During the quarter ending September 30, MTN Group made significant strides in its localization initiatives. As Africa’s largest telecom services provider, the company has been expanding its local shareholder base across several operational companies, with notable progress in Nigeria, Ghana, and Uganda.
Headquartered in Johannesburg, the telecom giant announced that these efforts are part of MTN’s broader localization strategy. The company released its results for the current reporting period yesterday. Group CEO and President Ralph Mupita highlighted the ongoing advancement of their strategic priorities, including localization initiatives. He noted, “In the third quarter (Q3), we achieved an additional 2.1% localization in Ghana, bringing the local shareholding in Scancom PLC to 30%.”
Mupita further elaborated on the progress, stating, “This achievement followed the successful sell-down in June 2024 of an additional 7% in MTN Uganda. Additionally, we have exited Guinea-Bissau as part of our portfolio optimization strategy, and efforts are underway to complete our exit from Guinea-Conakry.”
In South Africa, the company successfully concluded the extension of its 2016 broad-based black economic empowerment (B-BBEE) scheme, which is operated through MTN Zakhele Futhi (MTNZF) Limited. Mupita explained, “The proposal to extend the scheme was approved by both MTN Group and MTNZF shareholders at general meetings held post the period end in October 2024. All related conditions precedent have been fulfilled.”
He emphasized that the extension aligns with MTN’s commitment to transformation and the creation of shared value for South Africans. “It is integral to the ethos of MTN, and we believe that B-BBEE participation is crucial to the future success of the Group,” Mupita added.
Looking at other markets, Mupita expressed optimism about the continued growth contributions from MTN Ghana and MTN Uganda, which are significant contributors to the Group’s overall revenue and profits. He acknowledged the challenges faced in other markets, where operations have been impacted by economic and regulatory headwinds, as well as increased competitive pressures. However, he assured that efforts are ongoing to turn around performance in these regions.
Source: Tapiwa Matthew Mutisi ( Innovation-village.com)
The Ghana Chamber of Telecommunications has disclosed that it has secured assurances from the Ministry of Roads and Highways aimed at ensuring uninterrupted telecommunications services during the upcoming general elections.
From the assurance, the Chamber confirmed that there will be no major excavation works in key areas that could potentially disrupt the transmission of electoral data over the Internet.
In an interview with Citi News, the CEO of the Ghana Chamber of Telecommunications, Ing. Dr. Kenneth Ashigbey, explained that this move is part of a broader strategy to safeguard the integrity of the country’s telecom infrastructure during this critical period.
“The Minister for Roads and Highway has also agreed that because we need the networks to be resilient, we can’t afford fibre cuts during the elections. A week before and after the elections there will be no excavation for these road works in major places that might affect the EC and other people’s accessibility,”
Dr. Ashigbey stressed that collaboration is key to addressing the recurring issue of fibre cuts, which have historically posed challenges to network reliability across the nation.
To this end, he said: “We have had meetings with the IGP as well and we’ll do some training with the prosecutors and investigators. We have also engaged the Chief Justice and she has given two courts, one in Accra and another in Kumasi.
“We’ve also engaged the attorney general to get us a fiat like the way SSNIT lawyers prosecute their own cases but that will take a while as the deputy attorney general has mentioned that they will dedicate some particular attorneys that we will train in this particular endeavour.”
These proactive measures reflect the Chamber’s commitment to maintaining seamless communication for both electoral processes and broader national interests, ensuring that the election results are transmitted efficiently and securely.
MTN South Africa, in partnership with Huawei, has completed Africa’s first 5.5G network trial at MTN’s headquarters in Johannesburg, marking a milestone in the continent’s telecommunications landscape.
This advanced 5.5G network, introduced as part of MTN’s efforts to drive a tech-centric future for Africa, is expected to significantly boost South Africa’s digital economy by expanding connectivity and enhancing lives.
The newly trialed 5.5G network delivers a 10-gigabit experience and comes equipped with groundbreaking capabilities, including enhanced Internet of Things (IoT) integration, autonomous driving network technology, and green ICT. The technology allows for network performance upgrades that promise ten times the speed and number of connections compared to existing 5G, while also reducing latency and power consumption by a factor of ten.
For the trial, MTN South Africa used Huawei’s advanced SingleRAN ultra-wideband active-antenna units along with hybrid beamforming and Inter-FR carrier aggregation technologies. With spectrum resources allocated for the test, the trial achieved impressive speeds of up to 8.6 Gbps per user. This high-speed connection unlocks a range of applications for both consumers and businesses, paving the way for next-generation services like 24K Extended Reality (XR), Fixed Wireless Access (FWA), and holographic conferencing.
Rami Farah, MTN South Africa’s Chief Technology Officer, described the 5.5G validation as “not just a technical breakthrough but also a testament to MTN’s ongoing pursuit of excellence.” He added that the company looks forward to deploying innovative solutions that enhance connectivity for South Africans.
Li Chen, Huawei’s Vice President for the Sub-Saharan Region, said, “The joint release of 5.5G by MTN South Africa and Huawei deepens our strategic partnership and demonstrates Huawei’s commitment to bringing cutting-edge technology to Africa.” Jason Shao, Managing Director of Huawei MTN SA, noted that the success of the trial is a major step in advancing South Africa’s digital transformation.
With the 5.5G network, MTN aims to transform how South Africans interact with technology, promising improved business operations, consumer experiences, and a boost to the country’s digital landscape.
AT, Ghana’s leading innovative telecommunications company, with a vision of providing a better life for its subscribers, has launched a promotion dubbed “Y’agye Sika.” The promotion is set to run from mid-November through the end of the festive season.
The initiative aims to show gratitude for customer loyalty and encourage further engagement with the service.
The promo is straightforward and transparent; all subscribers need to do is maintain an active AT wallet and perform person-to-person (P2P) transactions of 50 cedis or more using AT Money via the short code *110# or the AT app, available on the Play Store or App Store.
The Director of Mobile Financial Services of AT, Dr. David Sefa further said, “this promo reflects our commitment to making mobile financial services (ATMoney) accessible, rewarding, and engaging for our Subscibers, and that we are thrilled to offer our users a chance to win exciting rewards while experiencing the convenience and security of our platform.”
“Our goal is not just about providing services but creating opportunities for people to save, transact, and grow their financial potential. This promo is one way we inspire users to adopt and maximize digital financial solutions.” He added.
A total of 225 subscribers will be rewarded over the course of the promotion. Each week during the promo period, subscribers with the highest transaction volume and value will be selected as winners. He advised subscribers to remain vigilant against fraud during the promotion.
Subscribers were reminded that AT Money does not request payment or PIN codes before awarding prizes, and any such requests should be treated as fraudulent.
All official communication related to the promotion will come from AT authorised social media handles.
The total contribution of the telecommunications industry by way of taxes, fees, levies, and other payments to government in 2023, has risen by more than 30%. The industry’s overall taxes and other payments to the government in 2023 rose to GHS 9.84 billion, up from GHS 7.32 billion in 2022.
This was made known by the Chief Executive Officer of the Ghana Chamber of Telecommunications (GCT) and the EMIs Chamber of Ghana, Ing. Dr. Kenneth Ashigbey during the launch of the 2023 Mobile Industry Transparency Initiative Report in Accra. The event was well attended by representatives of members of both Chambers, members of the media, and external validators including Mr. William Demitia, a law lecturer at the University of Ghana and Mr. Gordon Dardey, Partner at KPMG.
The annual report, based on data from members of the Ghana Chamber of Telecommunications including AT, MTN, Vodafone, ATC, Helios, Comsys, CSquared, Ericsson, and Huawei, and members of the EMIs Chamber of Ghana including AT Money, G-Money, Mobile Money Limited, Telecel Cash and Zeepay, aims to illustrate the industry’s societal and economic contributions to the country’s development.
During his presentation, Dr. Ing. Kenneth Ashigbey, revealed that the industry’s tax contribution and other payments span various categories, including Corporate Income Tax (CIT), Value Added Tax (VAT), Communication Service Tax (CST), Import Duties and the E-levy, among others. The CIT alone contributed GHS 1.71 billion, while VAT and CST amounted to GHS 1.42 billion and GHS 636.83 million respectively. Additionally, import duties and other remittances formed a substantial part of the total tax payments.
This extensive contribution according to Dr. Ashigbey underscores the industry’s commitment to Ghana’s economic progress. Beyond taxes, the telecom sector is pivotal in driving socio-economic development. With approximately 35 million mobile connections in Ghana, mobile penetration boosts jobs, productivity, and financial inclusion. Mobile money, for instance, has made financial services accessible to the unbanked, particularly benefitting micro, small, and medium-sized enterprises (MSMEs).
The report also highlighted the industry’s contributions to employment, with over 5,800 direct and indirect jobs (not counting the jobs created for mobile money agents and others). The industry also demonstrated a strong commitment to corporate social responsibility, investing millions into social initiatives across the country.
These contributions showcase the ongoing efforts of the telecom industry to align with government revenue goals, support national development, and bridge the digital divide in Ghana.
Methodology
The study employed the Total Contribution methodology, encompassing both tax and non-tax contributions made by GCT members as well as members of the EMIs Chamber to government.
Tax contribution breakdown
Corporate Income Tax (CIT) jumps from GHS 1.35 bn to 1.71bn
The breakdown of tax contributions included Corporate Income Tax (CIT), increased from million to GHS 1.35 billion in 2022 to GHS 1.71 billion, accounting for a significant rise of approximately 26.62%
VAT grows from GHS 930 m toGHS 1.42 bn
Value Added Tax (VAT) surged from GHS 930 million to GHS 1.42 billion, marking it as the second most significant tax category for the industry after Corporate Income Tax (CIT). The report shared by the Chamber demonstrated a notable increase of 52.04 % in VAT in 2023.
Withholding Tax jump to GHS 849.5 bn in 2023
Withholding Tax (WHT) continued to grow in 2023 like it did in 2022. WHT rose from GHS 699.25 million in 2022 to approximately GHS 849.52 in 2023, indicating an increase of about 21%. The continued rise can be attributed to escalating business costs and increased spending, impacting the overall industry value chain.
Communications Service Tax (CST)
Proceeds from the Communications Service Tax (CST) rose by 25% in 2023, from a figure of GHS 509.46 million in 2022 to GHS 636.83 million in 2023. This industry specific tax continues to put a damper on the potential volume growth and affects the affordability of data and voice for the Ghanaian subscriber. We would continue to propose that the rate of CST should be reduced in the near term or scrapped entirely.
GHS 2.01bn in other remittances
The report further highlighted that; other remittances collectively contributed GHS 2.01 billion in 2023. Other Remittances jumped because of surcharge on international inbound call termination (SIIT). Though in USD terms the amount it increased by just 1%, in cedi terms it increased significantly by more.
Import Duties rise from GHS 330.9 m in 2022 to GHS 609.7 in 2023
Import duty collections in 2023 stood at GHS 609.68 million. This rise can be attributed to among other things the significant depreciation of the Ghana Cedi against its major trading partners in 2023. As highlighted in the previous edition of this report, there’s a pressing need to focus efforts on developing and implementing local solutions that alleviate pressure on the local currency. Additionally, we propose that government considers waiving some import duties and taxes on some critical telecommunications equipment that are very important for the country’s development. This should also include components for the provision of solar energy other than the panels that are currently exempt.
Pay as You Earn
The report’s analysis revealed a significant growth in the Pay as You Earn (PAYE) tax line, inching up from GHS 167.2 million in 2022 to GHS 234.01 million in 2023 marking a 39.95% increase. This demonstrates not only the growth in payments made to our direct employees but also the numbers employed within an environment where unemployment is a critical national challenge. This is one of the reasons why the government should consider easing the fiscal burden on the industry to enable it further expand its employment capacity.
E-Levy increases by 93.8%
Electronic Transfer Levy (E-Levy) collected in 2023 stood at GHS 938.87 million, a rise of about 94% from the GHS 484.5% paid by the industry in 2022. The reduction in the E-Levy rate has resulted in some recovery in the volumes and values. But there is the need for further revision in this policy to align it to government’s digital by default strategy.
An Industry Poised for Growth with Tax Reforms
Beyond the numbers highlighted above, the telecom industry has positioned itself as the horse pulling the economic cart up the hill, making invaluable contributions to the digital transformation and connectivity needs of Ghana.
As a driver of economic progress, the telecom industry holds the potential to bring more people into the formal economy, particularly in the informal sector, which is traditionally outside the tax net. Through innovations in mobile money, data services, and digital platforms, telecom companies can facilitate the tracking of transactions and financial flows within the informal sector, creating an opportunity for the government to expand its tax base. By working closely with the telecom industry, the government can develop policies and systems that encourage the registration and taxation of informal businesses, thereby boosting national revenue. This partnership can create a win-win situation, where the informal sector benefits from access to digital financial tools and the government increases its revenue from a broader tax base.
Additionally, the government can play its part in supporting the telecom industry by reconsidering the current taxes (especially industry specific ones) and rates. A more extensive tax base with fair rates could ultimately foster a more sustainable and inclusive economy, as businesses of all sizes would feel more inclined to operate within the formal economy, knowing that their contributions are fairly assessed.
In summary, the telecom industry’s growth is not just about revenue; it is about creating a more inclusive, connected, and robust economy. By enabling greater formalization within the informal sector and fostering digital access, the industry empowers individuals and businesses to participate more actively in the economy. With the government’s support in refining tax policies to encourage compliance and reduce the burden on citizens, Ghana can leverage this synergy to accelerate growth and drive sustainable development across the nation.
Note: All 2022 figures have been revised to reflect the final confirmed figures from members of the Ghana Chamber of Telecommunications and the EMIs Chamber of Ghana.
MTN has honored Archie Hesse, the CEO of Ghana Interbank Payment and Settlement Systems (GhIPSS), as the Fintech Champion of the Decade during the MTN MoMo @15 National Stakeholder Dinner and Awards Night.
This event celebrated top-performing partners, agents, and merchants who have played pivotal roles in the success of MTN’s mobile money service, MTN MoMo.
GhIPSS was also celebrated with the Ecosystem Expansion Award, in recognition of its efforts to promote financial inclusion and expand Mobile Money usage through Mobile Money Interoperability.
Since its launch in 2009, MTN MoMo has revolutionized Ghana’s financial landscape by offering millions of users’ access to secure, convenient, and affordable mobile money services. The platform continues to grow as a key tool for financial transactions across the country.
Under Mr. Hesse’s leadership, GhIPSS has also made significant contributions to the mobile money ecosystem by introducing services such as mobile money interoperability and linking mobile money to bank accounts and the e-zwich payment system.
These innovations have enhanced the utility of mobile money and driven its widespread adoption in Ghana. Mr. Hesse has also been instrumental in advocating for regulations that support the growth of financial technology (FinTech) services in the country.
Expressing his gratitude for the recognition, Hesse thanked MTN for its ongoing collaboration and emphasized the potential of FinTech to drive future growth. He expressed his hopes of working with telecom companies, including MTN, to elevate Ghanaian FinTech companies to continental prominence.
The Ghana Chamber of Telecommunications has reported that telecommunications companies contributed GHS 9.83 billion in taxes and other payments in 2023, marking a substantial boost to Ghana’s national revenue.
This contribution reflects a remarkable 50% increase over the GHS 6.5 billion paid in 2022.
These figures are detailed in the Transparency Initiative Report, jointly released by the Ghana Chamber of Telecommunications and the Electronic Money Issuers Chamber of Ghana.
Beyond financial contributions, the telecommunications sector generated 2,464 direct jobs in 2023, slightly lower than the 2,600 jobs created in 2022.
At the report’s launch in Accra, Ing. Dr. Kenneth Ashigbey, CEO of the Ghana Chamber of Telecommunications, highlighted the industry’s dedication to fostering economic growth. Despite ongoing challenges, he affirmed the telecom sector’s role as a cornerstone of Ghana’s economic development.
“If you put together the total taxes that we bear and other remittances that we made to other government agencies, the total is GHS 9.8 in 2023. And this contribution forms about 7.4 per cent of government total revenue”. he said.
Dr Ashigbey further assured that the chamber is working to ensure data affordability, as Ghana ranks just behind Mauritius on the continent
The annual report, based on data from members of the Ghana Chamber of Telecommunications, including AT, MTN, Vodafone, ATC, Helios, Comsys, CSquared, Ericsson, and Huawei, aims to illustrate the industry’s societal and economic contributions to the country’s development.
Telecel Ghana Foundation in partnership with SHE Hub Ghana has trained 140 women entrepreneurs from the informal sector in Kumasi on digital and financial skills as part of the telecommunications giant’s annual Ashanti Month celebrations.
Fusing digital and financial skills with entrepreneurship, the training is aimed at exposing women business owners in the informal sector to digital and financial tools that will elevate their businesses to new heights to promote inclusive economic growth.
The women, who represent a diverse group of vocational traders including hairdressers, dressmakers, traders, and agribusiness owners, were each presented with a digital phone and a year’s supply of mobile data by the telco at the end of the training, a move designed to help them access the critical digital tools and apply their new skills to expand their market reach.
Delivering the keynote at the opening ceremony, Board Chair and Co-founder of Telecel Group, Nicolas Bourg highlighted the long-term value of the skills they will acquire and the advantages it would afford them as business owners in today’s rapidly evolving economy.
“Having a good understanding of digital tools and financial management skills will help you connect with a wider customer base through online platforms, expand your market reach and assist you in making informed financial decisions to secure your business’ future. Utilise the opportunity to ensure the growth of your business,” Nicolas said.
The training forms part of Telecel Ghana’s 2024 Ashanti Month celebrations in Kumasi, which include key activities such as headlining the 67th Asantehene Open Golf Tournament, customer visits by senior management, health screenings, clearing the medical bills of indebted patients in the regional hospital and market activations.
Head of Foundation, Sustainability and External Communications, Rita Agyeiwaa Rockson, explained the purpose and significance of digital and financial skills training in expanding businesses.
“This training is an opportunity to level the playing field for women in the informal sector who face barriers in accessing the tools and knowledge that could help them grow.
“Today, that changes. We are giving the beneficiaries of the training the intellectual and physical tools to unlock the full potential of their businesses.”
Board Chair and Co-founder of Telecel Group, Nicolas Bourg
The training module focused on digital tools for business promotion – the use of mobile apps, social media, and e-commerce platforms to improve service delivery and expand customer reach; and secondly, financial literacy – budgeting, record-keeping, and utilising mobile financial services to improve financial management and support sustainable business growth.
Each of the participants shared updates on their business and how the training will help them scale, as well as asked questions on several areas of the training for better grasp.
At the end of the training, each received a smartphone with a special Telecel package of 2.5GB data every month for a year.
Training participant and owner of BLERG Couture, Priscilla Osei Brempong, was excited and grateful for the opportunity to build her capacity through digital and financial skills training.
“I’ve always wanted to reach more customers and grow my business. With the digital phone and data, I can now advertise online and manage my finances more easily. This training is exactly what I needed to take my business to the next level,” Priscilla said.
The collaboration aims to foster partnerships between Ghanaian and Israeli cybersecurity entities, focusing on threat intelligence exchange, joint response planning, and harmonization of cybersecurity laws. It also emphasized the importance of protecting critical infrastructure, with Ghana implementing new guidelines under the Cybersecurity Act, 2020, to enhance the resilience of essential services.
The Embassy of Israel in Accra, in partnership with the Cyber Security Experts Association of Ghana (CEAG), at a Cyber Awareness Month Breakfast Meeting, underscored the need for robust cybersecurity measures to safeguard Ghana’s digital transformation journey, with Israel positioned as a strategic partner.
The event, on the theme: “Strengthening Cybersecurity Collaboration: Israel-Ghana Partnerships for a Resilient Digital Future,” brought together key stakeholders to discuss strategies for fortifying Ghana’s digital landscape against evolving cyber threats.
Known for its innovative solutions and resilience against cyber threats, Israel’s expertise provides Ghana with a unique opportunity to enhance its cybersecurity framework.
During the meeting, Ghanaian and Israeli representatives highlighted the potential benefits of knowledge sharing, technological adoption, and capacity building.
Dr. Albert Antwi-Boasiako, Director-General of the Cyber Security Authority (CSA), whose speech was read on his behalf by Mr Alexander Oppong, Director in Charge of Capacity Building and Awareness Creation, CSA, lauded Ghana’s strides in cybersecurity, referencing its recent Tier 1 status in the International Telecommunication Union’s Global Cybersecurity Index (GCI) and a role model country with a score of 99.27 per cent.
This ranking, he noted, reflected Ghana’s commitment to protecting its digital infrastructure and combating cybercrime.
Mr Antwi-Boasiako further stated that the strides made as a country – a leader in the region – had paved the way for further collaboration and innovation. “It is a testament to the hard work of our dedicated professionals and the collaborative efforts between government, academia, and the private sector,” he said.
The Director General said it was also a recognition of the international cooperation efforts and commitment to leveraging the strengths and learning from global leaders like Israel, whose expertise could guide Ghana in addressing the evolving challenges of cybersecurity.
According to the International Telecommunication Union (ITU), countries that invest in cybersecurity cooperation and capacity-building see, on average, a 10 per cent increase in digital adoption rates.
This growth contributes to a five per cent improvement in their innovation and competitiveness scores, as measured by the Global Innovation Index (GII) and the World Economic Forum’s Global Competitiveness Report.
Mr Antwi-Boasiako, therefore, observed that considering the borderless nature of cybercrimes, a cyber-attack in one country could have ripple effects across other nations, disrupting services, economies, and even national security, which called for a coordinated and unified approach to cybersecurity.
Ghana, he reiterated, was committed to greater collaboration and information sharing as a mechanism to combat cybersecurity threats and intensifying efforts to cooperate in exchanging threat intelligence, planning responses to cyber incidents, and harmonizing cybersecurity laws and policies.
Mr Aviel Avraham, Deputy Chief of Mission, Embassy of Israel to Ghana, Liberia and Sierra Leone, said cybersecurity was no longer just a sector of technology but a foundation of modern society, protecting every aspect of lives, from banking to healthcare to transportation and national security.
The relationship between Ghana and Israel, he said, continued to deepen across several sectors, and cybersecurity was one of the most promising areas with the recognition of secure digital infrastructure as critical for national progress. The Deputy Chief of Mission noted that Israel’s collaboration with Ghana in cybersecurity had been about building partnerships, exchanging expertise and fostering an environment where both countries could learn from each other. “Israel has been particularly encouraged by Ghana’s approach to cyber security, which is both strategic and proactive.
Ghana has made impressive strides, from establishing the Cybersecurity Authority to implementing a robust framework that protects the country’s digital assets,” he said.
Mr Abubakar Issaka, President, Cyber Security Experts Association, Ghana, said the theme for the meeting encapsulated its vision to merge the cutting-edge innovation of Israeli cybersecurity with Ghana’s robust expertise and unique perspectives with a collaboration of building a resilient future for both counties.
Keynote speakers from the Economic and Trade Mission of Israel, CEAG, and leading cybersecurity firm Checkpoint delivered insights into the global cybersecurity landscape followed by panel discussion where experts shared strategies for tackling shared cybersecurity challenges and improving collaborative defenses.
The MTN Ghana Foundation says the number of entrepreneurs it has chosen for its SME Support Programme has increased to 150 with a fund of GH¢2 million.
The Foundation celebrated the second year of its Small-scale and Medium Enterprises (SMEs) Support Programme in Koforidua, Eastern Region, with 50 entrepreneurs participating in the event.
In collaboration with the Innohub Foundation, the programme aims to foster the growth of small businesses and build a sustainable future for local communities.
This initiative provides support to women, youth, and individuals with disabilities through training in skills, mentorship, and funding. The training encompasses both artifact and digital trading skills.
In her speech, Madam Adwoa Afriyie Wiafe, Chief Corporate Services and Sustainability Officer, MTN Ghana, said the SME Support Programme in 2023 provided a seed capital of GH¢1,000,000 to help over 100 entrepreneurs into Gari processing, oil palm processing, beads making, animal rearing, among others.
She said the initiative had a great impact on the beneficiaries because they were able to train others and saved them from becoming a burden on their families and society.
This year, she said the number of entrepreneurs chosen for the SME Support Programme has increased to 150 with a fund of GH¢2 million.
The beneficiaries were selected from the Eastern, Volta and Central Regions.
Madam Wiafe said, “to ensure the growth or progress of your businesses we shall monitor, evaluate, assess, and guide you where necessary.”
Mr. Nelson Amo, Executive Director of Innohub Foundation welcomed the 2024 beneficiaries and said, “The road of entrepreneurship is not easy, but it is filled with opportunities to learn, innovate, and make a meaningful impact.”
He said, according to statistics, revenue for businesses under the SME Support Programme was increased from GH¢7.6 million in 2022, to GH¢11.5 million in 2023.
The programme is not just about numbers; it is about lives transformation. Every figure represented an entrepreneur’s story of challenges overcome; he indicated.
