Senators in Kenya imagine that Safaricom ought to cut up into two companies – Cellular Companies and M-PESA. In keeping with The Star, a cut up would see the cellular telephony service is regulated by the Communication Authority of Kenya (CAK) and the M-Pesa division regulated by the Central Financial institution of Kenya (CBK).
A current report by TechWeez revealed that senators imagine there needs to be a degree taking part in floor for the likes of Telkom and Airtel Kenya who function on the mercy of Safaricom as they owe it billions of shillings.
“The market isn’t aggressive any extra. The opposite operators needs to be allowed to function, by giving the dominant operator its proper, but in addition permitting the others to function, and permit innovation within the nation,” says Senator Petronilla Have been of the ICT committee.
Senator Irungu Kang’ata echoed this sentiment, saying “in Kenya, you’ve got a scenario the place one single participant dictates how a lot you’re going to pay for information bundles, for calls and Quick Message Service as a result of it controls virtually 90 per cent of the market”.
“In such a scenario, I don’t foresee another entity rising. We aren’t going to create extra jobs and innovation in that business due to the dominance of 1 entity.”
Senator Enock Wambua urged Safaricom to verify whether or not it’s a communication firm or a banking establishment. “I’d recommend that Safaricom is cut up into two. Safaricom the communication firm, regulated by the Communication Authority of Kenya (CAK), and the M-Pesa division regulated by the Central Financial institution of Kenya.”
