Standard Bank Group, Africa’s largest bank by assets, has entered into a USD 138 million partnership with Safaricom Telecommunications Ethiopia PLC (STEP), a subsidiary of Safaricom PLC, to enhance digital connectivity and infrastructure in Ethiopia. The funding marks a continued collaboration between two of Africa’s leading institutions committed to accelerating the continent’s digital transformation and economic integration.
Acting as the sole arranger, lender, and facility agent, Standard Bank structured the term facility to finance Safaricom’s ongoing expansion in Ethiopia’s telecommunications market. The bank also served as an advisory partner, reflecting its growing role in supporting large-scale infrastructure investments that advance regional inclusion and innovation.
Anthony Ndegwa, Executive Vice President for Telecoms, Media and Technology at Stanbic Kenya’s Corporate and Investment Banking division, stated that Standard Bank was “honoured to have partnered with Safaricom again in enabling and supporting their ongoing vision of driving digital transformation and inclusion in Ethiopia.” He added that the collaboration was designed through bespoke financial solutions aligned with both business and market needs.
Safaricom PLC Chief Executive Officer Peter Ndegwa emphasised that the partnership reflects the company’s mission to promote digital equity and shared prosperity across the continent. “As a business, we are guided by innovation and strategic partnerships that aim to transform lives at scale. Our goal is to empower youth, entrepreneurs and underserved communities to participate fully in Ethiopia’s digital economy and to realise the promise of shared prosperity by 2030,” he said. “Through this partnership we are given the opportunity to grow further and digitally enable Africa.”
Safaricom’s entry into Ethiopia in 2021 marked a pivotal shift in the nation’s telecommunications landscape, ending a state monopoly and introducing greater competition. The company, part of a consortium that includes Vodafone, Vodacom, and Sumitomo Corporation, acquired Ethiopia’s first private mobile licence as part of the government’s broader economic liberalisation programme. Since launching its services, Safaricom Ethiopia has recorded strong growth, reporting over 10 million active customers within four years of operation, according to company data released in November 2025.
The Ethiopian government has pursued reforms aimed at expanding digital access as part of its “Digital Ethiopia 2025” strategy. The World Bank report Empowering Ethiopians by Laying the Digital Foundations for Economic Growth noted that between 2020 and 2024, internet coverage increased from 15 to 19 percent of the population, bringing an estimated 4 million new users online. The report highlights Ethiopia’s rapid progress in expanding broadband access, although not all new mobile users regularly use data services.
Taitu Wondwosen, Head of Standard Bank in Ethiopia, observed that partnerships such as this one are integral to the continent’s long-term economic development. “As a bank, we are committed to working with key partners to drive infrastructure development that accelerates Africa’s growth. Advancing digital and financial inclusion remains central to our mission of enabling individuals, communities and businesses to access affordable and relevant financial products and services,” she said.
The financing agreement underscores the growing recognition that sustainable economic growth in Africa will depend on infrastructure that bridges the digital divide and supports inclusive participation in emerging markets. Ethiopia, with its population of more than 120 million people and one of the fastest-growing economies in Africa, represents a crucial frontier for digital expansion.
Through initiatives such as this, Standard Bank and Safaricom are contributing to a broader continental movement that prioritises African-led innovation, regional cooperation and local capacity-building. Their collaboration reflects a shift toward a development model defined not by external narratives, but by African institutions taking the lead in shaping the continent’s digital and economic future.
