Standard Bank Funds Safaricom’s Ethiopia Expansion

Standard Bank has extended $138 million (R3.1 billion) in funding to Safaricom Telecommunications to advance the Kenyan operator’s investment in its Ethiopian business. The bank served as sole arranger, lender and facility agent for Safaricom Telecommunications Ethiopia PLC (STEP), while also providing advisory support on the transaction. The capital will accelerate Safaricom’s rollout of digital infrastructure and services across Ethiopia.

Long Standing Partnership

As Africa’s largest bank by assets, Standard Bank has supported Safaricom since it secured its Ethiopian operating licence in 2021, offering both advisory and financial backing as the company built its network and launched services in the market. The government of Ethiopia has also pushed digital growth through regulatory reforms aimed at expanding access, which has helped accelerate adoption. According to a World Bank report, at least four million additional people gained internet access between 2020 and 2024, raising national coverage from 15% to 19%.

Financial Solutions

Anthony Ndegwa, executive vice president for Telecoms, Media & Technology at Stanbic Kenya’s Corporate and Investment Banking unit, said the bank and Safaricom worked closely to design financing solutions suited to Safaricom’s operational needs and Ethiopia’s market conditions.

Safaricom CEO Peter Ndegwa said the funding aligns with the group’s long-term vision for Ethiopia. “Our business is built on innovation and strategic partnerships that allow us to improve lives at scale and unlock participation in Ethiopia’s digital economy. This partnership strengthens our ability to drive that mission and advance our goal of digitally enabling Africa,” he said.