The State of ICT in Mozambique 2018

Mozambique has a challenging path ahead if it is to realise the full potential of the ICT sector in developing its economy and to make progress on the information communication technology targets that are intended as enabling the achievement of the United Nations’ Sustainable Development Goals. Mozambique’s successes include licensing and regulatory achievements in telecommunications, which have stimulated competition and contributed to meeting national policy objectives. Prices for data and voice have fallen dramatically with the introduction of the third competitor and Mozambique now ranks 24th out of 49 countries on RIA’s African Mobile Pricing (RAMP) Index. Nevertheless,
it places third on the 1GB prepaid mobile data index. While mobile phone ownership (voice services)
stands at 40 percent, Internet penetration is only at 10 percent. The main reason given for not being on the Internet is the high cost of Internet-enabled devices. Like other least-developed economies, Mozambique, Rwanda and Tanzania have not reached the 20 percent critical mass needed to enjoy the network effects of ICTs associated with economic growth and development, and to harness the opportunities for the public and private sectors provided by the digital economy. Effective regulation of open and competitive markets by the Instituto Nacional das Comunicações de Moçambique (INCM) will drive affordable access to broadband networks. However, it is clear that the majority of citizens are unable to afford devices or to use broadband in the always-on, high-speed way they were intended and required to deploy cost-saving and secure cloud services, over-the-top voice and text substitutable communications services, as well as the online services that reduce transaction costs.