Safaricom Ethiopia has reported a significant improvement in its performance for the fiscal year ending March 31, 2025, citing increased service availability, expanded infrastructure, and stronger community integration as key drivers. Despite short-term macroeconomic challenges, the company posted solid growth across its telecom and mobile money operations.
Customer Growth and Network Expansion
The telecom operator expanded its network coverage significantly during the reporting period, deploying 3,141 network towers and extending 4G services to cover 50% of Ethiopia. This infrastructural rollout supported the rapid growth of its customer base.
As a result, Safaricom Ethiopia now serves 8.8 million 90-day active voice and internet users, a 103% increase from the same period in 2024. Of these, 7.1 million are active internet users, with an average monthly data usage of 6.5 GB per user, representing a 53% increase in data consumption year-on-year.
This trend reflects both improved network access and rising demand for digital services among Ethiopian consumers, particularly in urban and semi-urban areas.
Mobile Money Expansion: M-PESA in Ethiopia
The company’s mobile money platform, M-PESA, which officially launched in 2023 following the liberalization of Ethiopia’s telecom sector, has also shown encouraging adoption. During the fiscal year, 2.4 million 90-day active M-PESA users conducted transactions amounting to 15.8 billion birr.
The service is being used for a growing range of financial transactions, including fuel payments, international remittances, and integration with banking systems to facilitate utility payments and airtime purchases. Safaricom Ethiopia’s entry into the mobile money space has introduced additional competition in a market previously dominated by Ethio Telecom’s Telebirr.
Financial Performance
Safaricom Ethiopia’s total revenue for the year reached 7.2 billion birr, a 270% increase from 2.7 billion birr recorded the previous fiscal year. This growth reflects increasing customer activity, wider service coverage, and higher average revenue per user (ARPU), although the company did not disclose detailed ARPU figures.
Market Context and Strategic Outlook
Ethiopia remains one of Africa’s last major telecom markets to undergo liberalization. Safaricom Ethiopia, a subsidiary of the Safaricom-led Global Partnership for Ethiopia consortium, entered the market following the government’s push to open the sector to foreign investment and competition.
While the company has made gains in customer acquisition and service rollout, it continues to operate in a complex environment marked by inflationary pressures, forex constraints, and regulatory adjustments.
Looking forward, Safaricom Ethiopia is expected to continue investing in infrastructure, expanding rural connectivity, and scaling its digital finance offerings. The company is also anticipated to pursue strategies that support broader financial inclusion and enhance service accessibility nationwide.
