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Ghana Establishes Interministerial Committee to Lower Data Costs

February 15, 2025

(3 Minutes Read)

Ghana’s Minister of Communications, Samuel Nartey George, has revealed plans to establish an inter ministerial committee within the next two weeks to tackle the issue of high internet data costs.

Ghana’s Minister of Communications, Samuel Nartey George, has revealed plans to establish an inter ministerial committee within the next two weeks to tackle the issue of high internet data costs. This committee will comprise representatives from the Ministries of Energy and Finance, the Public Utilities Regulatory Commission (PURC), and telecom industry stakeholders. The inclusion of the energy sector is crucial, as energy expenses make up nearly 80% of tower companies’ costs.

Analysts point to the fluctuating cedi-dollar exchange rate and limited market competition as factors driving up data prices. The minister suggested two potential solutions: reducing prices or increasing data allowances for the same cost, to achieve meaningful changes by the end of the year. As of early 2024, Ghana had 24 million internet subscribers, reflecting a penetration rate of 70%.

However, data from the ITU indicates that mobile internet spending represents 3.7% of gross national income per capita, while fixed internet accounts for 12.8%, both of which surpass the affordability threshold of 2%. Additionally, a report indicates that many Ghanaians spend more on data than on food, highlighting the pressing need for cost reductions.

This committee will comprise representatives from the Ministries of Energy and Finance, the Public Utilities Regulatory Commission (PURC), and telecom industry stakeholders. The inclusion of the energy sector is crucial, as energy expenses make up nearly 80% of tower companies’ costs.

As of early 2024, Ghana had 24 million internet subscribers, reflecting a penetration rate of 70%. However, data from the ITU indicates that mobile internet spending represents 3.7% of gross national income per capita, while fixed internet accounts for 12.8%, both of which surpass the affordability threshold of 2%. Additionally, a report indicates that many Ghanaians spend more on data than on food, highlighting the pressing need for cost reductions.