IFC Invests $45M to Power Telecom Networks with Clean Energy Across West Africa

The investment will support the modernization, operation, and maintenance of 2,235 telecom towers, with more than 90% located in off-grid or unreliable grid environments.

In a major push to strengthen digital infrastructure in underserved regions, the International Finance Corporation (IFC) has announced a $45 million investment in IPT PowerTech, a leading Telecom Energy Service Company (T-ESCO), to expand clean and reliable energy solutions for telecom networks in Ethiopia, Liberia, and Sierra Leone.

The initiative aims to tackle one of the biggest barriers to digital connectivity in Africa—unreliable power supply—by modernizing energy systems at telecom sites, particularly in off-grid and weak-grid areas.

Powering Connectivity in Underserved Regions

The investment will support the modernization, operation, and maintenance of 2,235 telecom towers, with more than 90% located in off-grid or unreliable grid environments.

By deploying solar-powered hybrid systems combined with battery storage, the project is expected to:

• Reduce network outages and improve service reliability

• Expand mobile coverage in remote and fragile regions

• Enable consistent digital access for households, schools, health centres, and small businesses

Reliable telecom infrastructure is increasingly seen as a critical enabler of economic participation, especially in regions where connectivity gaps limit access to services and markets.

Cutting Costs and Emissions with Clean Energy

The transition away from diesel-powered generators is projected to deliver substantial economic and environmental benefits:

• Power cost reductions:

  • Up to 52% in Ethiopia

  • 30% in Liberia

  • 26% in Sierra Leone

• Annual emissions reduction:

  • More than 10,624 tonnes of CO₂ equivalent (tCO₂e)

Lower operational costs are expected to translate into more affordable digital services for consumers, while also improving network sustainability.

Private Sector-Led Model for Digital Growth

IFC officials emphasized that the investment demonstrates the potential of private sector-led infrastructure solutions to drive digital transformation.

“Reliable and affordable power for telecom networks is a cornerstone of Africa’s digital transformation,” said Nathalie Kouassi-Akon, IFC Division Director for West Africa Gulf of Guinea.

The model combines energy innovation with telecom infrastructure—often referred to as InfraTech—to deliver scalable solutions that address both connectivity and sustainability challenges.

Financing Structure and Strategic Support

The $45 million package includes:

• $27 million A-Loan from IFC

• $18 million in blended finance, sourced from:

  • Canada-IFC Blended Climate Finance Program

  • IDA20 Private Sector Window Blended Finance Facility

Beyond financing, IFC will also provide technical support to strengthen IPT PowerTech’s:

• Environmental and social standards

• Operational practices

• Compliance with global sustainability benchmarks

Reviving Infrastructure Investment in Fragile Markets

The deal marks a notable return of IFC’s direct infrastructure investment in:

• Liberia (first in 10 years)

• Sierra Leone (first in six years)

This signals renewed confidence in deploying capital in fragile and underserved markets, particularly for projects with strong development impact.

Advancing Africa’s Energy and Digital Goals

The project aligns with major international development initiatives, including:

• Mission 300 (World Bank Group & African Development Bank)

  • Target: Provide electricity access to 300 million Africans by 2030

• Digital Economy for Africa (DE4A) Strategy

  • Focus: Expanding digital access, infrastructure, and services

• Country-specific development priorities under the World Bank Group’s Country Partnership Frameworks (CPF)

Driving Inclusion and Workforce Opportunities

In addition to infrastructure upgrades, the initiative includes a focus on gender inclusion, aiming to expand opportunities for women in:

• Technical roles

• Operations

• Leadership positions within the energy and telecom sectors

A Greener Future for Telecom Infrastructure

IPT PowerTech CEO Nabil Haddad described the partnership as a step toward a more sustainable industry.

“This agreement reflects a shared vision for a greener telecom sector, enabling scalable innovation with measurable environmental and operational impact,” he said.

As digital connectivity becomes increasingly essential for economic growth, the IFC-backed project highlights how clean energy and telecom infrastructure can converge to deliver both development impact and climate benefits at scale.