Dar es Salaam — The state-owned telco company, TTCL Corporation, on Tuesday, May 21 paid the government some Sh2.1 billion as dividend from its 2017/18 financial year.
The move comes even as the company's management expressed its dire need to boost its capital by Sh600 billion in the coming financial year of 2019/2020.
The amount needed is part of TTCL Corporation's five-year strategic plan which started in financial year 2017/18.
Within the five year period, the company requires a total of Sh1.77 trillion in investment, according to its board chairman Omari Nundu.
The Sh2.1 billion dividend is part of the company's Sh8.3 billion profit that was registered during the 2017/18 financial year.
The remaining Sh6.7 billion will be reinvested so as to boost the firm's operating capital.
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TTCL Corporation's revenue rose by Sh48 billion to reach Sh167 billion during the 2017/18 financial year from Sh119 billion that was garnered during the preceding year.
The increase in revenue was attributed to a rise in earnings from TTCL-Pesa, video conference and internet income streams.
However, according to Mr Nundu, the company, which held a two per cent subscription share of the telecommunication market in Tanzania, plans to raise its slice further.
"We want our mobile subscription market share to reach 15 per cent and our fixed phone market share should be 98 per cent in the coming few years," he noted.