The Ministry of Communications of Ghana has announced that the government has rubber-stamped the proposed privatisation of its national operator Ghana Telecom (GT). A financial advisor has been appointed to coordinate the sale, which is expected to include a stock listing and fund raising programme to help provision its network expansion plans. GT is a wholly owned government entity, but is being run by a Norwegian management team until the end of the year. The state intends to sell off a 51% stake in GT to private interests, and has contracted consultants to advise on the sale.
In June this year, GT’s incoming CEO Frode Haugen told journalists that his company had repositioned itself so that by the end of the year it would be able to roll out new products and services. It is also trying to improve its customer mix by moving some of the base from post- to pre-paid options and by providing higher value broadband services to corporate and consumer customers. Haugen concedes that the operation of the traditional PSTN has become expensive and unrewarding, and that GT needs new revenue streams in order to grow. Broadband services are expected to have a significant impact on the fixed network’s future revenue from 2006.