MTN Rwanda secures loan for network expansion

It has ambitions of maintaining its leading telecommunications status in Rwanda.

MTN Rwanda has secured a Rwf50 billion (R774 million) loan from a syndicate of eight local banks for the telecommunications company to expand and modernise its network and related IT systems.  

MTN Rwanda announced on Thursday that the seven-year loan would fund its expenditure program from 2018 until 2020.

The loan was funded by Ecobank Rwanda, Cogebanque, BPR Atlasmara, I&M Bank, Bank of Kigali, Kenya Commercial Bank, Equity Bank, and GT Bank.

MTN Chief Executive Officer Bart Hofker said that the loan and investment was driven by the company’s year-on-year growth of customers by 26 percent, growth in voice minutes by 51 percent and Mobile Money users by 54 percent.

Bart expects this growth trend to continue as the company cements its position as the number one network in Rwanda.

“This loan represents MTN Rwanda’s ambitions for the future and the trust that Rwandan banks have in us,” he said.

So far this year, MTN Rwanda has already invested over Rwf22 billion (R340 million) in network expansion and modernisation, which is expected to accelerate the delivery of telecommunications services.