The first private telecoms provider in Ethiopia, Safaricom Ethiopia, has received additional support commitments from the private investment arm and guarantee agency of the World Bank Group.
The World Bank Group stated in a statement dated June 8 that IFC’s equity investment would be $157 million and that it would also give a $100 million loan. Last September, IFC’s investment arm stated that it expected to inject up to $160 million in equity.
The shareholders of Safaricom Ethiopia: Vodafone Group, Vodacom, Safaricom, and British International Investment will receive 10-year guarantees worth $1 billion to cover their equity interests.
In a press release, “the investment and guarantees will allow Safaricom Ethiopia roll out and operate 4G and 5G mobile networks across the nation – including in rural and metropolitan regions.”
After receiving an operating license in May 2021, Safaricom Ethiopia began running a mobile network in October.
With a population of roughly 120 million, the second-most populous country in Africa, was previously controlled by state-owned Ethio Telecom.
