MTN Group to invest $1 billion in Ghana over the next five years, boosting the country’s economy.
The investment is part of MTN’s larger plan to expand across Africa, particularly in Nigeria and Ethiopia.
In Nigeria, the company has been in discussions with regulators about releasing payment services, while in Ethiopia, it hopes to increase its market share through selling shares, with an expected $600 million in proceeds.
This investment in Ghana comes as a welcome relief to the country’s struggling economy, which has been hit hard by capital outflows, debt repayment issues, and currency devaluation.
According to the International Monetary Fund (IMF), Ghana’s economy contracted by 3.2% in 2020, with the country’s public debt reaching nearly 80% of its gross domestic product (GDP).
The investment will focus on the deployment of 5G technology, which MTN believes will not only improve its services but also help all industries in Ghana grow.
Ralph Mupita, the CEO of MTN, reiterated the company’s commitment to investing in Ghana despite the current macroeconomic problems. This investment disclosure was done after the government of Ghana dropped its quest to take an amount worth of about $773 million as tax.
MTN is Africa’s biggest mobile phone company, with operations in more than 20 countries across the continent. With this $1 billion investment, the company is demonstrating its commitment to providing the latest technology and services to the people of Ghana while also expanding its presence in Africa.