Mawingu Secures $20 Million Investment to Bridge Africa’s Digital Divide with Expanded Internet Infrastructure

In a major boost for internet connectivity across underserved African communities, Mawingu Networks, a leading Internet Service Provider (ISP), has secured USD 20 million (approximately Kes 2.6 billion) in debt funding backed by Pembani Remgro Infrastructure Fund II (PRIF II). This substantial investment represents a pivotal moment in the company’s ambitious expansion strategy to bridge the digital divide across the African continent.

The announcement, made on Wednesday, October 1, 2025, signals a transformative phase for Mawingu as it positions itself to become a major player in Africa’s rapidly evolving digital infrastructure landscape. The funding will be strategically deployed to enhance the company’s broadband network capacity and extend reliable internet access to communities that have historically been left behind due to prohibitive capital costs and challenging geographic barriers.

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A Vision to Transform Lives Through Connectivity

Speaking at the company’s offices during the funding announcement ceremony, Mawingu’s Chief Executive Officer, Farouk Ramji, articulated the company’s bold vision for the future. “This strategic funding will accelerate Mawingu’s mission to scale inclusive, sustainable internet access across underserved communities in Africa. It will help us move closer to our goal of positively impacting 1 million people in Africa by 2028,” Ramji emphasized.

The ambitious target of reaching one million people by 2028 is not merely a numerical goal but represents Mawingu’s commitment to democratizing internet access across the continent. The company plans to achieve this through a carefully calibrated strategy that combines disciplined acquisitions of local ISPs with the development of cutting-edge digital infrastructure in areas where traditional connectivity solutions have proven economically unviable.

Ramji described the latest investment as “a significant milestone in Mawingu’s long-term expansion strategy,” underscoring the company’s determination to fundamentally reshape the internet connectivity landscape in Africa’s rural and peri-urban areas. The CEO’s vision reflects a growing recognition among technology companies and investors that bridging the digital divide is not only a social imperative but also represents a substantial business opportunity.

Building on Tanzania Success Story

The recent funding round builds strategically on Mawingu’s successful expansion into Tanzania through its acquisition of Habari, a local internet service provider, in 2024. This acquisition has proven to be a cornerstone of the company’s regional growth strategy, demonstrating that local knowledge combined with superior technology and adequate capital can unlock previously untapped markets.

Since completing the Habari acquisition, Mawingu has achieved remarkable milestones in the Tanzanian market. The company has secured a coveted national telecommunications license, a regulatory achievement that opens doors for nationwide expansion and positions Mawingu as a serious competitor in Tanzania’s telecommunications sector. This licensing success reflects both the company’s operational capabilities and the Tanzanian government’s recognition of the critical need for expanded internet infrastructure.

The growth metrics in Tanzania have been equally impressive. Mawingu has added more than 3,000 home users to its network since the acquisition, representing significant household penetration in a market where reliable internet access has historically been a luxury rather than a necessity. These households now have access to affordable, dependable internet connectivity that is transforming how families work, learn, and connect with the wider world.

Perhaps most notably, the company has extended Habari’s coverage footprint to nine regions across Tanzania, including Arusha, Dodoma, Iringa, Manyara, Mara, Kilimanjaro, Mwanza, Morogoro, and Shinyanga. This geographic expansion represents a carefully planned rollout that targets areas with significant populations of underserved users while ensuring network reliability and service quality. Each region presents unique challenges and opportunities, from Kilimanjaro’s mountainous terrain to the more accessible but densely populated Mwanza region along Lake Victoria.

Innovative Technology Driving Affordable Connectivity

Mawingu’s competitive advantage lies in its innovative deployment of wireless, solar-powered technology that significantly reduces both capital and operational costs while maintaining service reliability. This technology stack is particularly well-suited to Africa’s context, where traditional fiber-optic infrastructure is prohibitively expensive to deploy in many rural and peri-urban areas, and where reliable electricity supply cannot be assumed.

By leveraging solar power, Mawingu addresses one of the most significant challenges facing internet service providers in emerging markets: the high cost and unreliability of grid electricity. Solar-powered base stations can operate independently of the electrical grid, ensuring continuous service even in areas with frequent power outages or no grid access whatsoever. This approach not only reduces operational costs but also aligns with global sustainability goals and reduces the environmental footprint of digital infrastructure.

The wireless technology component of Mawingu’s solution eliminates the need for expensive last-mile fiber deployment, which often represents the most cost-prohibitive aspect of broadband rollout. By using advanced wireless technologies, the company can rapidly deploy services to new areas without the massive civil engineering works required for traditional fixed-line infrastructure.

Extensive Kenyan Footprint and Expansion Plans

In Kenya, Mawingu has established a formidable presence across 31 counties, making it one of the most geographically diverse internet service providers in the country. This extensive coverage footprint reflects years of strategic investment in understanding local market dynamics and building relationships with communities across the country.

The company’s Kenyan network spans from urban centers to remote rural areas, providing affordable, reliable internet access to households, businesses, schools, and health facilities that would otherwise remain disconnected from the digital economy. Each county operation requires careful planning and execution, taking into account local geography, population density, economic conditions, and competitive dynamics.

Looking ahead, Mawingu has articulated plans to further expand its local network “where feasible,” a pragmatic approach that balances growth ambitions with financial discipline and operational excellence. This expansion strategy will likely focus on areas where the company can achieve sustainable economics while maximizing social impact—a delicate balance that requires sophisticated market analysis and disciplined capital allocation.

The company’s presence in both Kenya and Tanzania positions it as a truly regional player in East Africa’s internet connectivity market, with potential for further expansion into neighboring countries that face similar connectivity challenges.

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Kenya’s Surging Internet Adoption

Mawingu’s expansion comes at a time when internet usage across Kenyan households is experiencing exponential growth, driven by increasing smartphone penetration, falling data costs, and the proliferation of digital services. The internet has evolved from a luxury to a necessity, serving as a powerful tool for bridging geographic and socio-economic divides throughout the country.

The latest data from the Communications Authority of Kenya (CA) reveals the dramatic growth trajectory of the country’s digital economy. According to figures covering the three months ending June 2025, Kenya’s total internet subscriptions reached 58.5 million, representing a remarkable 27.3 percent growth compared to the 52.5 million subscriptions recorded at the end of June 2024. This growth rate significantly outpaces population growth, indicating genuine increases in connectivity penetration rather than mere demographic expansion.

Mobile data continues to dominate Kenya’s internet landscape, reflecting global trends while also highlighting the particular importance of mobile connectivity in emerging markets where traditional fixed-line infrastructure remains limited. Of the total 58.5 million subscriptions, an impressive 78.2 percent were mobile broadband connections, underscoring how smartphones and mobile networks have become the primary gateway to the internet for most Kenyans.

The technological evolution within Kenya’s mobile data market is equally noteworthy. Subscriptions to 4G services constituted 81.2 percent of total broadband subscriptions, indicating that Kenyan consumers are increasingly accessing high-speed internet capable of supporting bandwidth-intensive applications like video streaming, online education platforms, and cloud-based business applications. This shift toward advanced mobile technologies reflects both network investments by operators and growing consumer demand for superior connectivity experiences.

Competitive Landscape in Kenya’s Fixed Internet Market

The Kenyan fixed internet market, while smaller than the mobile segment, has become increasingly competitive as providers recognize the substantial opportunity in serving homes and businesses with dedicated broadband connections. According to CA data, Safaricom, Kenya’s dominant telecommunications operator, leads the fixed data market with a 34.3 percent market share, leveraging its extensive fiber network and strong brand recognition.

Jamii Telecommunications Limited holds the second position with a 20.6 percent market share, demonstrating that there is room for strong competitors to carve out significant positions in the market. The company’s success reflects the importance of focused service delivery and competitive pricing in attracting and retaining fixed broadband customers.

Notably, Ahadi Wireless Limited has emerged as a significant player in the fixed internet space, securing a position among the top ten providers with a 7.5 percent market share. This achievement demonstrates that smaller, specialized providers can compete effectively against larger operators by focusing on underserved segments and delivering superior customer experiences. Ahadi Wireless’s success story provides a roadmap that Mawingu appears poised to emulate and exceed with its expanded resources and proven operational capabilities.

Internet as a Catalyst for Economic and Social Transformation

The importance of expanded internet connectivity extends far beyond mere technological access. In Kenya and across Africa, the internet has become a fundamental enabler of economic opportunity, education, healthcare, and civic participation. The resource is actively promoting e-commerce, enabling e-government services, and empowering youth and marginalized communities who have historically been excluded from mainstream economic activities.

For e-commerce businesses, reliable internet connectivity is the essential foundation upon which they build their operations. From small-scale entrepreneurs selling goods through social media platforms to sophisticated online retail operations, digital connectivity determines who can participate in the rapidly growing online economy. Mawingu’s focus on affordability and reliability makes it an ideal partner for aspiring entrepreneurs in underserved communities.

E-government services, which promise to make public services more accessible, transparent, and efficient, depend entirely on widespread internet access. As governments across Africa digitize services ranging from business registration to tax filing, citizens without internet access risk being left behind, creating a new dimension of inequality. By extending connectivity to previously underserved areas, Mawingu is helping ensure that digital government services truly serve all citizens, not just urban elites.

For youth and marginalized communities, internet access represents a gateway to educational resources, skill development opportunities, and connection with global knowledge networks. Online learning platforms, digital skills training, and remote work opportunities all require reliable internet connectivity, making companies like Mawingu critical partners in youth empowerment and economic inclusion initiatives.

The Road Ahead: Challenges and Opportunities

As Mawingu embarks on this new phase of growth enabled by the USD 20 million investment, the company faces both significant opportunities and substantial challenges. The African connectivity market remains highly fragmented, with varying regulatory environments, infrastructure deficits, and economic conditions across different countries and regions.

Successfully deploying capital across multiple markets will require sophisticated operational capabilities, deep local market knowledge, and the ability to adapt technology solutions to diverse contexts. The company’s track record in Kenya and early success in Tanzania provide confidence that it possesses these capabilities, but scaling across multiple markets simultaneously will test any organization’s capacity.

The competitive landscape is also evolving rapidly, with both traditional telecommunications operators and new technology companies recognizing the opportunity in underserved markets. Mawingu will need to maintain its cost advantages, operational excellence, and customer focus to defend and expand market share against well-resourced competitors.

However, the fundamentals strongly favor Mawingu’s expansion strategy. Demand for affordable, reliable internet access across Africa is essentially unlimited, constrained only by supply-side factors like infrastructure and service availability. The company’s proven business model, innovative technology approach, and now substantial financial resources position it well to capture significant market share in the continent’s underserved communities.

Investor Confidence in African Digital Infrastructure

The involvement of Pembani Remgro Infrastructure Fund II (PRIF II) as the backer of this debt funding signals growing institutional investor confidence in African digital infrastructure investments. Infrastructure funds typically seek stable, long-term returns from essential services, and the decision to back Mawingu reflects a recognition that internet connectivity has become critical infrastructure comparable to roads, electricity, and water.

This institutional capital backing provides Mawingu with not only financial resources but also strategic credibility that can facilitate future fundraising, regulatory approvals, and partnership discussions. As the company pursues its goal of impacting one million people by 2028, having sophisticated institutional investors as partners will prove invaluable.

Conclusion: Bridging the Digital Divide, One Community at a Time

Mawingu’s USD 20 million funding round represents more than a business transaction; it symbolizes growing recognition that bridging Africa’s digital divide is both achievable and economically viable with the right combination of technology, business model innovation, and capital. As the company extends its network across Kenya, Tanzania, and potentially additional African countries, it is not merely selling internet subscriptions but enabling economic opportunity, educational access, and social connectivity for millions of people in underserved communities.

The goal of impacting one million people by 2028 is ambitious but appears increasingly achievable given the company’s demonstrated execution capabilities, innovative technology approach, and now enhanced financial resources. Each new household, business, school, or health facility that gains reliable internet access through Mawingu’s network represents a tangible step toward a more connected, equitable, and prosperous Africa.

As Kenya’s internet subscriptions continue their impressive growth trajectory and more Africans recognize the transformative power of digital connectivity, companies like Mawingu will play an increasingly critical role in determining whether this digital revolution benefits all citizens or merely reinforces existing inequalities. The USD 20 million investment announced on October 1, 2025, suggests that Mawingu is positioning itself to ensure that Africa’s digital future is inclusive, sustainable, and reaches even the most underserved communities across the continent.

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By: Montel Kamau

Serrari Financial Analyst

2nd October, 2025