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Urgent Reforms Needed for Gambia’s State Telecoms

 

The recent disclosure that GAMTEL and GAMCEL posted combined losses exceeding D870 million in 2022 is a stark reminder that Gambia’s state-owned telecommunications sector is at a critical crossroads. While GAMCEL’s revenue growth in data and leased line services is encouraging, the company’s staggering net loss of D749.5 million—largely driven by long-standing bad debts—signals deep-rooted financial and operational challenges that cannot be ignored.

GAMTEL’s decline in revenue and continued losses reflect broader structural issues: outdated infrastructure, capital constraints, and governance gaps. Auditors’ reports flag material uncertainties, delayed statutory remittances, and procurement irregularities. These are not just numbers on a balance sheet—they represent real risks to national connectivity and the livelihoods of employees and citizens who depend on reliable telecommunications.

The social plan supported by the World Bank, which affected 641 staff, was a difficult but necessary step toward restoring efficiency. Yet workforce restructuring alone cannot solve systemic weaknesses. Strengthening internal controls, improving debt recovery, and ensuring strict compliance with regulations are urgent priorities.

There is hope, however. The Cabinet-approved public-private partnership for network modernization offers a path toward improved service quality and sustainable revenue. But the success of such initiatives hinges on disciplined governance, transparent management, and a long-term vision that prioritizes both fiscal responsibility and technological advancement.

Gambia cannot afford to allow its key telecommunications institutions to flounder under historical inefficiencies. Lawmakers and management alike must treat this as a national imperative: reform now, or risk paying an even higher price later—both financially and socially.

 

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