Madagascar - Telecom - Modernization of the Telecommunications Network

As part of the Malagasy public administration's digitalization program, the Minister of Posts, Telecommunications, and Digital Development (MPTDN) will modernize the state's telecommunications network. The project, entrusted to Huawei, will be financed to the tune of USD 47.2 million by Exim Bank of China.

To provide the public administration with a modern fiber optic and LTE network with secure infrastructure, new technologies will be deployed and put at the service of the public administration (artificial intelligence, data center, surveillance camera, videoconferencing, e-mail, IP telephony).

The project to modernize the State's telecoms network has several objectives, including the efficiency of the administration with the establishment of inter-ministry communication networks and a secure mobile network; the facilitation of inter-departmental data exchanges by limiting the risks linked to cyberattacks; the optimization of public spending on communications; the strengthening of public security; the improvement of urban telecoms traffic management; and the promotion of the digital culture of the administration.

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Several operators currently make up the telecommunications sector in Madagascar.

The historic operator, Telma, holds a certain monopoly: vertically through the monopoly of fiber serving all of Madagascar and horizontally, through the holding of the mobile license, the fixed telephony license and the data transmission license.

Madagascar is experiencing a paradoxical situation when it comes to mobile and internet technology performance. Unlike many sub-Saharan African countries, it has a low mobile penetration rate, estimated at only 45,63% in 2019 by the Communication Technologies Regulatory Authority (ARTEC). As for the internet penetration rate, it has shown a steady increase in recent years but is estimated at around 11,60% in 2019, while Madagascar has a much better high-speed internet quality than countries such as Kenya, South Africa or Ghana thanks to the Eassy submarine cable network.