MAROC_TELECOM_REGISTRATION_DOCUMENT_2017

DESCRIPTION OF THE GROUP, BUSINESS ACTIVITIES, LEGAL AND ARBITRATION PROCEEDINGS

Business activities

2017 HIGHLIGHTS Regulatory highlights for 2017:

Ivory Coast market share at December 31, 2017

24 % Moov Côte d’Ivoire

– the increase in the Operator contribution rate to the Universal Access Fund from 1% to 2% of revenue excluding interconnection costs from Augustb1, 2017; – the decrease in the mobile call termination rate from 16 CFA to 15.8 CFA; – the granting of a 4G license to Sotelma. 3.2.2.6 MOOV OPERATORS On Januaryb26, 2015 Maroc Telecom completed the acquisition of Etisalat’s subsidiaries in Benin, Ivory Coast, Gabon, Niger, the Central African Republic and Togo. In terms of business activity, these subsidiaries only have operations in the Mobile segment, divided into prepaid and postpaid. The acquisition also included Prestige Telecom which provides IT services on behalf of Etisalat’s subsidiaries in those countries but ceased trading in Juneb2017.

43 % Orange CI

33 % MTN

Source: Dataxis Moov Côte d’Ivoire’s Mobile business consists of prepaid and postpaid services through voice and data (mainly SMS) plans. It also provides roaming services for its mobile subscribers abroad and for customers of foreign partner operators visiting Ivory Coast. To provide these services, Moov Côte d’Ivoire relies on a network of 3,041 BTS throughout the country, offering 3G and 4G technology (commercial rollout of 4G in Juneb2016). Moov Côte d’Ivoire also offers an m-payment service under the Moov Money brand. At Decemberb31, 2017, Ivory Coast had 33bmillionMobile customers, representing a penetration rate of 133%, up 15bpoints in one year. In this market, two major operators are active alongside Moov Côte d’Ivoire: Orange Côte d’Ivoire and MTN Côte d’Ivoire, following the market consolidation in Aprilb2016. PERFORMANCE AT Côte d’Ivoire’s mobile customer base changed as follows: At Decemberb31, 2017 Moov Côte d’Ivoire had 7.7 million Mobile customers (mainly prepaid), a year-on-year increase of 13% despite heightened competition and customer identification requirements. Moov Côte d’Ivoire had a market share of 23% at end-Decemberb2017. Regulations OVERVIEW The regulatory framework for telecommunications in Ivory Coast is governed by Order 2012-293 of Marchb 21, 2012 on telecommunications and information and communications technology. The Ivory Coast Regulatory Authority for Telecommunications (ARTCI) is an independent administrative authority in charge of regulation on behalf of the state. The main legislative instruments adopted to date pursuant to the Order concerning telecommunications are: Decree 2012-934 of Septemberb19, 2012 relating to the organization and functioning of ARTCI; Decree 2013-300 of Mayb2, 2013 relating to interconnection of telecommunications networks and services and local loopunbundling; Decree 2014-104 of Marchb12, 2014 ratifying the specifications of concession and license holders for the establishment of telecommunications networks and provision of telecommunications/ ICT services; Decree 2015-80 of Februaryb4, 2015 defining the categories of Telecommunications/ICT activities and laying down the rules for access to scarce resources. Unit 2017 2016 2015 Mobile customer base (000) 7,734 6,840 5,151

3

IVORY COAST

Macroeconomic indicators

2017

2016

2015

Population (000)

24,960 24,327 23,711

GDP per capita (in USD)

3,857

3,614

3,399

GDP growth

7.6% 7.7% 8.9% 1.0% 0.7% 1.2%

Inflation

Source: IMF, Octoberb2017.

Mobile telephony COMPETITION AND MARKET SHARE Market trends in Ivory Coast

133%

118%

107%

32.7

28.7

25.3

2015

2016

2017

Customer base (in millions)

Penetration rate

Source: IMF and Dataxis

97

MAROC TELECOM ____ 2017 Registration Document