MTN Earns 82% Profit From Foreign Operations As Xenophobia Endangers Africa’s $3.4tn Integration

MTN Group has disclosed that about 82 per cent of its earnings now come from markets outside South Africa, as the telecommunications giant warned that rising xenophobia and anti-migrant sentiments could undermine Africa’s ambition to build a $3.4 trillion integrated market under the African Continental Free Trade Area (AfCFTA).

The group’s president and chief executive officer, Ralph Mupita, said Africa’s economic future depends on greater regional integration rather than protectionist policies that discourage investment and the movement of people across borders.

Speaking against the backdrop of renewed debates over immigration and foreign-owned businesses in South Africa, Mupita disclosed this at the Kgalema Motlanthe Foundation Winter Seminar in South Africa, stressing that companies operating across Africa have become deeply interconnected with the economies in which they invest.

He said, “MTN makes less than 20 per cent of its earnings in South Africa today. About 82 per cent of our earnings come from markets outside South Africa. That tells you we are an African business, not simply a South African company.”

According to him, economic nationalism and xenophobia pose significant risks to businesses that have invested heavily across the continent and could weaken Africa’s competitiveness at a time when countries are working towards a unified continental market.

Mupita noted that Africa cannot achieve its long-term development aspirations if governments and citizens retreat into national boundaries instead of strengthening cross-border collaboration.

He said, “The future of Africa depends on greater integration, not less. We cannot afford to think within national borders when the opportunity before us is a continental market worth more than $3.4 trillion.”

The MTN chief warned that retaliatory actions against businesses because of their country of origin would hurt African economies, discourage foreign direct investment and ultimately limit employment opportunities for millions of young Africans.

He maintained that while governments have legitimate concerns over migration, such challenges should be addressed through policy reforms and regional cooperation rather than hostility towards foreign nationals or businesses operating legally across borders.

Mupita further stated, “Migration challenges and unemployment cannot be solved through economic isolation. They require constructive engagement among governments, businesses and communities.”

His remarks come amid renewed concerns over anti-foreigner sentiments in parts of South Africa, with business leaders warning that such developments could trigger economic retaliation against South African companies operating elsewhere on the continent.

MTN, Africa’s largest telecommunications operator, serves more than 312 million subscribers across 19 markets and has increasingly positioned itself as a pan-African technology and fintech company, with Nigeria remaining its largest market by subscribers. 

Mupita reiterated that Africa’s long-term prosperity would depend on sustaining open markets, encouraging investment and promoting regional cooperation, adding that businesses operating across borders should be viewed as contributors to economic development rather than targets during periods of political tension.