Key facts
- The Trump administration will lend nearly $100 million to Africell.
- The loan is intended to counter the expansion of China's Huawei in Africa.
- Africell is Africa's only American-owned telecoms firm.
- The loan comes from the Export-Import Bank.
- Africell serves 15 million customers across Angola, Gambia, the Democratic Republic of Congo, and Sierra Leone.
- Huawei holds about 52% of the 5G infrastructure market share in Africa.
The Trump administration is set to provide nearly $100 million in loans to Africell, an American-owned telecommunications company operating in Africa. This move is part of a broader U.S. strategy to counter the growing influence of China's Huawei in the African market, according to a person familiar with the matter and a draft press release reviewed by Reuters.
The Export-Import Bank loan is intended to enable Africell to invest in advanced mobile network technology sourced from American and allied suppliers, thereby promoting secure communications infrastructure. This initiative aligns with the administration's ongoing efforts to reduce reliance on Chinese technology in critical infrastructure globally.
Africell, founded in 2001, serves 15 million customers across Angola, Gambia, the Democratic Republic of Congo, and Sierra Leone. The company has previously utilized technology from U.S. and allied suppliers such as HP, Nokia, Dell, and Oracle for its operations. Huawei, a dominant player in the African 5G infrastructure market with an estimated 52% share, has been a target of U.S. sanctions over alleged espionage concerns, which the company denies.
This loan follows through on an executive order by President Trump mandating U.S. agencies to promote American technology abroad in sectors including AI, data center storage, cloud services, and networking. Former U.S. officials have previously warned that choosing Chinese technology providers like Huawei could compromise national sovereignty and data security.