IFC provides financing to Airtel Africa
IFC's $200 million loan will support the expansion and modernisation of Airtel Africa's network.
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The International Finance Corporation (IFC) has provided new financing to three of Airtel Africa’s subsidiaries with the aim of bringing high-speed mobile connectivity to more than 37 million subscribers in sub-Saharan Africa.
IFC's $200 million loan will support the expansion and modernisation of Airtel Africa's network, as well as further investment into its distribution infrastructure, with a continued focus on rural areas.
Across Africa, approximately 600 million people lack access to 4G mobile coverage. In many countries across sub-Saharan Africa, the availability of mobile internet, and network performance, are below regional averages. Despite this connectivity gap, up to 86% of firms on the continent use mobile phones for business operations, according to IFC's recent report on digital connectivity in Africa. IFC's financing is intended to help close this gap.
The new financing will take the form of a sustainability-linked loan, with key performance indicators related to the main pillars of Airtel Africa's sustainability strategy: digital connectivity focused on smartphone adoption rates, financial inclusion for women, and gender balance within Airtel Africa's own management team.
"IFC's partnership with Airtel is critical to expanding high-speed connectivity in Africa," said Mary Porter Peschka, IFC's regional director for Eastern Africa. "Better connectivity means more opportunity. Our work with Airtel will help millions more people not only to come online but also gain access to high-speed networks so that they can better leverage the digital economy opportunities."
Airtel Africa's Group CEO, Sunil Taldar said: "The expansion of our network is critical to our ambition of bridging the digital divide across Africa. This ambition can only be unlocked through continued investment into the region, and we welcome the partnership with IFC to enable this and further support our sustainability strategy of transforming lives and building better futures for communities across Africa."
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