Syria may invite Russian mobile carrier - minister

MOSCOW, Nov 20 (Reuters) - Syria is considering inviting a Russian cellular operator into its market, Russia's Communications Minister Igor Shchyogolev said on Thursday.

"They have an idea to add one more mobile operator there. The participation of Russian companies in the Syrian mobile market is possible," Shchyogolev told reporters after a session of the Russian-Syrian Intergovernmental Commission.

Russia's mobile phone market penetration currently stands at around 125.4 percent, according to market research group AC&M, suggesting the impressive growth rates in telecoms sales of the past years are now set to slow down.

In this environment, Russian mobile phone operators are seeking to expand to the markets with lower penetration.

According to media reports, Syria's cellphone penetration does not exceed 40 percent, and the market is split between Syriatel, owned by a Syrian businessman, and MTN Syria, part of Sub-Saharan Africa's top mobile phone operator MTN (MTNJ.J).

Syrian officials have repeatedly said the country is going to auction off a third license.

Russian mobile market leader MTS (MBT.N) (MTSI.MM) will consider entering the Syrian market once it receives the offer, MTS spokeswoman Irina Osadchaya said.

Vimpelcom (VIP.N), the second-largest mobile carrier in Russia, has said it is interested in the markets of the Middle East as well as South-Eastern Asia and Africa.

"Syria is one of the regions we are interested in, and we will certainly examine any offer," said Yelena Prokhorova, the spokeswoman of the carrier in which Norway's Telenor (TEL.OL) has a 29.9 percent stake.

A spokeswoman at MegaFon, Russia No.3 carrier part-owned by Nordic telecom operator TeliaSonera (TLSN.ST), said the company would consider any opportunity that might emerge.

MegaFon operates in Russia and the Central Asian state of Turkmenistan. The company said this month it would not proceed with its plans to bid for a GSM licence in Iran, several years after it dropped plans to enter Lebanon.

(Reporting by Anton Doroshev and Maria Kiselyova; Editing by Andrew Callus)

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