Ukraine to offer 4G mobile licenses for UAH 2.3 bln in January

Ukraine’s telecom regulator, the NCIRC, announced it
will hold a tender on Jan. 23 to sell seven national IMT licenses (marketed as
4G mobile licenses), according to the regulator’s Nov. 9 statement. The total
starting price for seven, 15-year licenses and related frequency bands of 80
MHz was set at UAH 2.288 bln. Besides payment for the licenses and frequency,
the tender winners will also have to pay fixed conversion fees, which total UAH
0.50 bln (payable to the current owner of the frequencies, the private company
MMDS-Ukraine).

Recall that three tenders for 3G mobile licenses were
held in February 2015, at which the three leading mobile operators of Ukraine paid UAH 8.77 bln to the state
budget (at an aggregate starting price of UAH 8.10 bln) and UAH 0.53 bln for
conversion.

Alexander Paraschiy: So far, the investment made into the 3G licenses in 2015 has yet to be
recovered by the three operators. But nevertheless, we expect these new tenders
will be successful next year and will bring to the state budget over UAH 2 bln
in additional proceeds. Therefore, the news is encouraging for the Ukrainian
government and for the country’s investment attractiveness.