Morocco

Where data demand and steady growth meet affordable access

A new report* from consultancy Analysys Mason offers a comprehensive overview of Morocco’s telecoms market, a market that is among the biggest in Africa. Ron Murphy asks report author Olamide Makinde and Analysys Mason lead analyst Karim Yaici to tell us something about the report’s findings.

THE NEW MOROCCO Telecoms Market report from consultancy Analysys Mason is no doubt timely. Published in February 2020, it includes data up to the end of 2019. Photo: Analysys Mason

Among its findings is the (not too surprising) dominance of mobile. As report author and research analyst Olamide Makinde notes, the mobile market dominates the country’s telecoms sector – not only in terms of connections (nearly 44 million mobile connections compared to 1.6 million fixed broadband subscribers at the end of 2019) but also in terms of revenue (mobile services revenue represented 77 per cent of total market telecoms revenue in 2019).

Mobile is, it seems, in good shape in Morocco. Karim Yaici, a lead analyst for Analysys Mason’s Middle East and Africa regional research programme, says, “The The new report underlines the dominance of mobile communications in Morocco. mobile penetration of the population exceeded by the three operators (Maroc Telecom, securing approval last summer from the Bank 100 per cent in 2012 and has been steadily Orange, inwi) is excellent judging by the figures Al Maghrib, Orange Morocco announced the growing ever since to reach 119 per cent at the reported by the regulator. 3G coverage of the launch of Orange Money in the kingdom in end of 2019. Morocco has one of the largest population exceeds 96 per cent and 4G March. Orange Money offers every mobile user, economies in Africa and the mobile market coverage is not far behind.” She adds, “I do not regardless of their telecom operator, the option enjoys a healthy level of competition which think that there is a divide between rural and of having a mobile wallet backed by their contributed to driving the take-up of mobile urban areas in terms of coverage.” phone number. The solution allows mobile services. The launch of 4G in 2015 also helped Mobile money is a fairly recent addition to phone users to carry out financial transactions, to make data access more affordable and this market. Mobile money services have pay for phone recharges remotely or withdraw increase data traffic.” recently been launched by inwi and Orange. money from their Orange Money wallets at points

In fact, the competition is more evident in The first came in September last year, when a of sale approved by Orange Money Maroc. the mobile market than it is on the fixed side of new mobile money service called ‘inwi It’s certainly an important development. As things. He says, “Maroc Telecom controls 98 money’ was launched. It works on mobiquity Orange says, “Mobile money is revolutionising per cent of fixed broadband subscribers while Money, a platform offered by mobile solutions Africa’s economy.” However it makes Morocco it has a share of 40 per cent of the mobile provider Comviva. the 18th country in the Africa and Middle East market. Despite the introduction of local-loop Customers can access the service using any region of Orange to offer the Orange Money unbundling (LLU) in 2008, Maroc Telecom has type of mobile phone through the inwi money solution and there are many non-Orange failed to publish its wholesale offers and as a mobile application or USSD menu. The service services in countries like South Africa and result it was fined by the regulator in February is available in French and Arabic. It facilitates Kenya. So why the delay? 2020 for anti-competitive practices.” multiple levels of registration, ranging from Makinde explains, “The delay in the

And coverage isn’t bad either. Makinde self-registration to agent-supported registration. introduction of such services was due to the says, “Mobile network coverage in the country Orange followed earlier this year. After lack of regulations. It was not until 2018 that the Central Bank and the National

The mobile penetration of the population exceeded 100 per cent in 2012 and has been steadily growing ever since to Telecommunications Regulatory Agency established a mobile money programme where mobile money licences were granted.” reach 119 per cent at the end of 2019. Continued on page 27