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UCC Commends MTN for Timely Payment of UGX 50.5 Billion Sector Contribution

by Mulengera
1 year ago
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UCC Commends MTN for Timely Payment of UGX 50.5 Billion Sector Contribution
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By Mulengera Reporters

MTN Uganda has today, May 12, paid UGX 50.55 billion to the Uganda Communications Commission (UCC) in fulfilment of its licensing obligations for the 2024/25 financial year.

Representing 2% of the telecom giant’s gross annual revenue, the contribution is a significant increase from last year’s UGX 42.5 billion.

The fund is mandatory for all licensed operators and is collected annually by UCC, with half of it remitted to the national Consolidated Fund, while the other half remains under UCC management through the Uganda Communications Universal Service and Access Fund (UCUSAF).

The fund is used to support government efforts to extend ICT services to unserved and underserved areas across the country.

Speaking at the handover, the UCC Executive Director, Hon. Nyombi Thembo, commended MTN Uganda for its consistent compliance and timely payments. He said the increase in the levy reflects both the growth of the telecommunications sector and the positive impact of Uganda’s enabling regulatory environment.

“The amount continues to grow year after year, which is a clear sign that the sector is not only stable but thriving. This is largely due to the strong policy and regulatory framework provided by government,” Hon. Thembo said.

He also noted that the funds retained under UCUSAF are already being used to drive essential projects such as the rollout of ICT infrastructure in rural areas, provision of digital tools to schools and health centers, promotion of digital literacy, and support for persons with disabilities.

MTN, in a statement, reaffirmed its support for the Commission’s goals and called the contribution part of its shared responsibility in building a connected country.

“We continue to work closely with UCC to build a more inclusive digital Uganda. Our increased contribution this year, rising from UGX 36 billion in 2023 to UGX 50.55 billion now, is a sign of our commitment to this journey.”

The UCC has over the years used the Fund to extend communication services to hard-to-reach areas, provide internet to schools, and distribute ICT equipment to communities that would otherwise be left out.

With Uganda pushing towards achieving its Digital Vision and National Development Plan goals, Hon. Thembo said that UCC remains committed to transparency and working hand-in-hand with all stakeholders to achieve inclusive national connectivity. (For comments on this story, get back to us on 0705579994 [WhatsApp line], 0779411734 & 041 4674611 or email us at mulengeranews@gmail.com).

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