Inflation leads to further TNM price hike
Telekom Networks Malawi (TNM), the country's second largest mobile operator by subscribers, increased its tariffs by an average of 14% yesterday (4 March), in response to high inflation in the cost of utilities, goods and services. The move follows an earlier 14% hike in the company's tariffs, which came into effect in May 2014. TNM, which competes with Indian-owned Airtel Malawi in the wireless market, said in a press release that it 'must maintain profitability of its operations to support sustainable development of the telecommunications sector in Malawi, which in turn contributes significantly to the country's economy.' It adds that in order to achieve this level of profitability, TNM must continue to invest heavily in network expansion and infrastructure development; the tariff adjustments therefore aim to keep pace with the financing needs of TNM's operations, while sustaining profitability. Going forward, the company says it plans to continue introducing new products and services at affordable prices, while also striving to maintain network service quality.
Source: Telegeography 5 March 2015