Key Points
- MTN Ghana increases local ownership in Scancom to 30%.
- Company focuses on fiscal discipline to offset inflation.
- Expands the MoMo ecosystem, aiming for financial inclusion.
MTN Ghana, the Ghanaian subsidiary of Africa’s telecoms giant MTN Group, headed by Stephen Blewett, has announced that it has achieved 30 percent localization of its subsidiary, Scancom PLC, marking a notable advancement in its commitment to meet regulatory mandates.Â
The telecommunications giant reported a 2.1 percent increase in local ownership in the nine months ending September 30, 2024, raising the Ghanaian stake in Scancom to 30 percent.
MTN Ghana prioritizes localization, offsets inflationary challenges
MTN Ghana also affirmed that it is working with regulatory authorities to complete the localization process for MobileMoney Limited, another crucial branch of its operations.
This move is in line with Ghana’s regulations that promote increased local participation in key foreign-owned enterprises to boost economic inclusivity.
MTN Ghana has tempered its outlook for the last quarter of 2024 due to economic challenges, including the potential for higher inflation and continued currency depreciation. These factors could weigh on economic growth and impact consumer spending in the months ahead, as reiterated by the company.
However, MTN remains focused on cost efficiency and fiscal discipline to offset inflationary pressures on its operations.
Service expansion and financial inclusion initiatives
Despite economic challenges, MTN Ghana is enhancing customer experience by strengthening its platforms, including myMTN and the MoMo app. The company is also prioritizing expanded data access in rural areas and promoting smartphone adoption to meet rising data demand across Ghana.
MTN Ghana CEO Stephen Blewett noted: “In the third quarter of 2024, MTN Ghana sustained its strong performance from earlier in the year, showing resilience amid persistent macroeconomic pressures. Our commitment to delivering essential connectivity and fintech solutions for our customers remains steadfast. We continue to support Ghana’s socioeconomic development through initiatives like the MTN Foundation and regular tax contributions.”
Further emphasizing financial inclusion, MTN Ghana is expanding partnerships with financial institutions and merchants to grow its MoMo ecosystem. These efforts reflect the company’s mission to ensure digital financial access for all Ghanaians.
