TowerCo of Africa (ToA) Tanzania, a subsidiary of Pan-African telecommunications service provider Axian Telecom, has secured $30 million in financing from British International Investment (BII), UK’s development finance institution and impact investor.
The funds are expected to help the Tanzanian tower infrastructure company build 200 additional telecommunications sites across the country to bolster its mission to bridge the digital gap.The anticipated 200 new sites, strategically placed across the mainland and Zanzibar islands, will significantly increase coverage, particularly in rural regions, linking previously isolated populations, which will help to improve the lives of up to 600,000 people.The new sites are expected to extend network coverage to underserved communities and support government digitisation efforts, foster financial inclusion, and generate employment opportunities throughout their lifecycle, from design and construction to maintenance.
“This financing agreement with BII reinforces our commitment to expanding connectivity and bridging the digital divide in Tanzania. With BII’s invaluable support, we are well-equipped to accelerate our growth trajectory and deliver essential telecom services to underserved communities,” the company’s Chief Executive Innocent Mushi said.
TowerCo of Africa Tanzania, founded in February 2023, owns and operates passive telecommunications infrastructure, which it leases to mobile network operators. It operates in Madagascar, the Democratic Republic of the Congo, Uganda, and Tanzania.
Aside from TOA Tanzania, in April 2024, British International Investment (BII) supported the signed UK-Tanzania Mutual Prosperity Partnership, which aims to unlock US$ 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.
See Also:
Airtel Africa Ink Deal to Sell Towers in Madagascar, Malawi to Helios for $129M
Source link : https://kenyanwallstreet.com/towerco-secures-us30-million-to-build-200-telecom-sites-in-tanzania/
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Publish date : 2024-05-22 07:00:00
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