Bringing Light and Hope to Afghanistan
The Private Sector as a Catalyst for Change
Potential Roles of Businesses in Challenging Environments
Roshan Corporate Presentation
TDCA Ltd. Confidential
February 2011 – Page 1
Roshan
Afghanistan: Country Overview
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32 million people:
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Literacy rate is approximately 30%.
Life Expectancy:
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3% growth per annum.
60 million people by 2050.
50% of the population below 15 years.
Female: 44.0 years.
Male: 43.6 years.
53% of populations lives below the poverty line.
Unstable security environment, increasing security
issues outside of the turbulent south.
Poor infrastructure: limited roads, power and
transportation systems.
Afghanistan is the second most corrupt country
according to Transparency International’s
Corruption Perceptions Index.
Roshan Corporate Presentation
TDCA Ltd. Confidential
February 2011 – Page 2
Roshan
Backed by Experienced Partners
 Roshan is owned by an international consortium comprising the Aga Khan Fund for Economic
Development (AKFED), Monaco Telecom International (MTI) and TeliaSonera:
The Aga Khan Fund for Economic Development (AKFED) – 51%
 Roshan’s majority shareholder, is part of the Aga Khan Development Network
(AKDN) and promotes private initiatives and building economically sound
enterprises in the developing world.
Monaco Telecom International (MTI) – 36.75%
 MTI is a 100% subsidiary of the Monaco Telecom Group; MTI Group’s
shareholding includes Cable & Wireless.
 MTI operates in Afghanistan, Algeria, Kosovo and Tunisia.
TeliaSonera – 12.25%
 A Swedish- Finnish company, TeliaSonera is the leading telecommunications
company in the Nordic and Baltic regions.
 Strategic partners, including the Asian, French and Germany Development Banks, help Roshan
extend the reach of its network to the most remote and rural areas of the country.
 Part of the Vodafone Partner Markets program.
Roshan Corporate Presentation
TDCA Ltd. Confidential
February 2011 – Page 3
Roshan
AKFED’s Approach to Development
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Long-term investments in developing countries with
the aim of promoting entrepreneurship and building
economically sound enterprises.
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Creating operating companies that provide essential
infrastructure, goods and services.
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A “hands-on” approach through the provision of
managerial and technical expertise.
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Bold, but calculated investment, in environments that
are fragile and complex with the prospects of
improving the lives of people
Roshan Corporate Presentation
TDCA Ltd. Confidential
February 2011 – Page 4
Roshan
Our Values
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Ethics
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Integrity
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Social Responsibility
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Respect
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Commitment
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Focus.
Roshan Corporate Presentation
TDCA Ltd. Confidential
February 2011 – Page 5
Roshan
Why Telecommunications?
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A 10% increase in mobile penetration
in a developing country can have a
0.6% positive impact on GDP.
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The “single most transformative
tool for development.”
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Mobile phone is an extremely
significant vehicle to:
 Improve security.
 Extend financial and economic
opportunities.
 Provide information.
 Improve livelihoods for isolated
and insecure communities.
Roshan Corporate Presentation
TDCA Ltd. Confidential
February 2011 – Page 6
Serve as a Catalyst for Change
Roshan Corporate Presentation
TDCA Ltd. Confidential
February 2011 – Page 7
Roshan
The Fastest Growing Market in the World
4th Operator
5th Operator
18,000,000
50.0%
45.0%
40.0%
35.0%
30.0%
25.0%
20.0%
15.0%
10.0%
5.0%
0.0%
16,000,000
Subscribers
14,000,000
12,000,000
10,000,000
8,000,000
6,000,000
4,000,000
2,000,000
0
2003
2004
2005
2006
2007
Subscribers
2008
2009
2010
2011
Penetration
Roshan Entrance
2012
Penetration
 Fastest growing mobile market in the world:
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Roshan’s subscriber base has grown from 30,000 in 2003 to 4.4 million today.
Market has grown to about 13 million total subscribers.
Hyper-competitive market with five operators, two of which are major regional players.
Mobile penetration rate has risen to 35%.
Roshan Corporate Presentation
TDCA Ltd. Confidential
February 2011 – Page 8
Roshan
Afghanistan’s Leading Telecommunications Provider
Widest nationwide coverage:
 More than 230 cities and towns.
 All of Afghanistan’s 34 provinces.
 Over 60% of the population.
A regional focused business:
 Look at each region differently.
 How can we improve the overall customer
experience?
Roshan Corporate Presentation
TDCA Ltd. Confidential
February 2011 – Page 9
Roshan
Creating an Identity for Afghans
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No Afghan brand and limited foreign brand
recognition.
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Conducted focus group to choose name Roshan,
which means light and hope in Dari and Pashto.
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Slogan: Nazdik Shodan – “Bringing you Closer”
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First billboard with Afghans, including females.
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Sponsored cultural and music programming,
including Afghan Star.
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First Brand Ambassador, Farhad Darya, who
speaks to Afghans of all ages.
Roshan Corporate Presentation
TDCA Ltd. Confidential
February 2011 – Page 10
Roshan
Touching the Customer
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Built largest distribution network in Afghanistan:
 Creating jobs and building entrepreneurial
spirit in the country. Developing a middle
class.
 30,000 jobs created throughout the
country.
 More than 2,600 points of presence, as well
as 300 kiosks and 8 flagship shops
nationwide.
 More than 5,700 Public Call Offices (PCOs) to
provide access to telecommunication services
and 120 WPCOs.
Roshan Corporate Presentation
TDCA Ltd. Confidential
February 2011 – Page 11
Roshan
Setting Standards in Customer Care
 Introduced the concept of Customer Care to Afghans:
 Intense training programs, including product
training, system navigation and soft-skills
development.
 First western-style Customer Care Centre in
Afghanistan:
 Equipped with a multi-lingual Interactive Voice
Response (IVR) system that supports Dari, Pashto,
and English.
 Over 160 seat Customer Care Centre.
 Setting standards in Customer Care, including
outbound calling campaigns, loyalty and retention
programs and specialized support for dealers.
Roshan Corporate Presentation
TDCA Ltd. Confidential
February 2011 – Page 12
Roshan
Afghanization for Today and Tomorrow
 Creating jobs, training the leaders of tomorrow and
fostering entrepreneurial spirit.
 Average age of employee is 23, barely high
school educated and from refugee camps.
 Afghanization focused.
 Roshan directly employs more than 1,200 persons:
 93% are Afghan nationals, representing all
ethnicities.
 55% of Senior Management Team are Afghans.
 20% of employees are women.
 Investing more than $1,500 per year per employee in
training programs.
Roshan Corporate Presentation
TDCA Ltd. Confidential
February 2011 – Page 13
Roshan
A Catalyst for Change
Roshan Community is a driver in the reconstruction of Afghanistan, investing in the communities in
which Roshan operates, reducing distress, and educating to build human capacity and potential.
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Supporting educational activities
by serving nearly 500,000 meals
each year
Providing educational
scholarships
Dubbing children’s programming
in Dari and Pashto
Building fifteen playgrounds and
three schools for children who
are the future of Afghanistan.
Roshan Corporate Presentation
TDCA Ltd. Confidential
February 2011 – Page 14
 Providing women with technical
training through Cisco
Networking Academies Program
to bridge the digital divide
 Building entrepreneurial spirit
through 120 Women’s Public
Call Offices.
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Telemedicine project with
the French Medical Institute
for Children, the Aga Khan
University Hospital, Bamyan
Provincial Hospital and
Cisco to touch, save and
improve human lives.
Built 58 wells across the
country to keep communities
healthy.
Roshan
Segmentation to Meet Customer Needs
Urban
Housewife
Small Bus.
Owner
High End
User
Student
Young
Professional
Young Urban
Woman
Farmer
Roshan Corporate Presentation
TDCA Ltd. Confidential
February 2011 – Page 15
Roshan
Innovation for Tomorrow
Health
Networking
Information
Services
Content
Education
Mobile Money
 Services Roshan provide need to fill gaps because infrastructure is still absent in Afghanistan.
Roshan Corporate Presentation
TDCA Ltd. Confidential
February 2011 – Page 16
Roshan
Afghanistan’s Leading Telecommunications Provider
 Largest GSM operator in the country with leading
market share.
 Approximately 4.4 million subscribers.
 Afghanistan’s largest private investor with over $450
million invested to date.
 Largest taxpayer with $178m, comprising 6% of
Afghan Government’s overall domestic revenue.
 Setting the benchmark on new products and services,
customer service and corporate governance.
 Catalyst for development through Roshan Community.
Roshan Corporate Presentation
TDCA Ltd. Confidential
February 2011 – Page 17