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Home / Business / Companies / Telecommunications

From Kabul to Western Africa

30 Jan, 2004 08:02 AM2 mins to read

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By PETER GRIFFIN

It was one of the first communications companies to set up shop in Afghanistan once the shooting had stopped.

Now Auckland-based telco Argent Network has cracked the West African nation of Liberia, picking up a three-year deal to provide billing, customer care and pre-paid internet services for mobile operator
LiberCell. The US$1.5 million ($2.2 million) contract involves Argent providing the billing engine that will keep account of the calling and internet credits LiberCell subscribers have bought.

It's a symbolic deal for Argent, which has targeted the "burgeoning" markets in the Middle East and Africa where a lack of infrastructure has made mobile networks the key form of communication.

Argent's chief executive, Chris Jones, said the situation in Liberia had improved to the extent that business has finally been given the opportunity to grow again.

"Things died down some months ago and [LiberCell] were there through the regime changes," he said, fresh back from a trip to Liberia's capital Monrovia.

LiberCell holds a mobile licence in Liberia and wants to extend services across the country.

Doing business in Liberia had its own challenges, but the opportunities were great.

"There's a lot of hanging around at airports and some logistical problems getting equipment into the country."

Liberia has been in sporadic turmoil since 1980 as factions have fought for control of the country, which ironically was set up as a democratic nation for freed African slaves in 1847.

The country has returned to relative peace since warlord-turned-president Charles Taylor's departure for exile in Nigeria late last year. Thousands of refugees from neighbouring countries are returning home.

Argent's experience in post-war Afghanistan has shown that demand for mobile services is strong.

"The number of subscribers is increasing because they don't have any fixed infrastructure. Average revenue per user is huge as a result," said Jones.

The $4.5 million Afghanistan deal had so far gone smoothly, he added.

Argent would not have staff on the ground in Liberia full-time as LiberCell's staff would maintain the systems.

For Argent, funded by local investor No.8 Ventures, Liberia is an important "reference site" in the company's quest to win more business in Africa.

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