Safaricom Charts Path for Sustainable Digital Transformation

Safaricom PLC officially launched its 2025 Sustainable Business Report on Tuesday, October 7, 2025, in Nairobi, reaffirming its dedication to integrating sustainability with innovation to foster a digitally empowered society. The report, titled “Anchored in Purpose, Accelerating a Digital Future,” marks a significant milestone as the company celebrates 25 years of operation and outlines its strategic vision to become Africa's leading purpose-led technology company by 2030.

The telecommunications giant emphasized that its strategy focuses on balancing profitability with long-term positive impact for communities and the planet. Safaricom CEO Peter Ndegwa highlighted that sustainability is a core business driver, not merely a side agenda, and that the company's growth has been fueled by innovation and collaboration.

Historical Context and Strategic Evolution

Safaricom's journey in sustainability reporting began in 2012, evolving from a focus on meeting global benchmarks to a comprehensive framework for measuring its societal and environmental impact. The company's strategic framework for FY25 aimed to embed customer-first tech capabilities to achieve its vision of becoming a technology company by 2025. This evolution has seen Safaricom transition from a mobile operator to a technology enabler, with a strong emphasis on enterprise solutions, cloud, cybersecurity, Internet of Things (IoT), and Artificial Intelligence (AI).

The company's commitment to innovation is deeply embedded in its operations, with a dedicated innovation department exploring new ways to meet evolving customer needs. This includes investing in startups through the Safaricom Spark Fund to cultivate partnerships and create a thriving ecosystem for innovation.

Policy, Governance, and Stakeholder Engagement

Safaricom's sustainability efforts are guided by its commitment to transparency and responsible business practices. The company uses scientific tools to measure its environmental impact, undergoes independent third-party audits, and publishes detailed annual reports to ensure accountability. It aligns its operations with nine Sustainable Development Goals (SDGs) and adheres to international standards like the Global Reporting Initiative (GRI) and IFRS for disclosure.

The report's launch brought together leaders, partners, and stakeholders, underscoring the collaborative approach Safaricom takes in its sustainability journey. Discussions at the launch showcased the company's dedication to inclusive growth and its efforts to integrate sustainability into every aspect of its operations.

Evidence and Data

The 2025 report highlights significant achievements across various pillars:

• Economic Impact: Safaricom reported a 'True Value' of KSh 1.1 trillion, which is 16 times its financial profit, and contributed KSh 809 billion to Kenya's GDP in the last financial year.
• Environmental Stewardship: Over 830,000 trees were planted, restoring 694 hectares across eight counties in FY24/25, contributing to a cumulative total of 2.3 million trees against a 2030 target of 5 million. The company achieved a 99% recycling rate, processing 190 tons of e-waste and 62 tons of plastic. Safaricom has also transitioned 1,400 network sites to renewable energy, moving towards a net-zero future by 2050.
• Social Impact: Through its Digifarm initiative, KSh 945 million in credit was disbursed across 169,000 loans, with 36% benefiting women and 17% youth. Smartphone ownership among customers increased from 44% to 50%, supported by the Lipa Mdogo Mdogo program.
• Governance: Safaricom achieved ISO 27701 certification for privacy management and reported an 87% reduction in fraud using AI technology.

Risks and Implications

Analysts suggest that the report's findings could influence near-term public debate and policy execution, with stakeholders seeking clarity on timelines, costs, and safeguards related to Safaricom's ambitious sustainability and innovation goals. The rapid pace of digitization also presents challenges related to digital inequality, despite Kenya's 68.8 million mobile connections, only 27 million citizens have internet access.

Unanswered Questions and Controversies

While the report details significant progress, specific details regarding the financial investment in certain innovative projects and the precise mechanisms for achieving some long-term environmental targets remain areas for further clarification. The full impact of Safaricom's expansion into Ethiopia on its overall sustainability metrics is also an evolving area.

What to Watch

Moving forward, observers will be keen to see how Safaricom continues to implement its purpose-led strategy, particularly its progress towards the 2030 goal of becoming Africa's leading technology company and its 2050 net-zero emissions target. The company's ongoing investment in AI-driven solutions and its role in bridging the digital divide in Kenya will also be key areas to monitor.