Paynesville City- The Liberia Telecommunications Authority (LTA) Acting Board of Commissioners have signed its first-ever regulations aimed at a significant shift in the country’s telecommunications landscape, designed to empower local entrepreneurs, improve service quality, and create a more inclusive market to boost government revenue.
By Jaheim: By Jaheim T. Tumu- [email protected]
The reforms include the restructuring of the management of Short Codes, which were previously monopolized by Mobile Network Operators (MNOs), and the introduction of new rules for Wholesale Access to Telecommunication Networks for Value-Added Services (VAS). Accordingly, the new regulations will ensure a transform Liberia’s telecom sector by promoting fairness, transparency, and competition.
Speaking at the unveiling ceremony, LTA Acting Chairman, Abdullah Kamara said reforms are expected to lower barriers to entry for Liberian smaller businesses and foster innovation, setting the stage for more vibrant local participation in the telecom sector.
Kamara disclosed that initially MNOs had full control over the assignment and pricing of Short Codes that allow them to charge high fees. Accordingly, he said the lack of regulation meant that MNOs could set high fees, creating an unfair competitive environment, especially for new entrants trying to establish themselves in the Mobile Money market.
Said Kamara, “The new Numbering Regulation changes this dynamic, making all Short Codes a national resource managed by the LTA. This ensures equal access for all applicants on a first-come, first-served basis, with clear guidelines and standards.
He added, “The revised Numbering Plan categorizes Short Codes into 3-digit to 6-digit codes, with specific provisions for Toll-Free, Premium, and other specially assigned numbers. The regulation eliminates exclusive perpetual rights to numbers, promoting effective competition and transparency.”
Kamara, who highlighted the need for Liberian to have millionaires from the telecommunication sector, said the application fee for Short Codes is set at USD 25, with an annual authorization fee of USD 150, with the exception for the limited 3-digit Short Codes, which have a USD 1,500 authorization fee.
“This new framework decentralized control over this scarce natural resource, fostering competition and opening up business opportunities for smaller entrepreneurs, especially Liberians,” he said.
Speaking further, Kamara emphasized VAS regulation mandates MNOs to provide access to Short Code businesses, ensuring fair market cost-based access for these businesses to reach their customers through MNOs, and promoting sustainable wholesale access to non-telecom services.
He stressed that the approach is designed to promote equitable opportunities for businesses to connect with their customers via mobile networks, ensuring that the costs associated with accessing these networks are reasonable and transparent.
The LTA Chairman said that the Board is committed to implement appropriate measures to manage and monitor the implementation of these regulations to ensure effectiveness and adherence.
“During this period, MNOs will transfer their control and terminate existing contracts with Short Code businesses. The LTA will then determine the numbering authorization fee. This transition period is aimed at disrupting the market to foster a more competitive and transparent environment,” he disclosed.
Adding, “This shift is expected to stimulate innovation and entrepreneurship, providing a level playing field where new and existing businesses can thrive.”
He, however, called on young people and business professionals to explore opportunities within the telecom sector, describing it as a “goldmine” for potential wealth creation.
Said Kamara, “We are creating a space for Liberians now.” The sector is highly lucrative and it’s time for Liberians to take advantage.”
