In Gambia, government approves sale of 60% of mobile operator Gamcel to private investors

January 23rd 2024

Africa, ICT News, network, The Gambia

The Gambian government has given the green light for the sale of a 60% stake in the public mobile operator Gamcel, a subsidiary of the historic operator Gamtel, to private investors. The decision was taken during the Council of Ministers on Thursday January 18. It was reported by Lamin Queen Jammeh (photo), Minister of Information, during a press briefing at the Gambia Radio and Television Service (GRTS).

The privatization of Gamcel was proposed by Ousman Bah, Minister of Communications and Digital Economy. It is part of the restructuring and repositioning of the public company which has been losing momentum for several years. The company founded in 2000 has lost 70% of its market share to its competitors over the last decade according to its managing director Elizabeth Johnson. In 2019, it expressed an urgent need for capital injection or risked ceasing to operate.

The initiative should give the public mobile operator the technical and financial means necessary to revitalize itself and become more competitive in the national telecoms market. The company had already launched, in March 2023, a competitive call for tenders to identify a private partner to support it in the modernization and expansion of its telecoms network, as well as improving the quality of its services.

Furthermore, Mr. Bah recommends that the government undertake significant structural and operational reforms, including addressing the problem of overstaffing, adopting modern and innovative business strategies and leveraging innovative technologies to generate “long-awaited” revenue.

Source: Agency EcoFin Back