PRESS
RELEASE
20/05/2024 -EN
TOA Tanzania Secures $30 Million Investment from British
International Investment to Expand Telecom Infrastructure and Enhance
Connectivity in Tanzania
· BII’s
financing will be used to construct 200 new telecom sites, increasing coverage
in rural areas and bridging the digital divide across Tanzania.
· The infrastructure expansion promises to extend network coverage, support government digitisation efforts, foster financial inclusion, and generate employment opportunities.
Dar es Salaam, 20
May 2024: TowerCo of Africa Tanzania (TOA Tanzania), a leading provider of
passive telecom infrastructure, is pleased to announce the signing of a $30
million financing agreement with British International Investment (BII), UK’s
development finance institution and impact investor.
This investment
will enable TOA Tanzania to carry out an ambitious plan to build around 200
additional telecommunications sites throughout Tanzania, bolstering its mission
to bridge the digital gap in the country.
Founded in
February 2023, TOA Tanzania focuses on owning and operating passive telecommunications
infrastructure for lease to mobile network operators. The anticipated 200 new
sites, strategically placed across the mainland and Zanzibar, 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.
Mr. Innocent
Mushi, CEO of TOA Tanzania, expressed enthusiasm about the partnership,
stating, “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.”
“We are
deeply committed to environmental sustainability and community
development,” added Mr. Innocent Mushi.” The design of
our new sites prioritises environmental protection through meticulous site
selection, utilisation of renewable energy sources, and responsible waste
disposal practices.”
Commenting on the
partnership, Richard Palmer, Director and Head of Private Debt at British
International Investment stated: “Expanding digital infrastructure
is critical for fostering sustainable economic development in Tanzania. By
focusing on rural areas, TOA Tanzania is not only promoting inclusivity but
also ensuring that the benefits of technological advancements reach the most
underserved communities. We are delighted to work with TOA Tanzania on a shared
vision for catalysing the telecom sector for a digitally empowered society.”
David Concar,
British High Commissioner to Tanzania, commented: “We are
delighted to witness the signing of this important BII investment, which will
help to expand telecom connectivity and support isolated populations in
Tanzania. BII is a key part of the UK’s effort to boost investment into
Tanzania, with this investment supporting the recently signed UK-Tanzania
Mutual Prosperity Partnership.”
As part of its aggressive growth strategy, TOA Tanzania aims to double its site portfolio size by the end of its first year of operations. Once completed, the new sites will not only extend network coverage to underserved communities but also support government digitisation efforts, foster financial inclusion, and generate employment opportunities throughout their lifecycle, from design and construction to maintenance.
Background information
About TOA
TowerCo of Africa is a fully owned subsidiary of pan-African telecommunications service provider Axian Telecom and is one of Africa’s fastest-growing tower infrastructure companies, with operations in Madagascar, Uganda, the Democratic Republic of Congo and Tanzania. Over the course of the last decade TowerCo of Africa has steadily expanded its African operations order to meet the growing demand for a better-connected Africa.
About the British international Investment
British International Investment (BII) is the UK’s development finance institution and a trusted investment partner to businesses in Africa, Asia, and the Caribbean. It invests to create productive, sustainable, and inclusive economies in eligible markets. Between 2022 and 2026, at least 30 percent of BII’s total new commitments by value will be in climate finance. The company has investments in over 1,470 businesses in emerging economies across 65 countries and total assets of £8.1 billion. For further information about BII and its impactful initiatives, please visit: www.bii.co.uk | watch here.
Press contacts
TowerCo of Africa Uganda: Claire Mattei, Claire.MATTEI@axian-group.com
EIB: Richard Willis, r.willis@eib.org, Tel.: +352 4379 82155, +352 621 555 758
Website: www.eib.org/press – Press Office: +352 4379 21000 – press@eib.org
OeEB: Verena Kastner, Tel: +43 1 5331200-2993, Verena.kastner@oe-eb.at
