Standard Bank Group, Africa’s largest bank by assets, has partnered with Safaricom Telecommunications to advance the telco’s fast-growing operations in Ethiopia through a USD138 million (KES 17.94 billion) funding facility.
Trading as Stanbic in Kenya, the bank acted as the sole arranger, lender, and facility agent for the financing package extended to Safaricom Telecommunications Ethiopia PLC (STEP).
The facility will support Safaricom’s aggressive rollout of digital infrastructure and services across Ethiopia, one of Africa’s most promising telecommunications markets.
Dr. Joshua Oigara, Regional Chief Executive for East Africa at Standard Bank Group, said the partnership underscores the bank’s mission to catalyse regional development through long-term investment.
“This partnership reflects our commitment to enabling sustainable growth across the region. By supporting the expansion of digital connectivity in Ethiopia, we are strengthening economic linkages, opening new opportunities for businesses and communities, and contributing to the advancement of East Africa’s digital economy,” Dr. Oigara said.
Anthony Ndegwa, Executive Vice President for Telecoms, Media and Technology at Stanbic Kenya’s Corporate and Investment Banking, praised the collaboration, noting that the financial solution was carefully tailored to the realities of Ethiopia’s evolving market.
“We are honoured to have partnered with Safaricom again in enabling and supporting their ongoing vision to drive digital transformation and inclusion in Ethiopia,” he said.
Safaricom CEO Peter Ndegwa emphasised the company’s commitment to innovation and inclusion as it scales operations in Africa’s second-most populous nation.
“As a business, we are guided by innovation and strategic partnerships. We aim to transform lives at scale, empowering youth, entrepreneurs, and underserved communities to fully participate in Ethiopia’s digital economy and realise the promise of shared prosperity by 2030,” Ndegwa said.
“Through this partnership we are given the opportunity to pursue this goal and grow further to digitally enable Africa.”
Safaricom entered the Ethiopian market in 2021 after securing an operating licence, with Standard Bank playing an advisory and financing role during the initial deployment of services and network infrastructure.
Ethiopia’s government has been accelerating digital reforms, paving the way for rapid growth in connectivity. A World Bank report, Empowering Ethiopians by Laying the Digital Foundations for Economic Growth, notes that between 2020 and 2024, internet access increased from 15% to 19% of the population, meaning at least 4 million new users came online.
Safaricom Ethiopia recently crossed 10.1 million three-month active customers, a significant milestone achieved within only four years of operation.
Taitu Wondwosen, Head of Standard Bank in Ethiopia, said the financial institution remains committed to driving infrastructure development that unlocks economic potential across the continent.
“Digital and financial inclusion in the African market has been one of the key objectives to break barriers and enable individuals, communities and businesses to access affordable financial products and services that meet their needs.”
Dr. Oigara reiterated the bank’s long-term vision for regional growth.
“This partnership demonstrates the power of regional collaboration in unlocking long-term value. Standard Bank remains committed to enabling growth across the region through sustainable investment.”
