Standard Bank partners with Safaricom to invest R2.4bn in Ethiopia's digital infrastructure

STANDARD Bank, Africa’s biggest bank by assets, has partnered with Safaricom Telecommunications, Kenya's largest telecommunications provider, to provide funding of $138 million (R2.4 billion) as part of investment towards Safaricom Telecommunications Ethiopia (STEP).

- PHILIPPA LARKIN

STANDARD Bank's financing facilitates Safaricom's ongoing rollout of digital infrastructure and services in Ethiopia.

(HENK KRUGER Independent Newspapers)

The bank said in a statement on Wednesday that it acted as the sole arranger, lender, and facility agent on the term facility to STEP and played an advisory role.

Standard Bank's financing facilitates Safaricom’s ongoing rollout of digital infrastructure and services in Ethiopia.

The move comes hot on the heels of Vodacom Group announcing last week it will spend about R35.77 billion to acquire a further 20% stake in Safaricom, bringing its stake to 55%, as the Kenya government moves to raise additional capital instead of raising taxes or debt.

Business Report reported that the South African telecoms group said it will acquire 15% of the shareholding from the government of Kenya and 5% from Vodacom’s parent, the UK-based Vodafone group.