AmCham:    How did you start your professional career in the telecommunications sector?

 

Andrey: I graduated from Dalnevostochny (Far East) State Technical University’s ‘management’ department, and almost immediately after that I started working at the customer service department in one of the mobile telecommunications network companies of the Primorsky region. The skills I gained there as a result of direct operations with customers emerged as being very useful in my future arranging of trade and sales in the commercial department of “MegaFon Far East” company, and they are certainly very helpful and useful at the moment as well.

 

 

 

     AmCham:  Since you have been working in the telecommunications sector for many years, you have encountered many problems in this sphere. In your view, what are the challenges hindering development of the telecommunications sector in the Kyrgyz Republic?

 

Andrey: During the last years considerable progress has been achieved in the Kyrgyz Republic in developing the information infrastructure, computerization of governmental institutions and private companies. The telecommunications sector, being an exclusively important part of the economy of the country, has been recently demonstrating exclusively positive dynamics in development – by 20% a year.

 

It is no secret that during the last 10 years mobile telecommunications has been the leader in the growing rate of the telecommunications sector in the Kyrgyz Republic. Our time is characterized by increasing competition, as well as clear price dynamics, which have decreased considerably in comparison with the prices and figures of last year.  

 

The principal problem of the telecommunications sector is the uneven and irregular development of telecommunications infrastructure in different regions and big cities of the country. Today in the Kyrgyz Republic there are about 500 villages with no access to telephone facilities.

 

It should also be mentioned that to the present there have been no wide-range or full-scale studies/surveys in the area of telecommunications sector development, there are no objective accurate statistics or highly-skilled and knowledgeable analysts or professional experts. Unfortunately, it is a matter of fact that the forecasts of serious agencies are not coming true.    

 

Secondly, the most important troubling topic of any employer in the Kyrgyz Republic is the shortage of highly-qualified and skilled personnel, and this is also relevant for our telecommunications sphere. Both the government and telecommunications companies need to consolidate their efforts in the area of developing human resources and personnel capacity of the telecommunications sector. Thus, for instance, based on the problems in the area of selecting personnel we have to train specialists by ourselves. In this situation we start training our future specialists when they are still students of the last years of universities. In this way, after graduating they come to work with us as prepared specialists.

 

 

 

     AmCham:    Which events/or activities have been significant to MegaCom last year,and what are your priorities for the coming year?

 

Andrey: For our company last year was really very significant with some outstanding and important events, new achievements and successes. Thus, for the purposes of comparison, I would say that if at the beginning of 2007 MegaCom Company served totally 150 thousand subscribers, today that number has increased by more than four times – 650 000 customers. In January 2007 the number of corporate customers totalled 400 companies and organizations, whereas today that number has increased by more than three times – more than 1300 organizations and companies across the country.

 

MegaCom network, supported by 300 base stations, is available in all seven regions of Kyrgyzstan. It is well known that the number of base stations tripled within the year 2007.

This year the volume of construction will not be reduced; the focus will be on technical improvement of telecommunications and increased capacities. In particular the growth rate of subscriber numbers have exceeded even the most ambitious plans of the Company; in this environment it is vital to improve the quality of our telecommunications network even more.

 

From the beginning of last year we have successfully tested and commercially operated such services on the basis of GPRS, as MMS, WAP, Internet-GPRS, launched additional services, such as “Favorite number”, “Voice mail”, “anti-identifier of number” and “Night talks”. We have also introduced such tariff plans as “Friendship-Dostuk”, “Youth-Jashtik”, “Liberty-Erkindik”, “Glory-Dank” and “MegaCom-Modem”. This year subscribers of MegaCom will enjoy a lot of new interesting and convenient proposals and developments. The most important thing is that we will do our best for the purposes of creating the most optimum conditions of cooperation for all those clients who already subscribe to the company.

 

In 2007 we extensively expanded the list of our roaming partners. Thus, the number of countries where subscribers of MegaCom can actively use roaming services has been increased by 28, and the number of roaming partners by 65. In this way the company has become the leader in the extent of roaming partners among the mobile phone operators of the Kyrgyz Republic. Our subscribers have the chance to travel confidently with their telephones in more than 196 countries of the world with which we have signed international roaming agreements, including more than 455 mobile phone companies. Thanks to the agreement signed with MegaFon Company, our subscribers are able to get preferential or privileged roaming conditions wherever they are within the network of one of the leading mobile telecommunications network companies of the Russian Federation.

 

I would like especially to highlight the fact that from the very beginning of our operation in the Kyrgyz Republic we have been implementing a large number of social and charitable programs and events. This area of activity represents for us a priority of equal importance as all others, and it is a central part of our corporate strategy. Thus, at the beginning of 2007 we established a council for the coordination of charitable and sponsored activity which meets monthly, where we discuss all the proposals we receive. We arrange and carry out regular charity actions and events for retired people and veterans of the Second World War, amongst others. We support people with disabilities and allocate resources for the special care and provision of assistance to sick children. This year the Council made the decision to take patronage over the “Nurmeeaisa” private orphanage located in Orlovka village. Such charitable and social events will remain a priority of our company for the next year.

 

 

 

     AmCham: As you are aware, in October 2007 AmCham formed seven Committees. MegaCom became a member of three committees: Tax, Accounting & Law Committee; IT, Communication & Marketing Committee and Social Affairs & Corporate Responsibility Committee. How do you see the role of these committees in the advancement of AmCham members’ business and in improving the business environment in Kyrgyzstan? Why is engagement (involvement) in these committees crucial and beneficial to MegaCom?

 

Andrey: Our company striving to become a member of the American Chamber of Commerce (AmCham) was based first of all on the broad opportunities of dialogue and exchanges with corporate members of the organization. Active participation and cooperation in operation of AmCham is really useful for companies that base their operation on the principles of transparency, openness and honesty. In particular, thanks to participation in the work of the above-mentioned committees formed within AmCham, we have been able to respond timely to economic reforms by introducing corrections at the very initial stages, participating in the process of drafting different kinds of laws and regulations related to operation of legal entities on the territory of the Kyrgyz Republic. Meetings and forums arranged and undertaken by AmCham create possibilities for representatives of the Government of the Kyrgyz Republic, the Parliament of the Kyrgyz Republic and companies to meet at roundtables to discuss on an equal basis different related issues, to make proposals on a wide scope of matters, such as the development of favorable conditions for trade, economic, industrial and investment cooperation, taxation, as well as resolution of commercial disputes. 

 

 

      AmCham: Finally, what would you like to wish AmCham members?

 

Andrey: Be very active. Through consolidation, the representatives of the business community will be able to develop their businesses and progress to prosperity with confidence. In the long run, the growth and prosperity of businessmen and entrepreneurs will positively and favorably affect the economy of the country in general, and in turn will increase investment attractiveness of the Kyrgyz Republic.

 

      Text from AmCham Kyrgyz Republic Magazine #2, pp24-5, March-May 2008