PROJECT

Projects

Environmental & Social Review Summary

Project Number

48663

Company Name

AIRTEL AFRICA PLC

Date ESRS Disclosed

Apr 30, 2024

Country

Africa Region

Region

Africa

Last Updated Date

Feb 19, 2025

Environmental Category

B - Limited

Status

Active

Previous Events

Approved : Jun 14, 2024
Invested : Jul 22, 2024

Sector

Mobile Telephony

Industry

Telecommunications and Technology

Department

Regional Industry - INF Africa

Project Description

 IFC is considering up to $200 million in finance to Airtel Africa (the “Company”), which is an integrated provider of telecommunications (voice and data services) and mobile money services with a presence in 14 countries throughout the African continent via Airtel Africa’s subsidiaries (the Operating Companies). Airtel Africa has an asset-light business model and mainly operates telecommunication networks, data centers, and distribution networks such as sales shops and Airtel Money branches. The proposed funding (“the Project”) will support Airtel Africa operations in the Democratic Republic of Congo (DRC), Rwanda, and Kenya to cover capital expenditure (CAPEX) needs and refinance USD-denominated debt. The CAPEX component will be directed towards modernizing the telecom network by purchasing active equipment on sites for 4G such as antenna, software updates, packet core, base transceiver station, and acquisition and/or buildup of fiber capacity.

This will be IFC’s second investment in Airtel Africa after a previous investment in 2022, disclosed at (https://disclosures.ifc.org/project-detail/ESRS/43749/airtel-africa), for which the environmental and social (E&S) performance has been satisfactory. The current investment with Airtel Africa covers DRC and Kenya, and the proposed investment will expand support to the Rwanda subsidiary.                                                   

Overview of IFC's Scope of Review

IFC’s review of this proposed investment consisted of appraising Airtel Africa’s environmental, health and safety (EHS) and social-related information, including (i) information collected during IFC’s supervision activities for the previous investment; (iii) E&S policies, E&S Management System (ESMS) and associated procedures, human resources (HR) management, organizational structure for E&S governance and reporting; and (iv) virtual meetings with Airtel Africa’s senior management in February and March  2024 including on EHS management, HR, supply chain, and financial leadership.

For this proposed investment, IFC’s appraisal focused on (a) assessing unique risks associated with the new additional country of operation (Rwanda) and determining if any additional risk controls are necessary; and (b) evaluating the continued implementation of the corporate ESMS across Airtel Africa borrowing base assets.                                                   

E & S Project Categorization and Applicable Standard

Environmental and Social Mitigation Measures

Stakeholder Engagement

Broad Community Support

Environmental & Social Action Plan