Airtel Africa to boost spending 14% in 2023

Airtel Africa Plc plans to increase its capital expenditure to as much as $750 million this year as it moves to build its mobile-money business across the continent.

The wireless carrier plans to further develop its technology platform and distribution infrastructure, Chief Executive Officer Segun Ogunsanya said in an interview from the Kenyan capital, Nairobi. The firm, whose board is headed by Bharti Airtel Chairman and billionaire Sunil Mittal, would be raising capital spending from $656 million in the year through March, according to its annual report.

Airtel Africa, with operations in 14 African countries, is looking to ramp up its mobile-phone based financial offering in its biggest market, Nigeria, where the government is promoting cashless payments to expand commerce in the continent’s largest economy. The company’s financial service, dubbed Airtel Money, is its fastest-growing division.

“We are in a very good position to really now take advantage of the cashless policy of the government in driving the penetration of a digital model,” Ogunsanya said. “We’ve got a lot more phones than debit cards, we’re really planning to automate this opportunity and use this policy to drive differentiation of money in our customer base.”

The Lagos- and London-listed carrier began mobile money operations in Nigeria in April. Bloomberg