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Business News of Thursday, 9 July 2015

Source: Daily Guide

Telecom sector players constrained

Operators in the country’s telecommunications sector say they are constrained in spite of new investments they are making in the sector.

Cynthia Lumor,Corporate Services Executive of MTN Ghana, who made this known at a recent meeting organized by the Journalists for Business Advocacy in Accra, called for a proactive government policy that would ensure the sustainability of the telecommunications industry to make it integral to the development of the country.

Ms Lumor also advocated a regime that would promote the requisite investments.

She said, “the declining revenue in the sector may translate into poor service quality, and government tax income is significantly reduced as industry revenues decline.”

Ms Lumor said high electricity tariffs and fuel costs had increased operational expenditure considerably, stating that spending on utilities and diesel constitutes over 30 percent of operational expenditure.

She said in spite of the erratic power supply and other challenges, MTN Ghana was providing superior services to delight subscribers and consolidate its position in the industry.

The Corporate Services Executive of MTN said the company had invested more than $2.4 billion in network expansion and systems improvements projects since 2006 in a bid to become the mobile network of choice in the country.

She said the investments made over the years had improved network capacity, data speeds, as well as reduced overall network congestion.

Ms Lumor disclosed that the company plans to invest a further $103 million in network improvement and expansion in 2015, adding that the move formed part of the company’s strategy to render unparalleled innovative services to customers.

The strategy is to drive sustainable growth and continue to remain efficient and responsive to the changing needs of the over 14 million customers of the company, Ms Lumor.

She said MTN would continue to innovate, make critical investments in the network and collaborate with stakeholders to sustain growth and make customers the focus of its operations.