Regulating Telcos: Government trying to punish MTN for opposing Communications Service Tax – Franklin Cudjoe alleges

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Founding President for IMANI Center of Policy and Education, Franklin Cudjoe has called out the government for the issuance of a directive seeking to halt the dominance of telecommunication giant, MTN in Ghana’s Telecommunication Industry.

According to Franklin Cudjoe, the Ministry of Communications directive defies economic logic on any front and can only be described as an act of vindictiveness by the government.

He explained in a Facebook post that he cannot fathom why MTN should be penalized for being too successful in the Ghanaian market. He said the success chalked by MTN has nothing to with the lack of innovation and investment on the part of its competitors.

MTN’s 75% market share under threat as government steps in to ‘correct imbalances’ in telecoms industry

He therefore alleged that this act of government is nothing but a means of revenge over what he describes as illogical Communication Service Tax which was vehemently opposed by the telecommunication giant and also their refusal to hand over the private records of their customers to the government.

“Reference the sudden directive issued by the Communication Ministry on a Sunday, calling for the breaking up of MTN’s market dominance based on unexamined and economically fallacious claim. I then remembered that some people just do not value enterprise and innovation. Quite absurd to be told that you are too successful because of the inability of your competitors,” the IMANI boss wrote.

Regulating telecommunications in Ghana: Government yet to notify us on breaking our dominance – MTN

He continued, “Make no mistake- the underlying reasons for this illogical policy is to settle personal scores- over the CST matter and refusal of MTN to hand consumer private records to the state. Make no further mistake- this is also a debate between unprogressive leftists and unrepentant believers in the fidelity of hard work and success, which undergirds MTN’s story.

Meanwhile, Professor of Law, Henry Kwasi Prempeh appears to be in disagreement with the IMANI president. According to the learned law Professor, there is actually nothing wrong with the attempt by government to break what has been described as the near monopoly of MTN in Ghana’s Telecommunication Industry.

To him, the government, through the Ministry of Communication, is acting according to the dictates of the law and also to protect the interest of the consumers describing the move as a step in the right direction.

SourceABC News

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