determination.
Safaricom argued that the regulator ignored the cost of doing business and instead relied on a benchmarking methodology in making the decision.
Its rivals, Airtel Kenya and Telkom Kenya supported CA, saying no telco should make a profit from the MTRs.
Following the petition, the Authority engaged with the operators to reach a compromise that would quickly unlock the benefits of lower MTR and FTR to the industry and, most importantly, the consumers.
“With the adoption of the revised interim MTR and FTR, it is expected that operators will remain incentivized to invest in quality and innovation as consumers enjoy affordable communication products and services,” CA in a statement.