- Ghana is combining Telecel and AirtelTigo to establish a consolidated operator that can serve as a stronger alternative to MTN.
- The new entity would command around 26% market share versus MTN’s 79%.
- The Ghanaian government is banking on $600 million to make the merger work.
Ghana’s government is pressing ahead with plans to merge two struggling telecom providers—Telecel and AirtelTigo—in a move aimed at creating a more competitive environment in the country’s telecom sector. The merger is expected to strengthen the second player in the market and challenge MTN’s longstanding dominance.
Telecel, which recently completed the acquisition of Vodafone Ghana, will incorporate AirtelTigo’s 3.2 million subscribers. This would give the combined entity approximately 26% market share, based on recent figures. In contrast, MTN Ghana maintains a commanding 78.88% market share as of April 2025.
According to the Minister of Communications, Samuel Nartey George, the merger is necessary to stabilise AirtelTigo, which has suffered financial losses exceeding $10 million within eight months.
To support the merger and revitalise the new entity, the government has proposed a $600 million investment plan over the next four years. This funding is expected to come from spectrum sales, favourable policy interventions, and private sector contributions.
This is not Ghana’s first attempt at telecom consolidation. Airtel and Tigo previously merged in 2017, but the unified company failed to gain ground against MTN. AirtelTigo’s market share declined sharply from 25.82% in 2018 to 7.89% by the end of 2024. Meanwhile, Telecel — even after acquiring Vodafone Ghana — remains under 20% market share.
AirtelTigo currently holds a B3 credit rating, indicating a high risk of default. The integration process for the merger includes technical migration and staff restructuring, scheduled for completion by the end of 2025.
MTN, on the other hand, continues to expand its lead. The telecom giant has committed to investing $1 billion in Ghana to upgrade its infrastructure and services. The company also reported a 39.9% increase in revenue for the first half of 2025, further solidifying its market position.
While the merger could result in operational improvements and potentially spur price competition, its ability to significantly erode MTN’s lead remains uncertain.
