(Ecofin Agency) - These investments will be spread across 13 African countries, including Benin, Cameroon, Congo, Côte d’Ivoire, Eswatini, Ghana, Liberia, Nigeria, Rwanda, South Africa, South Sudan, Uganda, and Zambia.

South African MTN Group announced plans to expand its footprint on the continent with a $10 billion investment by 2030. The International Telecommunication Union (ITU), which relayed the information, said the company will inject $2 billion annually as part of the initiative.

According to the ITU, MTN Group plans to use these funds to expand and enhance its voice and data networks, aiming to provide better coverage and connectivity for its customers. The company sees these investments as key to driving digital inclusion and supporting economic growth in its key markets.

Sub-Saharan Africa, which accounts for 13 of MTN's target markets, had 527 million unique mobile subscribers in 2023, with a penetration rate of 44%, according to the Global System for Mobile Communications (GSMA). The region also had 320 million mobile internet subscribers, representing 27% of the population. This digital divide presents opportunities for telecom operators.

The GSMA projects that the number of unique mobile subscribers in sub-Saharan Africa will reach 751 million by 2030, growing at an annual compound rate of 4.5% from 2023 to 2030. Mobile internet subscribers are expected to increase to 518 million, with the mobile internet penetration rate reaching 37%, up from 27%. However, the GSMA estimates that telecom operators will need to invest $62 billion in their networks over the period.

By gaining new subscribers, MTN hopes to solidify its position as “Africa’s largest mobile network operator.” The company currently has around 230 million subscribers, competing with Vodacom (205 million), Airtel Africa (163.1 million), and Orange (160 million).

Despite focusing on infrastructure, MTN must also address challenges hindering the adoption of mobile phone and internet services. According to the GSMA, one key obstacle is the high cost of smartphones, which makes them difficult to access for many people. The GSMA encourages telecom operators to implement initiatives such as device financing plans, installment payment options, and affordable smartphones through partnerships with manufacturers.