Reports seen by BMA have shown that Safaricom plans to launch its nationwide commercial operations in Ethiopia in October 2022. The telecom operator has committed to making considerable investments to conquer a market long monopolized by incumbent operator Ethio Telecom.
Also, the World Bank Group’s International Finance Corporation (IFC) announced plans to inject US$160 million into Safaricom Telecommunications Ethiopia. The investment, according to IFC, is expected to enable the operator to finance capital expenditures to provide quality telecom services in Ethiopia.
IFC noted that the investment will support STE’s nationwide network rollout and comply with its license provisions, which include specific population and geographic coverage, universal accessibility, teledensity targets, and guidelines for reasonable pricing.
The investment is also “expected to improve access to quality connectivity for consumers and businesses in Ethiopia, a country with significant connectivity gaps. This will be accomplished by deploying fixed and mobile networks, including a mix of 2G, 3G, 4G and 5G technologies, to rapidly increase population coverage by 2029,” IFC explained.
If you would recall, In July 2021, the Safaricom-led consortium acquired Ethiopia’s first private global telecommunications license after the government decided to liberalize its telecom market.
At that time, Safaricom committed to investing US$8 billion in the country’s telecom market over ten years. The operator indicated that it has already invested US$1 billion for license fees and equipment and infrastructure investments.