MTN Iran investment undeterred by US sanctions

MTN Iran investment undeterred by US sanctions

MTN Group is continuing to invest in its Iranian unit despite the sanctions imposed on the market by the USA.

The sanctions have made it challenging to repatriate earnings from MTN Irancell, which is 49% owned by MTN Group. However, the parent company has stated that it is legally able to convert its earnings into loans to its Iranian subsidiary.

This in turn is enabling MTN Irancell – the country’s second largest operator – to invest in its wireless and fixed networks. MTN Group hopes that this will lead to sales growth.

Ralph Mupita, MTN Group’s CFO, said: “This has placed MTN Irancell in a position where it has enough cash to continue funding its network expansion, even during these tough times”.

Sign-up to our weekly newsletter

Keep up-to-date with all the latest news, articles, event and product updates posted on Developing Telecoms.
Subscribe to our FREE weekly email newsletters for the latest telecom info in developing and emerging markets globally.
Sending occasional e-mail from 3rd parties about industry white papers, online and live events relevant to subscribers helps us fund this website and free weekly newsletter. We never sell your personal data. Click here to view our privacy policy.