TowerCo of Africa Tanzania (TOA Tanzania), a telecom infrastructure provider, has signed a $30 million financing agreement with British International Investment (BII) to expand operations across the country.
The funds will be used to build approximately 200 more telecommunications sites throughout Tanzania.
Furthermore, the 200 new sites set to open across the mainland and Zanzibar are expected to increase coverage, particularly in rural areas, and improve the lives of up to 600,000 residents.
TowerCo of Africa Tanzania, founded in February 2023, owns and operates passive telecommunications infrastructure, which it leases to mobile network operators. TowerCo of Africa is a subsidiary of Axian Telecom and operates in Madagascar, the Democratic Republic of the Congo, Uganda, and Tanzania. In Uganda, UBUNTU Towers Uganda rebranded to TowerCo of Africa Uganda.
Mr. Innocent Mushi, CEO of TOA Tanzania, commented on the financing agreement, emphasising that the funds will allow the company to accelerate its growth and provide essential telecom services to underserved communities.
The CEO notes that the firm is committed to environmental sustainability and community development and the new sites were carefully chosen, including using renewable energy sources and following responsible waste disposal practices.
TOA Tanzania also stated that it plans to double the size of its site portfolio by the end of its first year of operation. Once completed, the new sites will benefit not only underserved communities but also the government”s digitalisation efforts, increasing financial inclusion and job creation.
Aside from TOA Tanzania, in April 2024, British International Investment (BII) supported the signed UK-Tanzania Mutual Prosperity Partnership, which aims to unlock £1 billion ($1. 27 billion) in government-backed investment in Tanzania over the next five years.
TOA Tanzania’s initiative comes as Tanzania’s telecommunications sector generated approximately $2.2 billion in revenue in 2023 and is expected to grow at a compound annual growth rate (CAGR) of more than 4% until 2028.
In addition, the number of mobile connections in the country has increased, with 67.72 million reported in 2024, up from 50.8 million in 2023.
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Source link : https://techpoint.africa/2024/05/21/toa-tanzania-secures-funding/
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Publish date : 2024-05-21 07:00:00
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