The mobile phone market in Burkina Faso is driven by three main players: Orange, Telecel, and the incumbent operator Onatel (Moov Africa). The three together recorded a turnover of 490.5 billion FCFA in 2024.

The Burkinabe government adopted a decree in its Council of Ministers meeting on Thursday, February 12, requiring large companies with a turnover of at least 5 billion CFA francs (approximately 9 million USD) over the past three fiscal years to establish their headquarters in Burkina Faso. This requirement applies particularly to the three mobile phone operators active in the country, given their level of activity.

The text specifies the construction standards and conditions according to the size of the company. It establishes four categories, covering turnover brackets ranging from less than 10 billion to more than 100 billion FCFA.

Category A includes companies with annual revenues of 100 billion FCFA or more. They must construct at least a seven-story building (ground floor + 7 floors), with both underground and surface parking, incorporating energy efficiency standards. Moov Africa and Orange fall into this category. According to data from the Regulatory Authority for Electronic Communications and Posts (ARCEP), Onatel recorded revenues of 117.19 billion FCFA in 2024, 111.76 billion in 2023, and 120.83 billion in 2022. Orange, for its part, generated 332.91 billion FCFA in 2024, 299.93 billion in 2023, and 251.77 billion in 2022.

Telecel Faso falls under category C, which includes companies with a turnover between 10 and 50 billion FCFA. These companies must construct at least a four-story building (ground floor + 4 floors) with surface parking. The operator recorded a turnover of 40.44 billion FCFA in 2024, 42.41 billion in 2023, and 45.68 billion in 2022.

Companies have six months to submit their applications to an inter-ministerial commission and 36 months to complete the work. They will be able to benefit from exemptions on construction materials and acquire developed land from the National Urban Land Development Company (SONATUR).

It is worth recalling that on Monday, February 3rd, Moov Africa laid the foundation stone for its future headquarters. Located in the Ouagadougou Commercial and Administrative Activity Zone (ZACA), on a plot of approximately 7,000 m², the building will be a five-story structure (ground floor + 5 floors) expandable to seven stories (ground floor + 7 floors), representing a reported investment of 9 billion CFA francs. The authorities see it as a symbol of modernity, digital sovereignty, and a commitment to sustainable development.

Investment decisions to watch out for

It remains to be seen, however, whether these new real estate obligations will affect operators’ ability to invest in digital infrastructure, especially given the government’s ambitious plans for digital transformation. Authorities intend, in particular, to expand broadband access, accelerate the rollout of fiber optics, and extend telecom infrastructure to underserved areas.

In August 2024, the Minister of Digital Transition, Aminata Zerbo/Sabane, indicated that mobile phone service coverage had reached 85%, compared to 64% for 3G internet and 46% for 4G. According to the International Telecommunication Union (ITU), internet penetration in Burkina Faso was 17% in 2023, compared to 55.9% for mobile telephony.

Furthermore, 5G has not yet been commercially launched in the country, even though its deployment requires significant investment. A 2022 study by Ericsson estimates the initial cost of deploying 5G in a country at between $3 billion and $8 billion USD. The Chinese technology company adds that an additional 20% to 35% investment is needed for nationwide coverage.

Source: Agence Ecofin