Houthi-Ordered Price Hike Sparks Outrage in Sana'a Telecom Sector

Saturday 6 Jun 2024 |3 months ago
Yemeni telecommunications companies - Baran Press

Barran Press

Telecom companies in the Houthi-controlled capital of Sana'a have implemented a new price increase for communication and internet services, sparking widespread anger among subscribers. The move, widely attributed to directives from the Houthi group, has been met with accusations of exploitation and a call for a boycott.

On Wednesday, June 27th, 2024, Yemeni telecom companies, including Yemen Mobile, announced significant changes to their internet packages. Yemen Mobile reduced the data allowance of its 12 GB package from 12 GB to 8 GB while increasing the price from 4400 riyals to 3900 riyals. Similarly, the 25 GB package was reduced to 20 GB and priced at 9700 riyals, up from 9000 riyals. The 6 GB package was also slashed to 4 GB and priced at 2000 riyals, down from 2400 riyals.

Meanwhile, "Yoo" (formerly MTN) reduced the call time for its 6 GB Max package from 120 minutes to 40 minutes while eliminating the 18 GB and 10 GB packages.

SabaFon, operating under Houthi control in Sana'a, also announced a new pricing structure on Facebook, reducing its 8 GB package to 7 GB while increasing the price from 3175 riyals to 3420 riyals.

These companies, headquartered in Sana'a, are entirely under the control of the Houthi group, which is designated as a terrorist organization by several countries. The group has been accused of exploiting these companies for surveillance and funding its war effort.

Informed sources have revealed to Barran Press that the new price increase was imposed by the Houthi group under the pretext of improving service, maintenance, expansion, and modernization.

However, other sources claim the decision is linked to recent decisions by the Central Bank of Yemen in Aden, the temporary capital, and is intended to compensate for the group's financial losses due to these decisions.

The price hike has ignited widespread anger among subscribers, who have accused the companies of exploiting them and called for a complete boycott.

Estimates suggest that Yemen has approximately 7.19 million internet subscribers and 18 million mobile phone subscribers.

Economic reports indicate that the Houthi group generates 1.47 trillion riyals annually from mobile phone companies, averaging 210 billion riyals per year, excluding taxes levied on phone and internet usage.

In recent years, calls have intensified to liberate telecom companies from Houthi control and open the field for investment in the telecommunications sector, offering competitive services to the public. These calls stem from concerns over poor service, high prices, and reports of the Houthis using telecommunications for surveillance.

https://en.barran.press/news/topic/3215