The Minority Caucus in Parliament has raised serious concerns over the government’s alleged plan to allow Telecel Ghana to take over AirtelTigo (AT),
The Minority Caucus in Parliament has raised serious concerns over the government’s alleged plan to allow Telecel Ghana to take over AirtelTigo (AT), describing the move as “reckless, unjustified and a threat to Ghana’s digital sovereignty.”
At a press conference in Accra, the Minority accused the Minister of Communications, Samuel Nartey George, of presiding over what they termed a “chaotic and opaque” process to dispose of the only wholly Ghanaian-owned telecommunications company. The group argued that the proposed merger between AT and Telecel would serve private interests at the expense of national development and competition in Ghana’s telecom sector.
Telecel’s Unfulfilled Promises
The Minority’s opposition is rooted in Telecel Group’s track record following its acquisition of 70% shares in Vodafone Ghana in August 2022.
At the time, the Group pledged to inject $500 million into the Ghanaian telecom market to modernize infrastructure and improve service delivery.
However, three years on, the company has reportedly invested less than $10 million — an amount generated internally through its Ghana operations rather than through new capital injection.
“It defies logic,” the Minority stated, “that a company which failed to fulfill a $500 million investment pledge now claims it can invest $50 million if allowed to take over AirtelTigo.”
They questioned why Telecel, if financially capable, has not invested the same $50 million into improving its own struggling network.
A Troubled History of AT
AirtelTigo (AT) was formed in 2018 through a merger between Airtel and Tigo, with the government holding a 25% stake in Airtel at the time.
The merger aimed to consolidate resources, reduce costs, and compete effectively against MTN and Vodafone.
However, the new entity struggled to stay afloat amid mounting debts and lack of infrastructure investment.
By February 2020, AT announced plans to exit the Ghanaian market due to operational challenges.
To prevent mass layoffs and safeguard digital infrastructure, the Akufo-Addo administration intervened in 2021, acquiring AT for $1, thereby taking full ownership of the company. The move saved over 500 direct jobs and secured services for more than 5 million customers.
The government’s acquisition was strategic — it aimed to protect jobs, stabilize the telecom sector, and increase Ghanaian ownership in critical digital infrastructure.
However, the plan hinged on finding a credible investor to recapitalize and modernize AT.
Investment Prospects and Policy Confusion
In 2022, Deloitte Ghana was engaged to identify private investors for AT.
Three companies — Hannam & Partners, Celsation, and Afritel — emerged as potential partners, with Hannam shortlisted to inject $150 million for 85% ownership. However, political interference and the then-opposition’s objections derailed the process.
When the new administration took office in 2025, the Communications Minister initially promised to revamp AT through a new strategic investor.
In May 2025, government signed an MoU with Rektron and Afritel, proposing a 60-40 partnership and a $150 million initial investment, scaling up to $1 billion over five years.
But within weeks, the minister reportedly backtracked, announcing instead a potential merger between AT and Telecel.
This sudden shift, the Minority says, has created confusion and uncertainty among staff and stakeholders.
Telecel’s Financial Weakness Raises Red Flags
The Minority insists that Telecel Group is in no financial position to absorb AT. According to the caucus, Telecel currently has over $400 million in debt and lacks the capacity to sustain its own network.
“How can a struggling telecom be trusted to turn around another struggling operator?” the statement asked. “This is like asking a failing bank to take over another loss-making bank — the result will be catastrophic.”
They also criticized the minister’s reasoning that Telecel’s proposed $50 million upgrade is more beneficial than Rektron’s $150 million initial investment and $1 billion over five years, calling the justification “illogical and deceptive.”
Threat to Jobs and National Digital Projects
The Minority fears that the proposed takeover could jeopardize over 500 direct and 10,000 indirect jobs linked to AT’s operations.
Furthermore, they warned that the merger could disrupt the World Bank-funded $50 million Digital Infrastructure Venture (DIV) Project, which connects over 900 public institutions — including hospitals, police stations, and district offices — to high-speed internet via AT’s network.
“If AT is collapsed or absorbed under a force majeure pretext, this project could be crippled, reversing Ghana’s digital progress,” they cautioned.
Conflict of Interest Allegations
The press statement also hinted at alleged conflicts of interest and lobbying involving the Minister of Communications and Telecel.
The Minority accused the minister of facilitating sponsorship deals and using his office to promote Telecel’s image, including funding the Homowo Festival in his constituency shortly after announcing the merger talks.
They further alleged connections between Telecel, MTN, and the Dzata Foundation, suggesting the merger might serve private or political interests rather than national priorities.
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