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Our key stakeholder themes

The key stakeholder themes in 2016 are derived from our interactions in the year and

describe those issues on which management engaged the most, and on which the

sustainability of the business relies. All are linked to the execution and delivery of our

strategy and are measured through KPIs (

30).

Key stakeholder themes

Our actions in 2016

Link to strategy

and material

issues

Heightened regulatory scrutiny

and uncertainty

The impact of the circumstances

that led to the Nigerian

Communications Commission

imposing a significant fine on MTN

Nigeria in late 2015 was felt across

MTN’s African footprint. This led to

increased vigilance, both by the

regulatory authorities and network

operators.

•

Enhanced our compliance structure and established an

operational risk and compliance committee to ensure all

licence requirements are adhered to, key among which

was proper registration of subscribers, failing which we

risked incurring more penalties.

•

Increased engagement with

regulators

and

customers

to minimise the business impact of subscriber

termination and new registrations across our markets.

•

Strengthened MTN’s regulatory function, with executive

oversight and support from the Group. Appointed an

executive for Group regulatory affairs and public policy.

•

Increased engagement with

regulators

to drive MTN’s

growth agenda, as well as to mitigate regulatory risks,

including non-compliance with licensing conditions.

3

Quality of service

MTN operates in dynamic markets

characterised by rapidly changing

customer

needs and growing

demand for world-class services.

The shift to data services has

increased network requirements

and customer expectations for

quality services. Often this leads to

network quality challenges, which

ultimately undermine MTN’s brand

promise.

•

Continued to roll out competitive value propositions to

customers as part of delivering a bold new Digital

World.

•

Continued to modernise and expand network

infrastructure.

•

Increased regulatory engagements on new spectrum

allocation across our markets.

•

Secured new spectrum in many markets.

•

Educated

customers

about use and pricing of digital

services through engagements and marketing

campaigns.

•

Implemented a “fair treatment” policy for digital services.

2

5

Corporate citizenship

Society’s expectation of business

continues to grow, so do MTN’s

corporate citizenship activities

evolve to drive socio-economic

development in our markets.

•

MTN remains one of the largest contributors to fiscal

revenues in the vast majority of our markets, enabling

governments to provide social services to citizens.

•

MTN Foundations continue to transform people’s lives in

the areas of education, health and enterprise

development.

•

The work of MTN Foundations creates enduring positive

perceptions of the MTN brand in our

communities

(see

(

18 – 19

)

.

1

3

The changes implemented in 2016 improved the upward flow of information and insights, as well as the quality

of stakeholder engagements and outcomes. They also led to better sharing within the Group: quarterly

stakeholder theme feedback to opcos at regional workshops builds a collective understanding of stakeholder

relations, and sharing of ideas, activities and approaches to stakeholder engagement. We will do more work

in 2017 to improve alignment and sharing of stakeholder approaches to enhance MTN’s reputation. Creating

and managing stakeholder value remains one of our strategic themes, essential for good business

management.

MTN Group Limited

Integrated Report 2016

21

HOWWE

CREATE VALUE