The Trump administration is set to extend a loan of nearly $100 million to Africell, the only US-owned telecommunications operator on the African continent, in a move designed to counter the expansion of Chinese technology giant Huawei across the region, according to a source familiar with the matter and a draft press release reviewed by Reuters.
The financing will be provided by the Export-Import Bank of the United States (EXIM) and will enable Africell to invest in next-generation mobile technologies supplied by American companies and those from allied nations, according to the document, which was expected to be released on Friday, 11 April.
“We are pleased to work with EXIM to introduce more secure and reliable communications infrastructure in our operating markets,” said Ziad Dalloul, Chief Executive of Africell Holding Limited, according to the draft press release.
Huawei and the Chinese Embassy did not immediately respond to requests for comment.
The loan, which had not previously been made public, forms part of Washington’s broader strategy to promote the use of non-Huawei telecommunications equipment in international markets.
During Trump’s first term, the US administration launched the ‘Clean Network’ initiative, aimed at limiting the use of Chinese technology, applications, and operators in the telecoms infrastructure of the United States and its allies. That strategy has continued into the second term.
The United States has imposed sweeping sanctions on Huawei, alleging that the company could use its equipment for espionage activities. The Chinese technology company has rejected the accusations.
According to data from Counterpoint Research, Huawei holds approximately 52% of the 5G infrastructure market in Africa.
The new financing also follows an executive order signed by Trump in 2025, directing US agencies to promote the use of American technology abroad, including in the areas of artificial intelligence, data centre storage, cloud computing services, and communications networks.
Founded in 2001, Africell has sourced technology from companies including HP, Nokia, Dell, and Oracle to equip a new data centre in Angola, according to information provided by the company. The operator currently serves approximately 15 million customers across Angola, Gambia, the Democratic Republic of Congo, and Sierra Leone.
During a visit to Africell’s offices in Angola in 2022, Wendy Sherman, then US Deputy Secretary of State, said that countries that choose Huawei “may be giving up their sovereignty” and handing their data over to another country.
Africell previously received a $100 million loan in 2018 from the Overseas Private Investment Corporation (OPIC), the development finance institution that subsequently became the International Development Finance Corporation (DFC), to expand its communications infrastructure.
Source: Diário Económico
Original article: https://www.diarioeconomico.co.mz/?p=539629
