Ethiopia has issued expression of interest for a transaction advisor in charge of facilitating the privatization process for state-run Ethio Telecom.
Briefing journalists on Thursday Eyob said “We have issued an expression of interest to hire a transaction advisory firm to lead the partial privatization of Ethio Telecom.”
The request for expressions of interest for a transaction advisor firm posted on Thursday September 26, 2019 on the website of the ministry will be closed after two weeks.
Eyob said another adviser will be appointed in coming weeks to oversee licensing in the telecoms sector.
According to the state minister, Ethio Telecom had appointed international consulting firm KPMG to help with a process aimed at selling off stakes in the telecom.
Public Enterprises Holding and Administration Agency will select and probably engage in the consulting firm on November 1, 2019, Eyob added.
The government in July this year said it will award two telecoms licenses to multinational mobile companies, in the first detailed announcement of the government’s plans for opening one of the world’s last major closed telecom markets.
The government of PM Abiy Ahmed wants to privatize Ethio-Telecom this year and has been working hard to establish the legal framework for privatization and restructuring or reform to make the sale attractive to buyers.
Late last year, the government disclosed its interest to partially privatize ethio-telecom, Ethiopian airlines and about 13 sugar factories. The government’s decision has been highly criticized by some economists who claim that “it is tantamount to selling cash cows.”
MG/abj/APA