Vodacom commits R60bn investment in SA

Admire Moyo
By Admire Moyo, ITWeb's news editor.
Johannesburg, 14 Apr 2023
Vodacom Group CEO Shameel Joosub.
Vodacom Group CEO Shameel Joosub.

Mobile operator Vodacom has pledged to invest R60 billion in South Africa over the next five years, having delivered on its promise to invest R50 billion over five years in 2018.

In a statement, the mobile operator says this latest substantial investment is expected to contribute significantly to enhancing network resilience to keep customers connected, further accelerating Vodacom’s deep rural coverage programme to help bridge the digital divide and deepening financial inclusion.

The announcement was made at the fifth South African Investment Conference (SAIC) held at the Sandton Convention Centre.

SAIC is held annually in the country over the past five years.

Propelled by the success of the SAIC, president Cyril Ramaphosa has set a R2 trillion target for South Africa to achieve.

Last year, the fourth SAIC raised R367 billion in investment commitments, bringing the country’s five-year investment target firmly into sight.

Since the first investment conference in 2018, South Africa has attracted R1.14 trillion in commitments.

This represents 95% of the initial target and has translated into investments across a wide range of economic sectors.

“I am proud to announce that, as part of the fifth SA Investment Conference, Vodacom has pledged to invest a further R60 billion in South Africa over the next five years,” says Shameel Joosub, Vodacom Group CEO.

“Five years ago, we heeded the call from president Cyril Ramaphosa to play a central role in his investment drive aimed at attracting R1.2 trillion over a five year period. Looking back over the past five years, we believe that our initial R50 billion pledge has played a significant role in fostering digital inclusion for all and helping to unlock economic and social opportunities for South Africa.”

Over the past five years Vodacom says it has made significant improvements to deep rural network coverage in line with their vision to connect everyone in South Africa, regardless of location.

It note that this has primarily been achieved through investing in additional network sites and base stations in remote areas, some of which have not had network coverage since the early 1990s.

“As it stands, Vodacom has helped improve coverage to 95.8% of the rural population as well as extending their 4G and 3G population coverage to 97.94% and 99.88% respectively,” says the telco.

Through these investments, it adds, the country has enjoyed improved access to digital skills, benefitting various communities.

“Through connectivity, children now have access to learning materials, such as e-school, small medium business owners can access better opportunities, as well as farmers who can access platforms which aid in improving productivity, finding new opportunity, and reducing environmental impact.

“Additionally, Vodacom has contributed to creating employment in these areas through the likes of building of base stations, and offered active job seekers the chance to benefit from our zero-rated job search portals,” it concludes.