TowerCo Africa Uganda secures funding

The collaboration includes significant contributions from the European Investment Bank, the Development Bank of Austria (OeEB), and the Belgian Investment Company for Developing Countries (BIO), underscoring a concerted effort to bridge the digital divide and stimulate economic growth within these underserved communities.

The investment will fund the installation of 506 new telecom towers across rural Uganda, where mobile network access is either nonexistent or severely limited. These towers, predominantly powered by renewable energy sources like solar power, are expected to bring state-of-the-art 4G and 5G data services to these areas, along with mobile money solutions and avenues for financial inclusion.

Currently, only 65% of Uganda benefits from mobile network coverage. This new project is a vital step towards achieving the country's ambitious goal of 95% coverage, addressing the critical need for connectivity in rural regions.

"The deployment of hundreds of new telecom towers across Uganda will make a significant leap towards ensuring that no one is left behind in the digital age," said Geoffrey Donnels Oketayot, CEO of TowerCo of Africa Uganda.

He emphasized the partnership's role in connecting communities and promoting economic development across the heart of Africa.

European Investment Bank Vice President Thomas Östros highlighted the initiative's alignment with the EU Global Gateway initiative, focusing on inclusive development and the reduction of the digital divide in Africa. Similarly, Nada Shall from BIO, Sabine Gaber from OeEB, and Ambassador Jan Sadek, Head of the European Union Delegation to Uganda, all expressed their organizations' commitment to enhancing digital infrastructure and supporting sustainable development in Uganda.

This significant investment not only addresses the urgent need for telecommunications infrastructure in rural areas but also ensures the commercial viability of such expansions by allowing the new towers to be shared among multiple mobile network operators.

This strategy aims to overcome the historical challenges of telecom expansion in these regions, promising more comprehensive and inclusive network access for rural communities.

Moreover, the initiative is projected to generate 2,000 jobs during the construction phase, offering both skilled and unskilled positions to residents, further contributing to the economic upliftment of these areas.

The funding arrangement sees the European Investment Bank leading with a US$16 million contribution, with the Development Bank of Austria and Belgium providing US$12 million each, marking a pivotal moment in narrowing the digital divide and propelling Uganda toward a connected and inclusive future.

This content was created with the help of an AI model and verified by the writer