Minister for Communications, Digital Technology, and Innovations, Samuel Nartey George, has strongly condemned the management of the AirtelTigo acquisition, describing those involved as “enemies of the state.” His criticism stems from the controversial sale of the telecommunications company, which came with a staggering debt burden of GHC3.5 billion but was acquired by the government for just one dollar.
Addressing journalists in Parliament on Monday, March 24, Minister George expressed deep concerns about the deal’s financial implications, questioning the patriotism of those who facilitated it.
“Those who managed the AirtelTigo process are enemies of our state and individuals who have no sense of patriotism,” he asserted. “For anybody to have told us that they bought AirtelTigo for 1 dollar, and now that we have taken over the ministry, ATC (American Tower Company), just one of the companies AirtelTigo owes, has presented us with a bill of 1.5 billion Ghana Cedis.”
The minister’s remarks highlight the pressing issue of AirtelTigo’s liabilities, raising serious questions about how the transaction was handled and whether proper due diligence was conducted before the acquisition.
Mounting Debts and Concerns from the U.S.
Minister George further disclosed that discussions with the American Embassy had revealed growing concerns about AirtelTigo’s financial obligations, particularly its debts to American Tower Company (ATC).
“The American Embassy, along with their team, was in my office, and one of the major issues raised was the indebtedness to ATC,” he stated. “The debt sitting on the books of AirtelTigo exceeds 3.5 billion Ghana Cedis.”
These revelations add to the mounting scrutiny surrounding the transaction, as questions arise about who will bear the responsibility for these debts.
“So if someone told you that they bought it for 1 dollar, who is going to pay the 1.3 billion that is sitting there and accumulating interest?” Minister George questioned.
The minister suggested that the government had been misled into acquiring a financially troubled company without a clear plan on how to resolve its significant debts.
How AirtelTigo Became a Burden on the State
The controversy surrounding AirtelTigo’s acquisition dates back to 2021 when the Government of Ghana took over 100% ownership of the company, including its customers, assets, and liabilities. The deal was finalized under the previous administration, with the justification that the acquisition would protect jobs and stabilize Ghana’s telecommunications industry.
At the time, the then-Minister for Communications and Digitalisation, Ursula Owusu-Ekuful, explained that the government acquired the company for a symbolic one dollar because its shareholders—Bharti Airtel and Millicom—were exiting the market due to financial losses.
She also stated that some of AirtelTigo’s loans had been written off, reducing the financial pressure on the government. However, recent disclosures suggest that the debt situation is far worse than initially portrayed.
Financial experts have since weighed in on the matter, questioning why such a deal was structured in a way that left the government to absorb the debt. Economic analyst Dr. Kofi Anokye believes that the lack of transparency in the transaction has contributed to the current situation.
“This acquisition should have been approached with more caution. If a company is being sold for one dollar, the natural question is: why? What hidden liabilities exist? Proper financial audits should have been conducted before committing state funds to this deal,” Dr. Anokye remarked.
A Call for Accountability
Minister George’s statements reflect growing frustration over how the transaction was handled and the heavy financial burden now placed on the government. He argued that the decision to proceed with the acquisition without fully addressing its liabilities was irresponsible.
“This is a situation where the state has been left to clean up a mess that should never have happened,” he remarked. “We cannot continue making decisions that put such an enormous financial strain on the country without proper accountability.”
His remarks have reignited public debate on the issue, with calls for greater accountability from those who were involved in the transaction. Many are now questioning whether alternative solutions could have been explored to prevent the government from inheriting such a significant financial burden.
Several industry experts have suggested that the government should have considered alternative strategies such as restructuring AirtelTigo’s debt before acquisition or allowing a private investor to take over the company. Some have also pointed out that the telecommunications sector is highly competitive, and any investment in a struggling entity should have been backed by a concrete turnaround plan.
A former executive of one of Ghana’s leading telecom firms, speaking anonymously, stated that “the government should not have absorbed the company’s liabilities without a clear strategy. If you are taking over a business, you must assess whether it has the potential to become profitable or whether you are simply taking on another financial burden.”
The Road Ahead
As the government grapples with AirtelTigo’s financial challenges, the focus is now on how to manage the inherited debt and ensure the company’s sustainability. The Ministry of Communications, Digital Technology, and Innovations is expected to engage stakeholders in discussions on possible ways forward.
Minister George emphasized that the government must take a critical look at the future of AirtelTigo and the broader telecommunications sector to prevent such costly acquisitions in the future. He suggested that policy changes may be needed to strengthen oversight and ensure that state resources are not mismanaged in similar transactions.
“We have to learn from this and make sure it never happens again,” he stressed. “We need to prioritize transparency and due diligence in all state acquisitions to protect the national interest.”
Meanwhile, opposition figures and civil society groups have begun calling for a full investigation into the AirtelTigo transaction. There are growing demands for those responsible for the deal to be held accountable for any mismanagement that may have occurred.
The controversy surrounding the acquisition also raises broader concerns about how government deals with struggling state enterprises and whether more robust financial safeguards should be put in place to prevent similar situations in the future.
For now, AirtelTigo’s future remains uncertain. With billions in debt still unresolved and mounting pressure on the government to justify the acquisition, the coming months will be crucial in determining the fate of the company. Whether the government can turn AirtelTigo around or whether it will remain a burden on taxpayers remains to be seen.
