With the bulk of Ghana’s internet access now coming via mobile handsets –as is the case in many emerging markets – the pressure on network infrastructure has increased dramatically. In the two years to March 2015, for example, mobile data penetration nearly doubled, from around 8.8m people to 16.1m, with total penetration increasing from 34.8% to 59.7%, according to the National Communications Authority (NCA), the sector regulator.

MTN Ghana, the South African telecoms operator’s local subsidiary, announced $103m worth of investments in June to “expand, optimise and maintain” its network this year. This comes on top of the more than $2.4bn already invested between 2006 and 2014. Tigo, the branded name for the local subsidiary of Sweden’s Millicom International Cellular, announced in July that it would channel $24m into its own network expansion efforts, to be completed by the first quarter of 2016. The company aims to open 275 new base stations, in addition to the 1050 already in operation across the country. This should help improve network quality and geographical coverage, while also easing bottlenecks in areas known for heavy usage, boosting internet speeds and call quality.

Government invests in Eastern and Western Corridor fibre infrastructure. Ghana’s telecom sector has benefited from it having been one of the first on the continent to be liberalized and deregulated. The privatization of Ghana Telecom in 1996 was the catalyst for an extraordinary growth in market competition across the mobile, internet and fixed-line sectors. The company has been part of the Vodafone Group since 2008. Other international players which have invested in Ghana’s telecom market include Bharti Airtel, MTN and Millicom, all three of which are significant regional players.

The landing of two international submarine fibre optic cables in 2012 and 2013 has significantly increased international bandwidth, leading to significant activity in the broadband sector. In addition, the government’s investment in its Eastern and Western Corridor fibre project has linked businesses and anchor tenants including government offices as well as a number of Community Information Centres, built to help push ICT into rural communities.

Since launching the first cellular mobile network in sub-Saharan Africa in 1992, Ghana has developed one of the continent’s most vibrant mobile markets, with six competing operators including regional heavyweights. While growth in the voice market has slowed with higher penetration, there is enormous potential in coming years for mobile data and mobile broadband. Operators are capitalizing on consumer demand for services by upgrading existing 3G infrastructure with LTE.

Key developments:

• MTN Ghana secures one of two blocks of spectrum in the 800MHz band;
• Vodafone Ghana launches M-Pesa;
• Tigo Ghana continues Phase II of tower expansion program; regulator prepares to licence up to three MVNOs;
• 87% year-on-year increase in mobile number portings;
• Surfline Communications launches LTE in the capital and in Tema;
• mobile operators ordered to repeat SIM card registration following widespread use of fake IDs during the process;
• Government removes 20% tax on smartphone imports;
• Surfline Communications expands LTE services;
• Eastern Corridor project completed, work starts on Western Corridor;
• Government plans launch of the Ghanasat 1 satellite in 2020;
• Ghana Information Communication Technology Council set up to guide the ICT sector;
• Microsoft and SpectraLink Wireless trial white spaces broadband;
• Report includes regulator’s market data to December 2014;
• Operators’ data to Q4 2014;