Safaricom is betting big on Ethiopia, unveiling an ambitious plan to grow its customer base seven-fold over the next five years. The telecom operator currently has around 10 million Ethiopian subscribers but aims to surpass 70 million by 2030, positioning itself as a formidable rival to state-owned Ethio Telecom, which dominates the market with more than 83 million users.
To reach this target, Safaricom intends to significantly scale up its infrastructure, more than doubling its base stations from fewer than 4,000 today to over 10,000 within the next decade. This expansion is expected to strengthen network coverage, improve service reliability, and accelerate customer adoption in both urban centers and underserved rural areas.
A central pillar of the growth strategy is M-Pesa, Safaricom’s mobile money platform. Ethiopia remains a predominantly cash-based economy, with roughly 95% of all transactions conducted in cash, creating a massive opportunity for digital financial services. By promoting M-Pesa, Safaricom hopes to replicate the success it has enjoyed in Kenya and other markets, while offering financial inclusion to millions of Ethiopians who remain outside the formal banking system.
However, the company’s path forward is far from easy. It must contend with foreign exchange shortages, currency volatility, and political instability, particularly in conflict-affected regions like Oromia. Security challenges could slow the rollout of infrastructure and increase operational costs. Additionally, Ethio Telecom’s strong market position and its fast-growing Telebirr mobile money platform—which already has tens of millions of users—pose stiff competition.
Despite these hurdles, Safaricom sees Ethiopia as a long-term growth engine. The country’s large population, youthful demographics, and low levels of digital penetration provide fertile ground for expansion. If Safaricom can successfully execute its strategy, Ethiopia could become its second-largest market after Kenya, reshaping the regional telecom landscape.
