Telecom Business Makes Money, Brings Peace

Nasra Malin is one of many entrepreneurs who recently attended the Presidential Summit on Entrepreneurship in Washington. She is co-founder and chief financial officer of NationLink Telecom, a phone company in Somalia.

Jennifer Bunting-Graden works as an associate attorney with a multinational law firm in Atlanta. She was born in Sierra Leone, where she is trying to set up a joint venture.

Nasra Malin

Nasra Malin

Nasra Malin:
I was one of six entrepreneurs who, in 1997, founded NationLink Telecom in Mogadishu, the capital of Somalia… and the center of violence in our country. We were not sure if we would survive, first because there were three established telecom companies and, second, because the security challenge was tremendous.

But we invested in the business hoping to make profits and bring stability to our country.

NationLink has become a major telecom operator in Somalia, offering wireless and fixed-line services to 300,000 customers. It employs 1,500 people. With two other companies, we formed Global Internet Company, to provide Internet access.

Still, the fast-growing telecom industry in Somalia is fiercely competitive — competitors are hostile at times. Also, in a country with no strong central authority, we must protect our business. We have more than 600 security people, which is not the ideal solution. We know that someone somewhere will try to extort money if we need work done. We usually pay, because if we fight them, someone may get killed and, at the end of the day, the work may still not be done.

As the only woman among company executives, I face unique challenges. (In Somalia, women are rarely in business circles; you hardly see them at the executive level.) I was prepared though, because, when young, I worked at my family’s businesses and learned to think independently. At NationLink, I have tried to achieve the same or better results than my male co-workers. I led a middle-management team with little difficulty. This helped me to bring more educated women into the company.

I and other successful women want to be role models. We hope girls and young women in schools and universities, seeing us succeed, dare to search for new opportunities and feel empowered to seize them.

Jennifer Bunting-Graden

Jennifer Bunting-Graden

Jennifer Bunting-Graden:
Ms. Malin and other founders of NationLink Telecom have it exactly right that entrepreneurship, investment and job opportunities within a community can serve as a catalyst for peace and development. NationLink is an example of the new breed of homegrown entrepreneurial ventures in developing countries, which not only seek profits, but also embrace the responsibility for driving the development of their respective economies. Although NationLink has a profit-making purpose, its business by its nature helps facilitate peace by creating jobs, providing access to information and improving the quality of life. And just by being there in the middle of a chaotic environment in which the company operates may provide some measure of stability.

But dealing with challenges of security and poor infrastructure in countries affected by conflicts is no small feat, and adds to business ventures the dimension unknown to entrepreneurs in our country. As Ms. Malin indicates, basic institutions and processes vital to the success of any business such as the rule of law are less often the norm in countries that lack stability.

Ms. Malin’s personal story of success in a male-dominated environment and the positive impact her career has had on other women in her country illustrate another value of homegrown entrepreneurship. Women generally form the backbone of society in developing countries, and it follows that developing countries will be successful when local women are given the opportunity to reach their full potential.

Fleet Management for Transportation Efficiency, Safety in Ethiopia

[guest name="Zelalem Dagne" biography="Zelalem Dagne has lived in the United States for 29 years. He has worked as a senior process engineer for advanced manufacturing systems in the plastic industry and provided consulting services to corporations including Comsat and Qualcomm on the deployment of mobile and wireless technologies."]

The African Diaspora Marketplace contest recently awarded $50,000 to $100,000 to 14 immigrants to the United States from African countries to help them start or expand businesses in Africa. Some of them share how they plan to use the money on the New Enterprise blog.

With the newly developed highway infrastructure and high accident rates, road transportation is a major challenge in Ethiopia. I believe our company – Global Telecommunications PLC – can help improve the efficiency and safety of road transportation by deploying a fleet management system based on the global positioning system (GPS) and related technologies.

The fleet management system implementation will have a positive impact on business and commerce by helping to move agricultural and industrial products to the intended destinations on more reliable schedules and at lower costs. Our two-year old firm will help freight companies manage their operations, and this, in turn, will help their clients improve management of their supply chains. The monitoring and tracking of the fleets across the country will allow their owners and operators to monitor fuel expenses and other costs, more accurately plan fleets’ operations, maximize the use of those fleets while keeping the vehicles safe and reliable, and extend the life of the vehicles.

When we began, we saw inadequate telecom infrastructure as a main obstacle. But the speed at which the country is catching up in this regard has surprised us. In the last six months, a third generation wireless system, which covers 85 percent of the country, was rolled out. To provide 100-percent coverage within Ethiopia as well as globally, we partnered with a Canadian satellite company to get a backup for our operations where the network of the terrestrial general packet radio service (GPRS), a mobile data service, is unavailable.

Initially, after a series of presentations, only few potential clients expressed any interest. But since we opened the office in Addis Ababa and started a pilot project with up to 30 vehicles the interest has grown significantly. My sister Elizabeth Dagne, who is my Ethiopian partner and has experience in the transportation sector, helped recruit potential clients too.

We also see potential markets in the tourism, rental car, and the oil and mineral exploration sectors. For example, a personal tracker service can help rental car companies establish the location of the victims of car crashes and alert emergency services. We are launching the promotion of the personal tracker in late March with free trials.

As a result of our win in the African Diaspora Marketplace competition, we have received inquiries from other contestants about possible partnerships in the countries they start their ventures. Given that our system was developed to work globally, the potential of such ventures is huge. Our plan is to use grant money to finance the launch of new services and buy additional equipment.