Nigerian government grants 14 companies recharge cards production licenses

By Melvin Awolowo


The Nigerian government has approved fourteen
companies to locally produce recharge cards starting
January 2005 for the country’s burgeoning telecom
industry.

Spokesman for the sector’s watchdog Nigerian
Communications commission (NCC) Dave Imoko announced
this in Lagos.

This ends a long industry anxiety over who gets the
nod for what some critics said was an unnecessary
exercise at giving approval to services that predate
the entry of GSM services.

Critics said licensing recharge card production has
exposed government as being interested only in making
money out of what is now the country’s most vibrant
industry.

Nigeria’s telecom sector is the fastest growing on the
continent; with over 4 million mobile lines in less
than two years, it is rated by the International
Telecommunications Union as one of the world’s fastest
growing mobile markets.

The licensed companies are Security Printing and
Allied Solutions, Masterstroke, Airtel limited, Card
technology Limited, Nitecrest, Namitech West Africa,
and Advantel Limited.

Others are Limited and Snecon Group of Companies,
Control lands, Beach Company Limited, Orga limited,
Alfa Juliet Mangla Limited, Premium Ideas Limited, and
Hemung Investment Limited.

The race for the local production of recharge cards
started earlier this year when government announced
that it would embargo importation of recharge card
from December 31, 2004.

A meeting with operators last May confirmed this and
subsequently, applications for licenses were received
by the regulator from 27 local companies.

The processing fees of the 13 companies which bids
were turned down would be returned, the NCC also
assured.

But operators are not excited over this development.
One operator described the action as “ a licensing
overkill.” More coming in 24 hours More…..

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