MTN Ghana is investing in the communities it operates by supporting local businesses to take part in the value chain of the leading telecom company in the country.
This remarkable development has boosted the local economies of the various Metropolitan, Municipal and District Assemblies (MMDAs) of the 16 regions of Ghana.
Speaking at the recent MTN Media and Stakeholders’ Forum held in the Upper West regional capital, Wa, Senior Manager of Corporate Communications of MTN Ghana, Mrs Georgina Asare Fiagbenu, explained that the company feels good in investing in the local economies and the national economy.
According to him, MTN Ghana spent a total spend of over GHS3.2 billion in 2021 alone on both local and foreign suppliers.
Out of this amount, GH₵2.3 billion representing 75% went to local suppliers in the country, Mrs Fiagbenu added.
In terms of numbers, a total of 1,144 suppliers benefited from the company’s over GH₵3.2 billion spend with 897 being local suppliers.
This represents 78% of the total local supplier base in 2021.
The telecom giant also has capacity building programmes that it rolls out to ensure that these local businesses are capable of helping the company to meet its objectives.
What MTN Ghana is doing in the country is what extractive companies-minerals, oil and gas companies operating in Ghana have been struggling to do despite the existence of local content law.
It is important to acknowledge that local content is the key pathway through which the minerals and mining sector interacts with the non-mining economy to spur national development. It is also the vehicle in which it ploughs back minerals export receipts and expenditure of the same in-country.
Economic significance
Since its inception in 1996, MTN Ghana has had a significant impact on the Ghanaian economy through contribution to Ghana’s long-run economic and fiscal stability and gross domestic product, (GDP), employment creation, promotion of digital and financial inclusion, promotion investment and innovation in the wider economy, social investments, among others.
The largest telecoms company also continues to impact on almost all the sectors of the Ghanaian economy including telecoms, health, education, banking and finance, agriculture, science and technology, security services, sports, trade, and investment.
Creation of employments
Furthermore, MTN Ghana supported micro enterprises, executed the business incubator project, supported surgeries for life-threatening ailments and embarked on the Y’ello Care- employee volunteer programme, among others.
Through its ecosystem of partnerships and suppliers, the company has also generated thousands of jobs for the youth while thousands of Ghanaians are being employed by MTN Ghana and its MobileMoney Limited subsidiary in the West African country.
Commitment to tax obligation
It takes its statutory obligations seriously and has ensured commitment to its tax obligations which has been recognized several years running.
For instance, in 2021 alone, MTN Ghana’s total payments in tax to the government amounted to GH₵ 2.54 billion, representing 4.4% of the total national tax revenue.
Additionally, MTN Ghana is said to be the highest payer of the National Fiscal Stabilisation Levy (NFSL) as data from the company revealed.
The telecom operator just last year paid a huge amount of GH₵ 119 million, representing 81% of overall NFSL received in that year.
Major collector of CST
MTN Ghana through its MTN network also collected 56% of overall Communication Service Tax (CST) which is GH₵ 297 million for the government last year.
Besides, the company recognises that its role in Ghana’s economic growth and future goes beyond its statutory obligations.
It has a role to play in deepening the digital ecosystem and ensuring connectivity for all including rural communities, as part of supporting the government’s ambition for a digital Ghana.
Provision of key telecoms services
Additionally, MTN Ghana which provides a wide range of mobile and broadband services in the country is promoting digital inclusion, making it possible for millions of Ghanaians to benefit from the exchange of ideas and information.
It also provides an avenue for reduced communication costs and improved access to education, healthcare, financial services, and others which are critical for the socio-economic development of Ghana.
It is an indisputable fact that mobile services increase productivity by improving the availability of information and reducing transaction costs and enable businesses and markets to operate more effectively and efficiently.
Supporting investment and innovation
Also, these services support investment and innovation in the economy. For instance, the provision of network equipment and the creation of business services and applications that leads to greater economic growth.
Mrs Fiagbenu who led a team of MTN Ghana staff to the Wa forum, reiterated MTN’s commitment to deepening digital and financial inclusion as part of its Ambition 2025 strategic vision.
She assured that “the company was on track to invest 1 billion dollars in digital infrastructure by 2025.”
The core of MTN’s strategy is to leverage technology to build and enrich lives. “At the heart our ambition is driving digital and financial inclusion to enhance the quality of life of Ghanaians.”
Digital Platforms
Obed Adu-Amankwah, Northern Territory Sales Controller of MTN Ghana noted that the business was promoting mobile advertising and Ayoba which till date has over 10 million users in Africa with 20% users being from Ghana is the platform to drive it.
According to him, Ayoba currently has 15 micro-apps with the majority built by local developers. This is aimed at boosting local content.
He assured customers in his operational area and the rest of the country that MTN is committed to improving customer experience and bringing services closer to the doorsteps of consumers.
Improving Customer Experience
Consequently, Mr Adu-Amankwah said, MTN had established 306 touch points in addition to its traditional service centres, connect-stores and distributor shops across the country in collaboration with local partners within communities.
The objective of this scheme is to make customer service accessible to every community where customers exceed 1000.
Social investments
It is MTN Ghana’s fervent belief that businesses exist today for reasons beyond financial returns. This is what has fuelled its consistent commitment to invest in education, health, and economic empowerment through the MTN Foundation with over 157 projects completed since inception.
The Foundation which was set up in 2007 as a single purpose vehicle to drive all MTN Ghana’s corporate social responsibility (CSR) initiatives in the country currently has three focus areas- Health, Education and Economic Empowerment.
Since its establishment, the Foundation has invested $13.5 million in 157 projects in its focus areas which are estimated to have impacted over four million people across the country, according to senior officials of the Foundation.
Out of the total number of projects, the Foundation has invested in 87 education projects, and they include ultra-modern technology laboratory for the Ghana Institute of Public Administration (GIMPA), and a six-unit classroom block for Nhyiaeso Basic School,
Through these and other investments made in universities and other higher learning institutions across the country, digital inclusion and innovation are being sustained.
Also, as far back as 2002, Scancom Plc, the parent company of MTN Ghana had already set up the Spacefon Scholarship Scheme which has now become the MTN BRIGHT Scholarship program.
This scholarship scheme has helped thousands of needy and brilliant students all over the country since the days of Spacefon and its commitment continues in this respect.
The Foundation has executed 52 health projects, as well as numerous smaller initiatives in various communities to brighten lives in all 16 regions of Ghana, since its establishment.
Besides the provision of these health facilities, health equipment, blood donations, distribution of mosquito nets and payment of surgeries of the vulnerables, the Foundation also provided potable water for communities by funding the drilling of boreholes, thereby helping to prevent water-borne diseases.
By Masahudu Ankiilu Kunateh, African Eye Report, Back from Wa
