Togo Advances Its Telecom Industry Amid Regulatory Changes

Telecom Panorama
Thursday, 06 February 2025 12:39
Togo Advances Its Telecom Industry Amid Regulatory Changes

(Togo First) - Togo's telecommunications sector, serving nearly eight million consumers, has grown by around 6% per year, on average, since 2015. The performance is attributable to government efforts to modernize and regulate the industry, which has improved connectivity across the country.

Telecommunications Revolution Since the 1990s

The Togolese telecom sector started its revolution in the late 1990s. After managing the sector until 1986, the Ministry of Posts and Telecommunications handed it over to the Office des Postes et Télécommunications (OPTT). In 1991, OPTT became a public company operating under private-sector rules.

In 1996, a new policy split OPTT into two companies: Société des Postes du Togo (SPT) for postal services and Société des Télécommunications du Togo (Togo Telecom) for telecommunications. Togo Telecom later became a holding company.

In 1998, Togo established a regulatory body called the Autorité de Régulation des Postes et Télécommunications (ART&P). This entity, amid market liberalization, introduced competition in the sector. Togocel, a subsidiary of Togo Telecom, lost its monopoly when Telecel Togo entered the market and underwent several rebrandings.

Two Firms at the Helm

Togo’s telecom market is dominated by two major players: Yas Togo (formerly Togocom), which held 58% of the market in 2023, and Moov Africa Togo, owned by Maroc Telecom, with 42%. While it started with telephony, competition has expanded to mobile money—where Yas Togo leads with about 60%—and mobile internet services.

New players like Café Informatique et Télécommunication, GVA Togo, and Teolis are entering the market. With operators improving their infrastructure, competition is expected to grow even more in the coming years.

A watchful eye

The telecom sector has often talked about adding a third operator, but instead, the Autorité de Régulation des Communications Électroniques et des Postes (ARCEP) has emerged and is changing the game. Founded in 2012 after the Electronic Communications Act, ARCEP's job is to promote fair competition in telecom and postal services while ensuring that quality services are affordable for everyone.

ARCEP follows a strategic plan focused on using data for regulation. This helps them understand the market better, hold companies accountable, and meet consumer needs more effectively. Since 2022, this approach has led to price caps on communications, resulting in lower costs for voice calls, messaging, and internet services across the country. Free roaming agreements with several countries have also been established. This is a big improvement for Togo, which used to have some of the highest rates. Mobile number portability was also introduced, allowing for further progress in the sector.

How Digital Trends are Reshaping the Postal Sector

ARCEP’s postal sector is struggling as traditional services decline due to the rise of the Internet and new technologies. Six main operators currently dominate the market: Société des Postes du Togo (SPT), a public operator with nationwide coverage, and private express courier services like DHL, Pako Fedex, Africa Global Logistics, UPS, and Top Chrono.

The industry is now rethinking its approach to find new growth opportunities, especially in e-commerce. This includes adopting modern solutions like geolocation for addressing and electronic payment systems. A new legal and regulatory framework could soon be set up to support these changes and guide the sector’s future.

Key Data Since 2021

Telecom Operators: 5 (YAS Togo, Moov Africa Togo, Café Informatique, Teolis, GVA)

Telephone Penetration Rate: 73%

Mobile Penetration Rate: 78%

Internet Penetration Rate: 71%

Mobile Money Penetration Rate: 60%

4G Network Coverage: Over 90% of the population

Octave Bruce  

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