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Social and relationship capital

The ICT sector is an important facilitator of economic development. It contributes directly

through the creation of dealer, supplier and other enterprises and the payment of

regulatory fees and taxes. Indirect contributions include reducing the cost of transactions

and time and travel costs, increasing connectivity and by exposing people to information

and opportunities beyond physical boundaries. MTN is among the largest tax payers,

corporate employers and largest CSI investors in many of the countries in which we

operate.

We work to foster relationships that are built on trust, and so ensure our social licence to

operate. This encompasses interactions with all our stakeholders – our customers,

employees, investors, civil society organisations, communities, regulators, suppliers,

governments, industry partners and the media.

•

Agreement to settle Nigeria fine

•

Recognition of union in South Africa

•

Monitoring staff morale through annual culture

survey

•

Focusing CSI projects on education, enterprise

and health

•

Monitoring investor feedback through annual

perception study

•

Completing new MTN Zakhele Futhi black

economic empowerment scheme in South

Africa

•

Extended MTN Mobile Money services to

support broader requirements

•

Piloted Internet of Things solutions

•

Certified 19 MTN ethics officers

•

Offered entrepreneurs opportunities to earn

commissions

•

Expansion of 3G and LTE networks

•

Constructive relationships with regulators,

customers, trade unions, employees,

communities, civil society

•

Ongoing interactions with government and tax

authorities

•

Close engagement with shareholders and

investor community

2016

2015

Countries in which we have a presence

24

24

Regulators with whom we interact

22

22

2016

2015

Total tax contributions

LA

^ (R billion)

33,7

N/A

CSI spend

LA

(R million)

295,4

335,4

BBBEE status in South Africa

Level 2

Level 3

Number of calls to whistle-blower line

LA

120

128

MTN Mobile Money active subscribers

(million)

15,4

9,8

NPS South Africa (%)

LA

81

78

NPS Nigeria (%)

LA

30

14

NPS other key markets (%)

LA

25

16

Investment in social and relationship capital

reduces our financial capital in the short term.

However, by helping to close the digital divide

(including through our CSI work) we ultimately

boost financial capital, and also build the stocks

of human and intellectual capital.

^ This data was only assured from 2016.

MTN Group Limited

Integrated Report 2016

17

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