Egypt’s four telecom operators have asked the government to raise service prices by 30% starting in April, after the latest fuel price increase last week, a source familiar with Cabinet discussions on the sector told Al Manassa.
The request underscores mounting cost pressure in a sector that says it has absorbed repeated fuel price hikes without passing them on to consumers. The government may ultimately approve a smaller increase of 20% to 25%, the source said, with a final decision expected after Eid Al-Fitr.
The government raised fuel prices for all petroleum products by three pounds early last Tuesday, citing higher global oil prices because of the US-Israeli war against Iran.
The source, who asked not to be named, said the four telecom companies submitted a formal memo to the Cabinet and the National Telecom Regulatory Authority (NTRA) early this week, calling for swift approval of higher prices.
The source said the last increase in telecom service prices was over a year ago, while gasoline and diesel prices have risen three times since then, alongside an expected increase in electricity prices next month. The companies have absorbed three consecutive increases in fuel and diesel prices over the past 12 months without changing their service prices, causing heavy financial losses, the source said.
The proposed increase would cover telecom and internet packages, phone calls, recharge cards, mobile line prices and the monthly tax imposed on telecom services, the source said.
The government, represented by the telecom regulator, will meet with the four telecom companies after the Eid Al-Fitr holiday to make a final decision on telecom and internet prices, the source said. “The government does not object in principle to approving a new increase, especially after rejecting a similar request submitted by the companies following the fuel price increase last October,” the source added.
“The companies’ request comes amid a continued rise in the costs of operating telecom infrastructure, which depends heavily on fuel to run thousands of mobile towers and booster stations across the country,” the source said.
The companies are trying to preserve investment levels in network development and improve internet and telecom service quality, especially as the number of mobile internet users rises and demand for data services increases, the source added, saying that is pushing operators to seek price adjustments to keep pace with higher operating and investment costs.
In November 2024, NTRA head Mohamed Shamroukh announced the regulator’s preliminary approval for a telecom price increase, prompting criticism from Mohamed Hedaya, deputy head of the telecommunications and mobile division at the Federation of Chambers of Commerce, who said companies should not seek higher prices while many citizens were still suffering from weak network coverage.
Even so, Egypt’s telecom sector has continued to post strong growth, led by heavy spending on infrastructure and rising demand for mobile, broadband, and digital financial services. State-owned Telecom Egypt said its 2025 net profit more than doubled to 22.58 billion Egyptian pounds ($435 million), while revenue rose 30% to 106.67 billion pounds ($2.05 billion) from 81.67 billion pounds ($1.57 billion) a year earlier.
Private operators have also reported rapid expansion. Vodafone Egypt said revenue in the first half of FY 2025 rose 46.1% to 55 billion pounds ($1.06 billion), while full-year 2024-25 revenue climbed nearly 50% to 82.9 billion pounds ($1.59 billion). Sector growth is being driven not only by connectivity demand but also by digital payments and other tech-enabled services.
