Glo pull out threats, potential Ghana-Nigeria trade war?

The recent threats by mobile operator, Glo, to quit the country, appear to be sparking a potential trade war between Ghana and Nigeria.


This follows a publication in the Nigerian newspaper, Business Daily linking Glo’s frustrations to what Nigerian traders say is a grand scheme by the government to clamp down on their businesses in Ghana.


The President of the Nigerian Union of Traders in Ghana, Jasper Amenike alleged in the publication of a concerted effort between the Ministry of Trade and the Ghana Investment Promotion Council to ensure that Nigerian businesses do not succeed.

Mr. Amenike further cited the shutdown of 83 shops belonging to Nigerian traders in the past seven months with 550 others expected to follow soon.

Glo’s threat to pullout, Amenike noted, was a confirmation of government’s anti-Nigerian stance.

At the heart of the traders’ complaint however, is a clause in Ghana’s Investment code requiring all foreigners interested in engaging in the retail trade to have a minimum capital of at least $300,000.

They say this is in violation of the ECOWAS protocol on free trade and movement of people.

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According to the publication, a top level Nigerian delegation to Ghana on Monday led by its Minister of Foreign Affairs and Minister of State for Commerce and Industry was unable to workout an amicable solution.

Officials of the Trade Ministry approached by Joy Business were yet to comment on the matter.

Source: Joy Business/Myjoyonline.com/Ghana

Glo Mobile must remain in Ghana!

As soon as it secured the license to operate as the sixth mobile phone operator in Ghana, Glo Mobile hit the ground running by investing massively in certain areas of Ghana’s economy.

First, Glo invested an unprecedented 15 million dollars in the Ghanaian Premier League, before going ahead to support the senior national football team, the Black Stars with an astonishing 9 million dollars. 

Glo also signed a sponsorship deal worth thousands of dollars with the Ghana National Supporter’s Union (GHANSU).

All these investments were carried out in spite of the fact the Glo hadn’t rolled out its mobile services in the country. 

Till today, Glo Mobile continues to sponsor several activities and events in the country. Associations such as the Sports Writers Association of Ghana (SWAG), The Premier League Board and the Ghana Football Association (G.F.A), continue to benefit from Glo’s benevolence.
The fact that Glo is investing millions of dollars in the Ghanaian economy despite not having begun operations in the country is an incontrovertible indication that the company is committed to contributing its own quota to Ghana’s development.

Dashed Hope and Opportunities

Ghanaians have been patiently anticipating Glo’s major take off for some time now, they know that not only will Glo’s roll-out provide them with numerous employment opportunities; it will also lead to the transformation of Ghana’s telecommunications sector. 


Unfortunately, the hopes and aspirations of many Ghanaians are about to be dashed with news that Glo Mobile intends to pull out of Ghana.


According to a Daily Graphic report, Glo Mobile ‘has decided to divest its investment in the country and exit Ghana as it faces several challenges from some interests bent on sabotaging the company’s nationwide take-off plan.’’ 

The story indicated that some of the challenges the company has faced since it was awarded a GSM license by the National Communications Authority (NCA) ‘include an encroachment on the frequency allocated to it by the NCA, the repeated sabotage of its billboards and the delay in securing approval for the swift deployment of its infrastructure, such as base stations.’


The story went on to add that ‘while Glo Mobile had been working at frenetic pace to formally roll out the network, some forces had been deliberately working around the clock to cripple its operations and prevent it from rolling out quickly.’


I’m surprised that instead of reciprocating Glo’s benevolence over the years, by supporting them in whatever capacity we can to enable them roll out as quickly as possible, some people are satanically going about derailing the efforts of the telecommunications giant. Needless to say, the destruction of Glo’s mast, billboards, and other infrastructure by some faceless individuals or perhaps organizations are sophomoric and despicable acts that should be rigorously condemned by all. 


The telecommunications industry in this country is one in which corruption thrives. Over the years, mobile phone operators in the country have contemptuously delivered poor services to Ghanaians despite the latter paying heavy amounts for voice and data services. The National Communications Authority (N.C.A) which is saddled with the responsibility of ensuring that Ghanaian subscribers get their money’s worth has been utterly ineffective in that regard.


As a result, Ghanaians have become frustrated; this is especially so in view of the fact that certain mobile phone operators fail to provide quality customer care for their subscribers in addition to the poor voice and data services they offer.

To many Ghanaians, therefore, Glo Mobile represents hope and change; and the news the company intends to pull out of the country is the most devastating they have heard in recent times.


Consequences of a Pull out

If Glo Mobile eventually pulls out of Ghana, we would have succeeded in sending out the wrong signal to foreign investors and the international community at large. Prospective investors will be hesitant in investing in the country. 

The government will be deprived of millions of dollars in taxes Glo mobile would have paid to the state for its operations in the country. Organizations such as G.F.A, GHANSU, and PLB will lose the lucrative sponsorship deals they have secured from Glo.

The media also stands to lose million, perhaps billions of dollars they would have derived from advertising Glo’s product and services. Not only that, deprived communities, institutions, and individuals who would have benefited immensely from Glo’s Corporate Social Responsibility programmes will also be denied that opportunity.

Needless to say, a Glo pull out will be detrimental to Ghana’s economic development; it is Ghanaians that will be affected most, because their dreams of seeing Glo revolutionalize the telecommunications industry will remain only a dream.

Ghanaians envisage that Glo’s involvement in the telecoms industry will trigger the kind of competition that will see other mobile phone operators improve their services as well as reduce astronomical voice and data charges. If Glo pulls out at this stage, the already appalling situation in the telecom industry will deteriorate.

In essence, a Glo pull out will only affect Ghanaian mobile phone subscribers; economically, it would derail the efforts of government to attract foreign direct investment, generate employment and stimulate economic growth.


Positive Action
Glo’s involvement in Ghana is non-negotiable; it is imperative! Glo Mobile possesses immeasurable expertise in telecommunications, a situation which has seen the company achieve success especially in Nigeria and in the Republic of Benin. Indeed, Glo recently made history as the first single company to build an $800 million high-capacity fibre-optic cable, known as Glo-1. It the first successful submarine cable from the United Kingdom to Nigeria; and it will decrease telecom process and provide excess bandwidth to all the cities connected to the cable. It will also improve teleconferencing, distance learning, disaster recovery and telemedicine among several other benefits.the foregoing clearly shows Clearly Glo Mobile is a world class company whose involvement in Ghana will do the country nothing but good.


It is important, therefore, that the company is given the freewill and support it requires to successfully begin operations in Ghana. 

It behooves on government, through high level talks with the management of Glo Mobile, to ensure that the company rescinds its decision to quit as a matter of priority and urgency. 
I reiterate that by investing millions of dollars in the Ghanaian economy despite not having begun operations in the country, Glo has proven that it is ever committed to contributing its own quota to Ghana’s development. It'’s only normal, therefore, that they are supported unflinchingly by all-Ghanaians, N.C.A, government- in their quest to transform telecommunications in the country. This is imperative if Ghanaians are to realize their dream of ruling their own world.


By Samuel K. Obour

Glo Mobile to quit?

Major telecommunications operator, Glo Mobile, intends to pull out of Ghana, an authoritative source close to the company has disclosed.

The Daily Graphic gathered over the weekend that the telecommunications giant had decided to divest its investment in the country and exit Ghana as it faced several challenges from some interests bent on sabotaging the company's nation-wide take-off plan.

A source close to the company disclosed that some of the challenges the company had faced since it was awarded a GSM licence by the National Communications Authority (NCA) included an encroachment on the frequency allocated to it by the NCA, the repeated sabotage of its billboards and the delay in securing approval for the swift deployment of its infrastructure, such as base stations.

It said officials of the company were concerned that while the company had been working at a frenetic pace to formally roll out the network, some forces had been deliberately working around the clock to cripple its operation and prevent it from rolling out quickly, to the detriment of the Ghanaian society.

Another source close to the company said the operator’s management felt that its infrastructure in the country was not getting adequate protection from the law enforcement agencies.

Efforts to get the official reaction from the company to the development proved abortive, but it was gathered that the company would soon serve the government with its notice to quit.

The source, which was privy to the outcome of a recent meeting held by senior management staff of the company on the issues, said Glo was displeased with the various acts of vandalism and would be relieved if the law enforcement agencies apprehended the perpetrators and exposed them.

When contacted, a senior official of Glo Mobile Ghana, Mr Derek Obuobi, said he would not comment on the matter now.

Glo Mobile Ghana recently embarked on a massive deployment of outdoor advertising structures, comprising billboards, light boxes, lamp post signs and brand marks (branded lit globes), throughout Accra as part of the build-up towards the nation-wide launch of its operations in Ghana.

However, immediately after the deployment of the outdoor advertising materials, which generated a lot of positive remarks, a number of the structures were vandalised by unknown persons.

In February, about 15 light boxes mounted from the Airport Traffic Light median to the Opeibea House Traffic Light were destroyed with the flexi materials used on both sides of the units torn. One of the Glo brand marks mounted in Accra was also destroyed.

About two weeks ago, about 16 light boxes installed by Glo from the King Tackie Tawiah Overpass to Busy Internet were also vandalised.

"Every single unit, with materials made from top grade flexi was defaced with a sharp object, suspected to be a knife or a razor blade," the source said.

"It was curious that light boxes belonging to another telecom operator deployed within the same stretch continuing from Busy Internet to the Kwame Nkrumah Circle were left unscathed," it said.

In December last year, some people were apprehended and handed to the police while they were attempting to sabotage a Glo mast located at the Baatsona area of Accra.

“It is clear that these acts of lawlessness are being perpetrated to frustrate Glo's roll-out plans," the source said.

Another major area of concern for Glo is the ban on the erection of telecom masts by the Environmental Protection Agency (EPA). The development is said to have affected Glo the most, it being the only network building a nationwide telecoms company from scratch.

"Glo is losing the opportunity to make revenue, for every day there is a delay in launching its network. I believe that is why it is worried," the source said.

Since Glo was granted a licence to operate in Ghana, it has invested huge resources to deploy a nationwide state-of-the-art infrastructure. It has also devoted millions of dollars to the sponsorship of the Ghana Premier League., the national football teams, and the Ghana National Supporters Union.

An investment expert who preferred anonymity said it would be a major setback to the efforts of the government to attract foreign direct investment, generate employment and stimulate economic growth should Glo pull out of Ghana. He urged the government to intervene on the issue.

At the recent presentation of cheques by Glo to the Ghana Football Association (GFA) for the impressive performance of the Black Stars at the last edition of the African Cup of Nations, the Minister of Communications gave the assurance that the government would give Glo all the support it required to enable it to roll out its services.


Source: Daily Graphic/Ghana

Mobile telecoms companies face 6-hour black out

The Consumer Protection Agency is calling on all Ghanaians to put off their phones for six hours on May 27 to protest against poor service quality by telecom operators.

According to the Agency, the 'Ghana Off Phone Day', which requests mobile phone users to put off their phones from 6am-12pm, will cost the telecommunication industry an estimated $6 million.

The protest, according to organisers, would send a strong signal to the telecom operators that their busniess depends on customers whose concerns must not be ignored all the time as has been happening.

A statement signed by CPA Programs & Research Head, Nana Prempeh Aduhene said “...it is only when we hit their pockets that they will respect our rights as consumers and not take us for granted.”

The agency said despite its persistent calls on the telecom operators, the National Communications Authority (NCA) and the Communications Minister to provide better services to the public, nothing seems to change.

It is against this background that the Agency is appealing to mobile phone users and the general public to join in a massive demonstration on May 27 in Accra during which a petition would be presented to the Communications Minister.

The protest march starts at 9am from the Kwame Nkrumah Circle through the High Street, down to Rawlings Park, Kojo Thompson Road, through the Kimbu Lane and to the Ministry of Communications, proceeding through Osu and ending at the Dankwa Circle.



By: Dorcas Efe Mensah/myjoyonline.com/Ghana