TowerCo of Africa Tanzania secures $30 million to build 200 telecom sites

  • TowerCo of Africa Tanzania (TOA Tanzania), a telecommunications infrastructure provider, has signed a $30 million financing agreement with British International Investment (BII) to expand its operations across the country.
  • The funds will be used to build approximately 200 more telecommunications sites throughout Tanzania.
  • Additionally, the 200 new sites set to open across the continent 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 rents 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 was renamed TowerCo of Africa Uganda.

Mr. Innocent Mushi, CEO of TOA Tanzania, commented on the financing agreement, emphasizing that the funds will enable the company to accelerate its growth and provide essential telecommunications services to underserved communities.

The CEO notes that the company is committed to environmental sustainability and community development and that 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 digitalization efforts, increasing financial inclusion and job creation.

In addition to TOA Tanzania, in April 2024, British International Investment (BII) supported the UK-Tanzania Mutual Prosperity Partnership, which aims to unlock £1 billion ($1.27 billion) in investments backed by the government in Tanzania for 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.

Additionally, 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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