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Implications of mandatory registration of mobile phone users in Africa

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  • Jentzsch, Nicola

Abstract

Sub-Saharan Africa ranks among the top regions in terms of growth in the number of mobile phone users. The success of mobile telephony is attributed to the opening of markets for private players and lenient regulatory policy. However, markets may be increasingly saturated and new regulations introduced across Africa could also have a negative impact on future growth. Since 2006, the majority of countries in the region have introduced mandatory registration of users of prepaid SIM cards with their personal identity details. This potentially increases the costs of using mobile telephony. Herein a fixed effects model for the estimation of the impact of mandatory registration on mobile subscription penetration growth is presented, which is based upon a panel dataset of 32 countries in Sub-Saharan Africa for the years 2000 to 2010. The results show that the introduction of mandatory registration depresses growth in mobile penetration. Further, the potential impact of mandatory registration on competition and consumer privacy is critically discussed.

Suggested Citation

  • Jentzsch, Nicola, 2012. "Implications of mandatory registration of mobile phone users in Africa," Telecommunications Policy, Elsevier, vol. 36(8), pages 608-620.
    • Handle: RePEc:eee:telpol:v:36:y:2012:i:8:p:608-620
    DOI: 10.1016/j.telpol.2012.04.002
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    Cited by:

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    2. Patricia Vilcanqui Velazquez & Vito Bobek & Romana Korez Vide & Tatjana Horvat, 2022. "Lessons from Remarkable FinTech Companies for the Financial Inclusion in Peru," JRFM, MDPI, vol. 15(2), pages 1-46, January.
    3. Mothobi, Onkokame, 2022. "The impact of telecommunication regulatory policy on mobile retail price in Sub-Saharan African countries," Information Economics and Policy, Elsevier, vol. 58(C).
    4. de Koker, Louis & Jentzsch, Nicola, 2013. "Financial Inclusion and Financial Integrity: Aligned Incentives?," World Development, Elsevier, vol. 44(C), pages 267-280.
    5. Evans, Olaniyi, 2016. "Determinants of Financial Inclusion in Africa: A Dynamic Panel Data Approach," MPRA Paper 81326, University Library of Munich, Germany.
    6. Luiz Antonio Joia & Joaquim Pedro Vasconcelos Cordeiro, 2021. "Unlocking the Potential of Fintechs for Financial Inclusion: A Delphi-Based Approach," Sustainability, MDPI, vol. 13(21), pages 1-19, October.

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    More about this item

    Keywords

    Telecommunication; Government policy; Consumer protection; Privacy;
    All these keywords.

    JEL classification:

    • L96 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Telecommunications
    • L98 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Government Policy
    • D18 - Microeconomics - - Household Behavior - - - Consumer Protection

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