en.Wedoany.com Reported - Kuwait's Zain Group has successfully won a 25-year license to operate a mobile communications network in Syria, further expanding its regional footprint into the emerging telecom market of the Levant. The license, with an initial term of 20 years and an option to extend for five more, was awarded by Syria's Ministry of Communications and Information Technology (MCOT) through a competitive tender.
Zain won the tender for the existing MTN network with a bid of $747 million, deemed the most competitive and fully compliant after comprehensive technical and financial evaluations. Under the agreement, Zain will establish a new operating company in Syria, with the group holding a 75% stake and Syrian government entities holding 25%. The Zain Syria brand is expected to commence commercial operations in the first quarter of 2027, subject to the completion of regulatory approvals and licensing procedures.
During a six-month transition period, Zain will work closely with Syria's MCOT and the existing MTN team to ensure uninterrupted service for approximately 6.3 million existing subscribers while advancing the handover and upgrade of network operations. With this move, Zain becomes the second-largest mobile operator in Syria. The company stated that the market holds significant potential due to a young demographic structure, growing demand for high-quality mobile and data services, and gradual improvements in socio-economic conditions.
As part of its long-term commitment, Zain Syria plans to invest over $800 million in the next decade to modernize and expand telecom infrastructure, with a focus on deploying 5G services, upgrading network infrastructure, and introducing AI-driven digital technologies. Investment funds will come from the cash flow of Syrian operations, while leveraging Zain Group's technical expertise and operational experience to accelerate deployment and enhance service quality.
Zain's Vice Chairman and Group CEO, Bader Al-Kharafi, expressed gratitude to the Syrian government and the team of Minister of Communications and Information Technology, Abdulsalam Haykal, for conducting a transparent, professional, and rigorous tender process. He noted that under the guidance of Kuwait's Emir, Sheikh Mishal Al-Ahmad Al-Jaber Al-Sabah, the company firmly believes in strengthening Arab cooperation and advancing development and investment initiatives that promote regional stability and prosperity.
Al-Kharafi pointed out that he had the honor of meeting with Syrian President Ahmed Al-Sharaa, and emphasized that Zain's entry into the Syrian market is not only a strategic business expansion but also reflects the company's confidence in Syria's future and the capabilities of its people. Zain is committed to becoming a partner in Syria's digital transformation and economic growth by investing in local talent, advancing digital infrastructure, and supporting small and medium enterprises and government entities with AI-driven digital solutions. He also reiterated that Zain Group's board and executive management are fully committed to building a modern, reliable network to support Syria's digital transformation. Al-Kharafi added that Zain is confident in Syria's economic recovery and long-term prospects, and that this expansion will strengthen the company's presence in the Levant, reinforcing the longstanding ties between Kuwait and Syria. Cross-border digital services enabled by Zain's regional footprint and technical capabilities will also enhance regional connectivity. Guided by the company's "4WARD-Progress with Purpose" strategy, Zain looks forward to providing quality services to the Syrian people and becoming a trusted partner in their digital transformation. Al-Kharafi also revealed that Zain's entities, such as ZainTECH, Zain Omantel International (ZOI), fintech platforms, and other digital businesses, will extend their services to Syria, while implementing financial support and innovation initiatives to nurture the local entrepreneurial ecosystem. He believes this expansion will enhance shareholder value by expanding the customer base and increasing revenue, and through synergies with adjacent markets, solidify Zain's position as a leading regional TechCo.
During the six-month transition period, Zain's Syrian entity will launch a comprehensive network modernization program to ensure uninterrupted service for approximately 6.3 million existing customers. The deployment includes extensive 5G base station construction, infrastructure upgrades, and AI-driven solutions, with initial plans to cover over 98% of the population. After launch, Zain Syria will offer integrated services including voice, data, digital, and content entertainment, targeting households, youth, businesses, and the public sector. Users will benefit from Zain Group's synergistic products, regional platforms, and digital propositions, as well as new services tailored for the Syrian market.
Currently, Zain operates in eight markets across the Middle East and Africa, serving 51.2 million customers. With the expansion into Syria, Zain's regional TechCo position is further strengthened. After launch, Zain Syria will become the group's fifth operating company to offer 5G services, joining Kuwait, Saudi Arabia, Bahrain, and Jordan, cementing its leadership in regional 5G.
