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Chad Abolishes Import Taxes On Smartphones, Computers, Tablets For Five Years

January 25, 2022

According to the telecoms regulator in Chad, Chad’s Internet penetration rate will be barely 14 percent in 2020. The government is taking aggressive measures to catch up on the digital inclusion of communities as the digital economy grows around the world. Henceforth, importers of telephones for wireless cellular networks (all varieties of mobile phones and smartphones), automatic data processing machines (all types of computers and tablets, fixed and mobile), and related accessories are exempt from import duties and taxes in Chad for the next five years.

According to a Ministry of Finance decree, the measure took effect on Monday, January 24.

Modems, routers, and other Internet connection devices are also affected.

The Chadian government is setting the groundwork for broader public participation in the digital economy through this tax exemption, which it plans to develop over the next 10 years through the digital transformation initiative presently in development.

Chad remained one of the countries on the continent with the lowest Internet penetration percentage in 2020.

The Regulatory Authority for Electronic Communications and Posts (ARCEP) reports that Chad’s Internet penetration rate was 14.2 percent in its 2020 annual report on the telecoms market, which was published in July 2021.

There are 2,310,332 Internet users out of 8,696,859 telecom subscribers.

The World Association of Telephone Operators (GSMA) stated in their report “Sub-Saharan Africa Mobile Economy 2021” that the high cost of mobile devices is to blame for Africa’s poor mobile Internet penetration rate, particularly in Chad.

It noted that out of the region’s 1,084 million inhabitants, 575 million (53 percent) live in places with mobile broadband networks but do not yet use it due to a shortage of compatible devices.

In their 2020 study “From luxury to lifeline: Reducing the cost of mobile devices to achieve universal internet access. Web Foundation,” the Alliance for Affordable Internet (A4AI) found that the average price of a smartphone in Africa was $62 or 62.8 percent of per capita gross national income on a monthly basis.

It campaigned for a reduction in specific taxes that affect the price of mobile handsets and people’s access to telecom services, in collaboration with the GSMA.

The GSMA already pointed out to the Chadian government in its 2017 report “Digital inclusion and mobile sector taxation in Chad” that mobile tax reform has the potential to align investments in infrastructure and access to mobile services with the Vision 2030 strategy’s ICT-related development goals.

Chad computers smartphones taxes Chad computers smartphones taxes

5 African Startups To Pitch International Investors At LabEight Africa Demo Day

Charles Rapulu Udoh

Charles Rapulu Udoh is a Lagos-based lawyer who has advised startups across Africa on issues such as startup funding (Venture Capital, Debt financing, private equity, angel investing etc), taxation, strategies, etc. He also has special focus on the protection of business or brands’ intellectual property rights ( such as trademark, patent or design) across Africa and other foreign jurisdictions.
He is well versed on issues of ESG (sustainability), media and entertainment law, corporate finance and governance.
He is also an award-winning writer

Rwanda Takes the Lead, Launches ‘Made in Africa’ Smartphone

October 8, 2019

True to expectation, efforts by the Rwandan government to jumpstart human capacity development and technological advancement took an upward turn yesterday as President Paul Kagame unveils a Smartphone factory that gives Rwanda the birthplace of Africa’s first indigenous mobile phone company. Mara Phones, a subsidiary of the Mara Group owned by businessman Ashish J. Thakkar, built a high tech smartphone manufacturing facility in Kigali’s Special Economic Zone, Rwanda with the capacity to produce about two million smartphones annually.

Speaking on the need for Africans to be digitally empowered as the 4^th Industrial Revolution beckons, President Paul Kagame said that a smartphone is no longer a luxury item; it is rapidly becoming a requirement of everyday life. President Kagame noted that the trend is bound to increase in the years to come as more and more services migrate to digital platforms. “We want to enable many more Rwandans to use smartphones. The cost and quality is very important and the introduction of Mara Phones will put smartphone ownership within reach of more Rwandans.”

Describing the development as a dream come true, the founder of Mara Group Ashish Thakkar said that the company aims to manufacture very high quality smartphones at an affordable price while improving smartphone growth in Africa. He noted that to create a positive social impact on the continent and in emerging markets there is this need to have high quality and affordable smartphones, thus the reason behind the Mara Phones.

Figures from the Rwandan statistics office show that smartphone penetration in Rwanda currently stands at around 15% with the most basic Tecno and Samsung models sold at $40 and $70 respectively. Mara Phones’ new factory will start manufacturing two phone models, the Mara X and Mara Z. Thakkar says both phones will be retailed for less than $200 and among other things will have a longer-lasting battery than other smartphones, greater storage space and a 2-year Android version update courtesy of a partnership with Google. Mara Phones also has partnered with local banks and telecommunications firms to create a finance model which will allows users to pay for their phones over a two-year period.

This need for a longer lasting battery was informed by Africa’s electricity challenge, thus a full charge will last as long as two to three days depending on usage, officials say. Moreso, the phone will be more rugged to withstand both climate and environmental challenges.

Clearing the air on doubts over the Phone, Mara Group says the new facility is Africa’s first high tech smartphone factory. “What we have around Africa are basically mobile phone assembling plants. What we have built is Africa’s first smartphone manufacturing plant,” Thakkar was quoted as saying. The factory already employs 200 people with women representing 60% of the workforce. Launching the factory, Rwandan President Paul Kagame commended Mara Group’s entry into the affordable smartphone market and underlined the need to boost the adoption of high-tech products in the East African country. Mara Phones will be launching its second factory in South Africa later this month.

Ashish Thakkar, 38, is the founder of Mara Group, a Dubai-based, African-focused conglomerate with interests in the technology, financial services, manufacturing, real estate & agriculture industries.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry.

Rwanda Gets Africa’s First Smartphone Powered By Blockchain

July 19, 2019

Take it or leave, innovative startups are never retiring to sleep soon. The game of disruption is hitting hard. Sooner or later, everything would soon be stretched to its limits. Pundi X has taken the first bold step.

Now in Rwanda, it has launched the first-ever Blockchain-powered smartphone on the African continent. The Singapore based technology company says the new phone blockchain mobile phone will allow everyone to make a phone call on the blockchain.

Here Is How The Whole Thing Works

The blockchain-powered smartphone is to be known as XPhone, and very much unlike many phones powered by android, IOS and Windows systems, the XPhone is powered by Function X (FX) operating system — a blockchain system.
According to Pundi X, a blockchain phone uses blockchain technology which powers many things like bitcoin, digital land titles, and medical records.
With XPhone, users are connected to the blockchain — everything they do from texting and calling to taking photos and browsing is transmitted via the blockchain.
In this sense, users are in control of their data.
In a case of Rwanda, for instance, if you had an XPhone, MTN or Airtel would not be able to access your information.
Blockchain as an emerging technology is increasingly becoming popular with many applications being invented every day.
The technology is mostly known for financial services. This is the technology that powers bitcoin and ethereum (the world’s top digital currencies).
The technology enables people to own digital money and transact between themselves without the presence of intermediary or central authority like financial institutions.
In some parts of the world, people are already using bitcoin (a form of electronic money) to make transactions without the need of banks, purchase goods and services and buy music online.
But blockchain technology is generally considered to have other real-life applications like helping in designing smart contracts, enable digital voting, create digital Ids, and enhance supply chain management, just to mention but a few.

The startup unveiled the phone, XPhone, at the GSMA Mobile 360 Africa and it said it was the first blockchain mobile phone launched in Africa.

“The XPhone allows everyone to make a phone call on the blockchain,” Zac Cheah, the company’s chief executive officer said while unveiling the phone.

Xphone Is Out To Confront Data Mining By Mobile Network Providers

Here is why Xphone is the deal:

XPhone will have no centralized service provider, making it secure as consumers are in charge of their own data. Very much like no MTN, or Vodafone or Orange.
The XPhone has an open-source which means that anyone that is interested to build applications and services can do it easily.
The blockchain smartphone will enable you to make a smooth transition between blockchain and traditional Android mode.
The company says it plans to produce only 5,000 XPhones in late 2019, but that it was looking to partner with telecommunication companies to produce more blockchain phones.

This is a huge moment for all the stakeholders in the mobile telephone industry. Blockchain phones would definitely serve some purposes: eliminate data mining by spy groups; store information permanently into the blockchain; (making it easier to retrieve information on occasions of lost phones)as well as have access to normal phone services.

Now, here is one problem Zac Cheah and his startup would have to face: Zac Cheah and his startup are likely to face quite some questions regarding whether the new phone could be easily commercially and widely accepted as people take a while to adopt some of these complex technologies. To put the question succinctly, how many people know what blockchain technology is?

Another thing: government regulations and approvals! This could be another puzzle for the entrepreneurs since most governments across the world have been less responsive to large scale adoption of blockchain technology.

Charles Rapulu Udoh

Charles Rapulu Udoh is a Lagos-based Lawyer with special focus on Business Law, Intellectual Property Rights, Entertainment and Technology Law. He is also an award-winning writer. Working for notable organizations so far has exposed him to some of industry best practices in business, finance strategies, law, dispute resolution, and data analytics both in Nigeria and across the world.

Facebook: https://web.facebook.com/Afrikanheroes/

TECNO Phone Wins Africa Information Technology & Telecoms Awards (AITTA)Phone of the Year 2019

July 16, 2019

TECNO SPARK 3, a smartphone model by TECNO, a global premier mobile phone brand, has been awarded as the smartphone brand of the year at the 2019 edition of the Africa Information Technology & Telecoms Awards (AITTA).

AITTA recognizes customer service, innovation, and excellence in Africa Telecom and Information Technology industry. The reputable awards now in its third year and has been acclaimed as one of the most prestigious and biggest platforms recognizing excellence and innovation in the African telecoms and technology industry.

TECNO SPARK 3 was awarded as the phone of the year as a result of its cutting edge features as well as its outing market outing positive reception of the TECNO brand loyals and customers. This is the only smartphone recognized by AITTA this year. As one of the most remarkable devices to “light up” the photos, SPARK 3 have been upgraded by AI technology to furthermore advanced the camera features to be available in Africa, middle-east and Southeast Asia market.

Starting their business from the Africa market in 2006, TECNO has been Africa’s leading smartphone brand and was the first dual-SIM handset supplier to the African continent, which boosted an astonishing 53% of all Smartphone sales in Africa in the year 2011. Focusing on providing high performance and cutting edge smartphone that uses the latest technology and at a sweet price point, TECNO smartphones have become incredibly popular throughout Africa due to the exceptional value-for-money they offer.

TRANSSION, TECNO Mobile ’s parent company, its brand portfolio comprises leading mobile phone brands in emerging markets. In 2018, TRANSSION sold 124 million mobile phones globally.

IDC figures for 2018 show that TRANSSION ranks 4th in global mobile phone brands and holds the largest market share in Africa. Their global sales network covers more than 70 countries in emerging markets including Nigeria, Tanzania, Kenya, Ethiopia, Egypt, India, Pakistan, Indonesia, Vietnam, and Bangladesh to name a few.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry.