• Ghana discusses Huawei-backed device assembly plant during Mobile World Congress

• Project targets $40 smartphones for Ghana and West African markets

• Affordable devices aim to boost mobile internet and 4G/5G adoption

The Ghanaian government is in talks with Chinese technology giant Huawei to set up a digital device assembly plant in the country, an initiative aimed at making affordable smart devices available to both the domestic market and neighboring countries.

The talks took place on the sidelines of the Mobile World Congress (MWC) held this week in Barcelona, Spain. Ghanaian authorities say the project is part of a GSM Association (GSMA) program carried out in partnership with several African telecom groups and seven original equipment manufacturers (OEMs). The initiative aims to bring $40 smartphones to the African market.

Samuel Nartey George, Ghana’s Minister of Communications, Digital Technologies and Innovation, said he had submitted a proposal to the GSMA allowing countries such as Ghana to apply directly to participating OEMs. These manufacturers would then decide where to locate assembly plants based on the advantages offered by each country.

The minister said Ghana is well positioned to host a digital device assembly plant due to its relative political stability and its role as a gateway to West Africa. He also cited the country’s growing economy, free zones, and policies allowing multinationals to repatriate profits.

Boosting the adoption of digital services

Authorities believe the initiative could expand access to mobile broadband and digital services by lowering the cost of devices. The high price of smartphones remains one of the main barriers to mobile internet adoption in Africa, even in areas where network coverage is available. According to the GSMA, although smartphones priced below $100 have entered the market in recent years, they remain unaffordable for a large share of the population.

George said that if the affordable phone assembly plant is established, more Ghanaians would gain access to devices compatible with 4G and even 5G networks, helping reduce the gap between network coverage and actual usage.

He noted, for instance, that while 4G coverage in Ghana exceeds 90%, usage remains below 60%. Despite network availability, part of the population still relies on basic phones that do not support 4G because smartphones remain too expensive. According to World Bank data, smartphone penetration stands at 53% among Ghanaians aged 15 and above.

The same situation could emerge in other West African countries if the devices are distributed in those markets. Across Africa, 4G accounted for 45% of mobile connections in 2024, compared with just 2% for 5G, according to the GSMA. These shares are expected to reach 54% and 21% respectively by 2030. In countries neighboring Ghana, such as Côte d’Ivoire, Togo, Benin, Burkina Faso, Niger and Mali, smartphone penetration rates range between 18% and 48%.

Challenges and uncertainties

The timeline for commissioning the assembly plant remains unclear, although George said "significant progress" had been made during discussions with Huawei. The GSMA’s $40 smartphone program will first be tested in six African countries: the Democratic Republic of Congo, Ethiopia, Nigeria, Rwanda, Tanzania and Uganda.

Beyond the timeline, questions remain about the quality of locally assembled devices. It is not yet clear whether Huawei would assemble existing models or develop new devices tailored to the cost constraints and needs of the African market. While the GSMA has defined quality standards under the program, their implementation by OEMs and consumer perception will remain key factors.

Kenya’s experience illustrates the challenge. In that country, where the government set up a smartphone assembly plant in partnership with the private sector, adoption of locally assembled devices has remained limited, according to a GSMA report published in October 2025. The study notes that consumers often perceive these devices as lower in quality and less attractive than well known international brands such as Infinix, Itel, Redmi and Vivo, which are also active in the low cost smartphone segment.

According to the GSMA, these findings suggest that local assembly initiatives must be accompanied by strong branding strategies and efforts to build consumer confidence in order to compete effectively in the market.

Isaaac K. Kassouwi