Rwanda-KT Public Private Partnership on track

By IGIHE Reporter
On 25 January 2014 at 01:23

KIGALI, Rwanda – 24 January, 2014: Yesterday, under the Public Private Partnership agreement, the Government of Rwanda (GoR) and Korea Telecom Corporation (KT), the Republic of Korea’s largest telecommunications provider, signed a Closing Memorandum to their second Shareholders Agreement previously executed in September 2013 and have now established their second joint venture company ("Africa Olleh Services Ltd"). This second joint venture company is operationally tasked to accelerate (...)


KIGALI, Rwanda – 24 January, 2014
: Yesterday, under the Public Private Partnership agreement, the Government of Rwanda (GoR) and Korea Telecom Corporation (KT), the Republic of Korea’s largest telecommunications provider, signed a Closing Memorandum to their second Shareholders Agreement previously executed in September 2013 and have now established their second joint venture company ("Africa Olleh Services Ltd"). This second joint venture company is operationally tasked to accelerate deployment of Information Technology (IT) infrastructure and to develop and operate online services required to support Rwanda’s transition to a knowledge-based economy.

The Closing Memorandum was signed by the CEO of Rwanda Development Board Ambassador Valentine Rugwabiza and President, Global & Enterprise Group, KT Corporation Mr. HJ Kim.

In June 2013, GoR and KT entered into a Public Private Partnership (PPP) to deploy and operate a comprehensive high-speed broadband network and also spearhead the expansion of the nation’s online services capability. Both these capabilities are necessary to achieve Rwanda’s goals in the ICT sector.

The first company (Olleh Rwanda Networks Ltd) is tasked to add 4G LTE to Rwanda’s comprehensive national fibre optic infrastructure and operate the combined infrastructure as a wholesale-only provider of high speed mobile broadband, covering 95% of the population by 2017.

The second company (Africa Olleh Services) will expand the country’s “cloud” services capability, enabling business, government and individuals to conduct a full range of economic and social activities online. Africa Olleh Services will operate as a systems integrator and provider of information technology solutions to the broader market across the region.
Ambassador Valentine Rugwabiza said;

“The first company, Olleh Rwanda Network is already operational, has already received shareholder funding and is on target to complete 4G LTE wireless broadband roll out as planned. The second company, Africa Olleh Services Ltd will launch its operations early March 2014. It is expected to start the delivery of the first of many Government of Rwanda projects that it will be assigned in accordance with the shareholder’s agreement immediately.”

She further stressed the impact of such projects in further improving the ease of doing business. (Rwanda was ranked 32nd in the 2014 World Bank Doing business report globally and is the top reformer in the history of the World Bank doing business). She added that the systems and infrastructure created by Africa Olleh Services will enable businesses and Government to reduce transaction costs and save time. Its online services will increase productivity and efficiency throughout the economy, and the company will provide many highly skilled jobs.

Mr. HJ Kim said:

“The joint mission of the Government of Rwanda and KT Corporation is to use Africa Olleh Services as a strategic vehicle to develop a large pool of about 700 highly skilled professionals, to foster Rwanda’s development and facilitate KT’s entry into markets in sub-Saharan Africa.”

Achieving large-scale transfer of know-how from KT Corporation and developing a broad base of ICT skills is consistent with achieving the goals of Rwanda’s EDPRS-II (2013-2018) program.


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