MTN Ghana Hits All-Time High on GSE, Boosted by Optimism Over E-Levy Abolition

0
Mtn Logo

On January 13, 2025, Scancom Plc, better known as MTN Ghana, marked a significant achievement as its stock price closed at an all-time high of GH₵2.55 on the Ghana Stock Exchange (GSE).

This milestone underscores the increasing investor confidence in the telecom giant, reflecting optimism about its robust fundamentals and its future growth prospects.

The stock opened the day at GH₵2.51 and saw a modest gain of 0.04 pesewas. The positive movement came on the back of growing market sentiment following remarks by Finance Minister Designate, Dr. Cassiel Ato Forson, during his vetting. Dr. Forson, in his comments, reaffirmed the government’s intent to abolish the controversial Electronic Transaction Levy (E-Levy) within the first 120 days of President John Dramani Mahama’s administration.

While acknowledging that the E-Levy has contributed to government revenue, Dr. Forson raised concerns over its negative impact on Ghana’s fintech industry and its progress towards a cash-light economy. “The fact remains that the E-Levy retards our progress towards a cash-light economy and fintech. We need to abolish the E-Levy,” he stated. This statement has been welcomed by stakeholders in the sector, particularly MTN Ghana, which leads the market in mobile financial services through its Mobile Money platform.

Indeed, MTN Ghana has experienced strong growth, particularly in its mobile money segment. In the last quarter of 2024, revenue from mobile money services surged by an impressive 50.8 percent, totaling GH₵3.1 billion. This growth was driven by a 79 percent jump in advanced services, highlighting the increasing demand for mobile financial solutions in the country.

The telecom company has begun 2025 with a strong performance, as its stock price has already risen by 2 percent since the start of the year. Over the past month, the stock has appreciated by 8 percent, positioning it as the fifth-best performer on the GSE. MTN Ghana’s dominance on the exchange is evident, with the company maintaining a significant presence in trading activity. From October 10, 2024, to January 13, 2025, MTN recorded a total trade volume of 28.6 million shares worth GH₵67.9 million. On average, 454,685 shares were traded per session, solidifying its position as the most traded stock on the exchange.

The anticipated abolishment of the E-Levy is expected to further enhance MTN Ghana’s mobile money operations, drawing more users to its platform. Investors are likely to view this as a positive development, fueling further optimism regarding the company’s long-term growth trajectory. The combination of MTN Ghana’s strong financial performance and its leadership position in the mobile money market has established it as a dominant force in Ghana’s financial and telecom sectors.

Send your news stories to newsghana101@gmail.com Follow News Ghana on Google News

LEAVE A REPLY

Please enter your comment!
Please enter your name here