Safaricom cites shifting govt policies, donor withdrawals as key bottlenecks for 2025
By Luke Oluoch, October 11, 2025Telco Company Safricom has listed the withdrawal of donor funding and bureaucratic process in government among the major challenges impacting its operation and community-driven approach to impact people’s livelihoods.
While noting the gains made in education and health sectors in underserved areas and communities, the telco company, in its 2025 Sustainable Business Report released on October 8, 2025, revealed that donor withdrawal and shifting policies from the government hugely impacted its mission.
Safaricom emphasised that the lack of donor support prompted them to step in to bridge funding gaps.
“In delivering these initiatives, we navigated challenges such as reduced donor support and rising demand for services, underscoring
the importance of strategic prioritisation, collaboration, and adaptive programming,” part of the company statement read.
It also decried bureaucratic procedures and shifting government priorities that delayed programme approvals and connectivity, and security challenges in remote areas that affected the implementation of its many projects.
Amid the ongoing economic crunch, Safricom also highlighted an increase in demand exceeding resources, a factor it claims forced it to the difficult task of prioritisation.
Potential Risks
The telcos in the report also highlighted several potential risks that they need to manage.
The company listed the Supply Chain Disruption and Geopolitical Risks, stressing that since their operations depend on reliable supply chains for devices, network equipment, and services, global conflicts, sanctions, or logistics disruptions could adversely impact its availability and increase cost.
It also noted that Kenya’s economic environment continues to reflect volatility, with inflation, taxation shifts, and currency fluctuations impacting consumer purchasing power and operating costs.
According to the report, these dynamics affected the affordability of services and business performance.
Other facets listed as needing the company to proactively manage include Market Disruption and Competition, Cyber Threats, Data Privacy and Reputational Risks, Fraud and Social Engineering associated with MPESA use,
Interventions pertaining to money laundering and terror financing, and litigation risks emanating from the breadth of Safaricom’s operations were also highlighted in the report..