The government of Ghana is now calling on firms to submit offers for new 5G spectrum allocations, intensifying its push for high-speed internet expansion while overturning a prior exclusive wholesale arrangement that had the backing of Indian tycoon Mukesh Ambani.
This development follows a contentious period in Ghana's telecom sector. The earlier exclusive wholesale agreement with NGIC, backed by Reliance Industries, had drawn criticism from competitors and regulators who argued it would stifle competition and concentrate 5G infrastructure control in a single entity. The revocation of that deal earlier this year paved the way for the current open auction, which aims to level the playing field.
MTN, which controls a dominant share of the mobile market, has been a vocal opponent of exclusive wholesale arrangements, and the 40% premium on its bids reflects the regulator's efforts to ensure fair competition. The new licenses are expected to accelerate the rollout of ultra-fast broadband across the country, boosting digital connectivity and economic growth.
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According to an official statement posted online, the National Communications Authority is currently receiving bids for spectrum across three frequency ranges: 700 MHz, 2.3 GHz, and 3 GHz. These licenses have been divided into separate lots, each carrying a reserve price. The lowest starting bid is $10 million for the 2.3 GHz band, while the 700 MHz band carries a minimum of $36 million.
This new auction is designed to encourage a more competitive telecommunications landscape. The open bidding process is expected to attract a range of applicants, from established operators to new entrants, thereby broadening the 5G market. Ghana aims to become a regional digital hub, and the rapid deployment of 5G is seen as critical to achieving that goal.
NGIC had selected Radisys Corp., a subsidiary of Reliance Industries Ltd. (owned by Mukesh Ambani), to supply network equipment for the planned national 5G deployment.
Dominant mobile operator MTN Group Ltd. and rival Telecel Group are both gearing up to participate in the auction. The spectrum rights will be granted for a period of 15 years. The auction schedule is tightly defined.
Applications must be submitted by August 6. Bidders are required to provide both technical and financial documentation as part of their submissions.
The NCA will reveal the highest bids on August 20, with the winning bidders to be announced on August 28. The NCA has stated that all qualified applicants will be treated equally, and the auction will be conducted in a transparent manner. This marks a significant shift from the earlier closed-door agreement.
Operators are eagerly awaiting the outcome, as 5G technology promises to transform industries from agriculture to healthcare in Ghana. The government has set ambitious targets for digital inclusion, and the auction is a key step.
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