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MTN contributes UGX42.5 billion to UCC Fund

Peter 24th May, 2024 Telecommunication Isaac Khisa
MTN contributes UGX42.5 billion to UCC Fund

MASSIVE BOOST: Hon. Nyombi Thembo receives the cheque from Ms Mulinge, the MTN Uganda CEO, on May 24.


MTN Uganda has handed over a contribution of UGX42.5 billion in a major boost to the Uganda Communications Commission’s Universal Service and Access Fund. The amount indicates a significant increase from last year's UGX36 billion.

Sylvia Mulinge, the MTN Uganda CEO, handed over the substantial contribution to Thembo Nyombi, the Executive Director of the Uganda Communications Commission, at the regulator’s offices in Bugolobi, on May 24.

Mulinge told journalists at the press briefing that the contribution highlights the company’s ongoing commitment to drive social and economic change and bridging the digital divide in the country.

  • “At MTN, we believe that everyone deserves the benefits of a modern connected world. Therefore, our contribution to the Universal Service and Access Fund is not just an obligation but is deeply aligned with the core values of our business,” she said.

“Connectivity is the cornerstone of our economy, vital for modernizing education, revolutionizing healthcare, and enabling financial inclusion through digital technologies.”

She added that their support to the UCC Fund aligns with MTN’s 2025 strategy of spearheading the digital solutions for Africa’s progress action plan while pursuing the key strategic priority of creating shared value with Environmental, Social and Governance (ESG) practices at the core, so as to scale up digital, financial and social inclusion for a more inclusive and sustainable society.

  • Recent statistics from the UCC point to the ongoing progress in connectivity efforts. In the second quarter of 2023, the country experienced an influx of 600,000 new mobile phone subscriptions, bringing the total to about 35 million. This substantial growth in mobile services demonstrates a robust national telephone penetration rate of 77 lines per 100 Ugandans.
MTN contributes UGX42.5 billion to UCC Fund Ms Mulinge addresses journalists at the handover of the UGX42.5 billion to UCC.

In addition, the period witnessed a significant 6% increase in active mobile internet users, totaling 12.5 million. This surge is largely driven by the widespread adoption of smartphones, which have become the primary internet access point for most Ugandans.

Thembo Nyombi highlighted the impact of recent funding on expanding telecommunications services to under-served regions.

"Currently, 85% of government secondary schools have computer labs connected to the internet thanks to this fund," he stated. "However, while secondary schools are being covered, there is a significant gap in primary schools, where the majority of pupils reach Primary Seven without ever seeing or using a computer."

Under the Uganda Communications Act of 1997, every national telecom operator is required to contribute 2% of their gross revenues to support the UCUSAF.

  • Early last month, Airtel Uganda handed over UGX34 billion to the same Fund. Nyombi disclosed that the communications regulatory agency has utilized the contributions from the Fund to establish 65 masts over the past two years in areas deemed commercially unviable for telecom companies, thus promoting fair and equal access to digital services.
  • However, apart from contributing to the Fund, MTN Uganda has also setting up initiatives and programs aimed at making its services accessible in underserved communities as well as inculcating digital skills in the next generation.

In 2023, MTN Uganda extended its fibre cable coverage from 9,418 kilometers to 12,082 kilometers and increased 4G coverage to 85%, 3G coverage to 93% and 2G coverage to 97%.

Through the MTN Uganda Foundation, the company has contributed more than UGX4.4 billion to the community, which includes the establishment of more than 42 ICT labs in various educational institutions nationwide, the online MTN Skills Academy, and the MTN Changemakers initiative.

The company also continues to engage communities directly through initiatives such as the MTN Internet Bus, which provides essential ICT training to underprivileged populations.

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