TowerCo of Africa (ToA) Tanzania, a subsidiary of Axian Telecom, has secured $30 million in financing from British International Investment (BII), the UK’s development finance institution and impact investor. This funding will help ToA Tanzania build 200 additional telecommunications sites across the country, enhancing connectivity and bridging the digital divide.
“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,” said Innocent Mushi, Chief Executive of ToA.
ToA is dedicated to environmental sustainability and community development. The new sites will be designed with environmental protection in mind, using renewable energy sources and responsible waste disposal practices.
The 200 new sites will be strategically placed across the mainland and Zanzibar islands, significantly increasing coverage, particularly in rural regions. This expansion will link previously isolated populations and improve the lives of up to 600,000 people.
Founded in February 2023, ToA Tanzania focuses on owning and operating passive telecommunications infrastructure for lease to mobile network operators. It also operates in Madagascar, Uganda, and the Democratic Republic of Congo (DRC).
Richard Palmer, Director and Head of Private Debt at BII, 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.”
Palmer added that ToA Tanzania aims to double its site portfolio size by the end of its first year of operations as part of its aggressive growth plan. The new sites are expected to extend network coverage to underserved communities, support government digitization efforts, foster financial inclusion, and generate employment opportunities throughout their lifecycle.
David Concar, British High Commissioner to Tanzania, remarked, “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.”
