The bank approved a USD 160 million senior corporate loan to support AXIAN Telecom. This will accelerate the modernisation and expansion of the company’s network infrastructure, with a focus on 4G and 5G development.
A key focus of the funding is to address gender disparities in access to financial services. USD 10 million will be dedicated to empowering 22,000 women entrepreneurs in Madagascar through AXIAN’s Mvola platform.
Additionally, a USD 2.5 million grant will enhance financial literacy and credit access for 34,000 women-run businesses across Madagascar, Tanzania, and Senegal, enabling them to grow and transition into the formal economy.
The African Development Bank aims to foster inclusive growth and drive Africa’s digital transformation. By supporting AXIAN Telecom's growth plan, it is creating opportunities for individuals across the continent, bridging the digital divide.
The support from the African Development Bank will build on AXIAN Telecom’s ongoing initiatives, such as expanding affordable internet access while aligning with its recent launch of unified pan-African brands for its Mobile Network Operators and Fintech Operations under the Yas brand.
The partnership also aligns with the African Development Bank’s Hi-5 development priorities, particularly Industrialise Africa and Integrate Africa, which enhance connectivity, foster cross-border digital services, and support financial inclusion.
A quarter of all businesses on the continent are started or run by women, in contrast to Europe where the share of entrepreneurial activity by women is a lowly 5.7%. Women’s strong participation in business in Africa is linked to a number of factors, including the need for independence, survival, strong economic growth, widespread urbanisation and changing laws around women’s rights across the continent.
Regardless, looking at startup financing data from across Africa, the all-male founding teams raise about USD 25 for every dollar raised by all-female founding teams. Another challenge women face is finding funding assistance. A randomised control trial conducted in Ethiopia showed that where lending facilities were made available to women, this significantly improved women’s business success. Women who were able to get a loan as part of the World Bank’s Women Entrepreneurship Development Project in Ethiopia increased their profits by 40% and employment by more than 50% compared to the control group.
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