US Export-Import Bank to Lend Africell Nearly $100 Million to Counter Huawei in Africa

The Trump administration is set to lend nearly $100 million to telecoms firm Africell in a direct move to counter the influence of China's Huawei in Africa's technology sector. The financing will be provided by the U.S. Export-Import Bank (EXIM), according to a person familiar with the matter and a draft press release reviewed by Reuters.

Loan Details and Purpose

The EXIM loan is intended to "enable Africell to invest in the latest mobile network technology from American and allied suppliers," the draft announcement stated. This positions Africell as a Western-backed alternative for developing critical communications infrastructure in its operating markets.

"We are pleased to be working with EXIM to introduce more trusted and secure communications infrastructure to our operating markets,” Africell Holding Limited CEO Ziad Dalloul said, according to the document. This financing follows a previous $100 million loan Africell received in 2018 from the Overseas Private Investment Corporation, now the U.S. International Development Finance Corporation.

Strategic Push Against Huawei

This loan is a component of Washington's broader campaign to promote the use of non-Huawei telecommunications equipment globally. The U.S. government has heavily sanctioned Huawei, citing concerns that its technology could be used for espionage, allegations the company has consistently denied.

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The effort aligns with the Trump administration's "clean network" initiative, designed to exclude Chinese technology from infrastructure in the U.S. and allied nations. Huawei currently holds a dominant 52% market share for 5G infrastructure in Africa, according to data from Counterpoint Research.

Background on Africell

Founded in 2001, Africell is the only American-owned mobile network operator in Africa, serving approximately 15 million customers across Angola, Gambia, the Democratic Republic of Congo, and Sierra Leone. The company has previously utilized technology from U.S. and European firms including HP, Nokia, Dell, and Oracle.

U.S. officials have long viewed the company as a strategic asset. Following a 2022 visit to Africell's Angola offices, former Deputy Secretary of State Wendy Sherman cautioned that countries choosing Huawei were "potentially giving up their sovereignty."