MTN Uganda contributes UGX 50 Billion to UCC’s Universal Service and Access Fund

MTN Uganda has announced a record contribution of UGX 50.55 billion to the Uganda Communications Commission’s Universal Service and Access Fund (UCUSAF), marking its largest annual remittance to date.

The move reflects the telecommunications giant’s deepening commitment to accelerating digital inclusion and supporting the expansion of ICT infrastructure in underserved communities.

The announcement was made during a stakeholder engagement event held at the UCC headquarters in Kampala on Monday. The UGX 50.55 billion contribution represents a notable increase from UGX 42.5 billion in 2024 and UGX 36 billion in 2023—further reinforcing MTN Uganda’s pledge to go beyond regulatory compliance in fulfilling its mandate as a National Telecommunications Operator (NTO).

All licensed telecom operators in Uganda are required by law to remit 2% of their annual gross revenue to UCUSAF, a fund managed by the Uganda Communications Commission. Established in 2001 as the Rural Communications Development Fund (RCDF), UCUSAF aims to address challenges related to connectivity, access, affordability, and the equitable distribution of ICT services, particularly in rural and hard-to-reach areas.

“At MTN, we believe that everyone deserves the benefits of a modern, connected life,” said MTN Uganda CEO Sylvia Mulinge. “This contribution is part of our broader strategy to support Uganda’s digital transformation—not only by investing in infrastructure but also by enhancing affordability, access, and digital skills.”

UCC Executive Director Hon. Nyombi Thembo commended the telecom operator for its consistency and dedication.
“While this financial contribution is a legal obligation under your license, what we appreciate most is the spirit with which you meet it,” he said. “You pay consistently and on time. That kind of commitment is not taken for granted.”

The contribution comes amid growing concern over Uganda’s low smartphone penetration. According to UCC’s Q4 2024 report, only 35.6% of Uganda’s 51 million mobile subscribers use smartphones, compared to 72% in Kenya and over 90% in South Africa.

To address this gap, MTN Uganda has intensified its efforts through initiatives such as the M-Kabode Supa smartphone financing programme, along with strategic partnerships aimed at making smart devices more affordable. These efforts have seen smartphone penetration on MTN’s network rise from 39.1% to 44.9% over the past year.

Beyond improving device access, MTN Uganda is investing in digital literacy and skills development. The company has established 63 ICT laboratories in schools and other institutions across the country. Through its MTN Internet Bus initiative, it also provides practical digital training to learners and communities, empowering them to fully participate in the digital economy.

“Access to infrastructure is important, but access to knowledge and skills is equally critical,” Mulinge added. “We are investing to ensure no one is left behind as Uganda advances in its digital journey.”

MTN Uganda reaffirmed its commitment to continued collaboration with UCC and other key stakeholders to close the gaps in affordability, literacy, and equitable access to ICT services nationwide.