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Ghana has experienced phenomenal growth in telecoms

Wed, 25 Jul 2007 Source: GNA

Accra, July 25, GNA - Ghana's subscriber base for mobile phones and fixed lines has grown from a mere 400,000 in 2001 to 6 million by July 24, 2007, Dr Aggrey Ntim, Communications Minister designate has said, describing the growth as phenomenal, which must be maintained. Appearing before Parliament's Vetting Committee, Dr Ntim said it was government's aim to ensure that there were as many fixed lines as there were mobile lines.

"This phenomenal rise is significant but must be seen within government's programme to increase the tele-density of the country and place it within the high rungs of the world's high performing ICT nations."

Without mentioning figures, the Deputy Minister of Communications said government was raking in significant profits, adding that, "the contribution of the telecommunication industry to GDP in 2004 was 5.3 per cent. I will not be surprised if this figure has gone beyond 6 per cent."

He noted that it was established that anytime tele-density is doubled in any economy, it increases the GDP factor by 6 per cent. "I can say that we are making great contribution in the industry," he added.

Dr Ntim said the industry was contributing to job creation and one of the greatest contributors of tax to government. He said they were paying their taxes regularly and cited the 80 million dollar facility from AREEBA to government towards the Accra water project.

He was, however, not happy that services by the companies in the industry were less than satisfactory, despite assurances that things would improve.

"I am not satisfied at all with their performance, Mr Ntim said when asked, saying, "most of the companies have been reminded about their poor services, but nothing significant comes out of it." He said he was aware of several meetings between the National Communications Authority and service providers but was yet to see any change in that regard.

On what would be done to improve the situation, Dr Ntim said: "We are going to be applying sanctions and I hope that things will change when we do this."

He declined to comment about the altercation between KASAPA and CELLTELL, pleading that: "the case is in court and it would not be prudent for me to comment on it."

Dr Ntim admitted it was important to bridge the telecommunication infrastructure in rural area, saying government was making stringent effort to reach the rural folks easily.

"In this regard, government is making available a telecommunication backbone, which has started, the first phase of which will get to Tamale, while the second phase will cover the entire country." He said government had settled its differences with Telecom Malaysia, making Ghana Telecom a wholly owned Ghanaian entity. Mr Kwadwo Affram Asiedu, Deputy Minister of Trade, Industry Private Sector Development and the President's Special Initiatives (PSIs), who is being moved to the Eastern Region as Minister said he was excited about the appointment and would work with existing institutions to make the Region's tourism potential an attractive destination. He said he would also work with the district assemblies and chief executives to ensure that disabled persons got their full share of the allocation under the District Assembly Common Fund.

"I think they are our brothers and sisters and I will ensure that they get their due."

He also gave an assurance to solve boundary difficulties and problems in the Region, especially Akuse and Shai Osudoku area. On the subject of the seeming upsurge in drug cases, Mr Asiedu who was once a Deputy Minister of The Interior said it was purely due to weak surveillance of the country's borders.

He could, however, not say if Ghana was leading as a transit point for the drug trade in the West Africa sub-region.

Ms Cecilia Dapaah, Minister of State Designate at the Ministry of Water Resources, Works, and Housing, mentioned affordable housing as a major item that would be on her agenda.

She admitted water shortage across the country was a major problem, saying government was working on solving the crisis. Her predecessor, she said has put in significant effort in reducing the problem. Ms Dapaah said the problem of guinea worm infestation would be tackled vigorously.

Mr Samuel Owusu-Agyei, Minister Designate for the Public Sector Reform, who incidentally celebrated his 66th birthday today, said he would pursue reforms in the public sector and effect equity in salaries. 25 July 07

Source: GNA