• Ghana is merging loss-making AT Ghana with Telecel to create a stronger rival to dominant MTN.

• All 300 AT staff keep their jobs; 3.2 million subscribers already roam on Telecel’s network.

• Deal needs regulatory approval; government aims to finalise commercial framework within 120 days.

Ghana’s Ministry of Communications, Digital Technology and Innovations has formally announced the merger of state-owned AT Ghana (formerly AirtelTigo) with Telecel Ghana. The move, revealed during a staff engagement in Accra on 4 September, aims to create a financially stronger second national operator capable of competing with market leader MTN Ghana.

Minister Samuel George told AT Ghana’s 300 permanent staff that their contracts would continue uninterrupted. “This is not a re-application process… Every single employee will be absorbed unless you personally decide to leave,” he said, adding that customers should expect no service disruption during the transition.

The decision follows AT Ghana’s unsustainable losses. According to the Minister, the company has already consumed more than USD 10 million of public funds in the first eight months of 2025. “We cannot continue to pump scarce public funds into an operation that is not sustainable,” George stressed.

Government retains 100 % ownership of AT Ghana after Bharti Airtel and Millicom exited in 2021. Telecel Ghana, meanwhile, entered the market in February 2023 when Telecel Group acquired Vodafone’s 70 % stake in Vodafone Ghana; the business was fully rebranded as Telecel Ghana within a year.

Technical integration is already under way. Over 3.2 million AT Ghana subscribers have been migrated to Telecel’s network via a roaming arrangement described by the Minister as “98 % successful”. The merger will now proceed in three phases: Technical migration – nearing completion, Human-resource alignment – staff absorption targeted for end-September, Commercial restructuring – new business framework to be finalised within 120 days.

The combined entity will require approximately USD 600 million in new investment over the next four years, to be funded jointly by the government (primarily through future spectrum sales) and private-sector partners. Officials expect the enlarged network to deliver wider 4G coverage, fewer call dropouts and faster data speeds, while accelerating 5G readiness and rural expansion.

Market data from Ghana’s National Communications Authority (NCA) show why consolidation is attractive. At the end of Q2 2025 MTN Ghana controlled 73 % of the market with 29.5 million subscriptions. Telecel held 18 % (7.6 million) and AT Ghana 8 % (3.3 million). A merged Telecel-AT would command about 26 % of subscriptions, creating a clearer counter-weight to MTN’s dominance.

MTN continues to widen the gap. In its Q1 2025 results the group reported 19.8 % year-on-year service-revenue growth, with Ghana contributing 13.9 % of the increase. The company’s 4G population coverage reached 99.3 % and it has invested more than USD 1 billion in its Ghana network over the past five years, according to CEO Stephen Blewett.

Ghana’s mobile market is projected to grow moderately in the medium term, driven by rising smartphone adoption and data demand, although exact valuation and growth-rate figures for 2025 vary among analysts. Regulatory clearance is still required before the merger becomes effective. In a sign that negotiations are ongoing, official statements about the deal posted on government and ministerial social media accounts were quietly removed hours after the September 4 event.

No reason has been given, but observers note that final shareholder agreements, spectrum transfer approvals, and political sensitivities surrounding state assets could still delay or alter the transaction. For now, the government insists the process is irreversible. “We are creating a viable, competitive Ghanaian champion,” Minister George said. “The alternative is to keep subsidising failure, and that is not an option.”.

Hikmatu Bilali