• 26 May, 2025
• FAITH MIMDOO KEGH
• No comment

Telcos Shift to Local Loans Amid Rising Interest Costs.

Between March 2024 and March 2025, MTN Nigeria

and Airtel Africa paid off a combined \$1.12 billion in foreign debt to reduce exposure to currency risks and stabilize their finances. However, this shift toward domestic borrowing has increased their financial burden due to high local interest rates.

By March 2025, only 23% of MTN Nigeria’s debt was in foreign currency, with the rest being local loans. Airtel Africa followed a similar trend, with 93% of its debt now domestically sourced. While this strategy helps limit the impact of currency fluctuations, it has raised overall finance costs for the companies.

Despite these challenges, recent tariff increases have led to a 15% rise in average revenue per user, offering some relief to the telecom sector.

FAITH MIMDOO KEGH

Manager – Oversees the daily operations, editorial planning, and strategic direction of the platform. A graduate with a solid academic foundation in media and communication, Faith brings a wealth of experience to the TokinPoint.

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