Standard Bank, Africa’s largest bank by assets, has signed a USD 138 million (about Sh17.8 billion) financing deal with Safaricom Telecommunications Ethiopia PLC (STEP) to support the expansion of digital infrastructure and mobile services in Ethiopia.
The bank served as the sole arranger, lender, and facility agent for the term facility, also providing advisory services to ensure the funding meets Safaricom’s specific operational and market needs.
“We are honoured to partner with Safaricom again in supporting their ongoing vision to drive digital transformation and inclusion in Ethiopia,” said Anthony Ndegwa, Executive Vice President for Telecoms, Media & Technology at Stanbic Kenya’s Corporate and Investment Banking. “This partnership demonstrates our commitment to enabling infrastructure development and fostering economic growth across Africa.”
The deal comes as Safaricom continues to make rapid strides in Ethiopia, having acquired a telecommunications license in 2021.
In just four years, the company has built a strong presence, now serving over 10.1 million active users. Safaricom PLC Chief Executive Officer, Peter Ndegwa, said, “As a business, we are guided by innovation and strategic partnerships. Our goal is to transform lives at scale—empowering youth, entrepreneurs, and underserved communities to fully participate in Ethiopia’s digital economy and realise shared prosperity by 2030.”
Standard Bank noted that the financial package was carefully designed to be responsive to the Ethiopian market while addressing Safaricom’s expansion needs.
“Through this partnership, we can grow further and continue digitally enabling Africa,” Ndegwa added.
The Ethiopian government has also created a supportive environment for digital growth.
According to a World Bank report, Empowering Ethiopians by Laying the Digital Foundations for Economic Growth, internet coverage in the country grew from 15% to 19% between 2020 and 2024, with at least 4 million new users gaining broadband access.
Taitu Wondwosen, Head of Standard Bank in Ethiopia, highlighted the wider benefits of the partnership: “We are dedicated to driving infrastructure development that accelerates the continent’s economic growth. Expanding digital and financial inclusion helps individuals, communities, and businesses access affordable services and unlock new opportunities.”
The USD 138 million (Sh17.8 billion) deal reinforces both Standard Bank and Safaricom’s commitment to expanding Ethiopia’s digital landscape, creating opportunities for millions of people, and supporting the country’s journey toward inclusive growth and technological transformation.
