Somalia’s largest telecom operator, Hormuud Telecom, is transitioning from a traditional connectivity provider into the central pillar of the country’s digital economy, financial system and humanitarian response infrastructure.
This is according to Hormuud CEO Mohamed Aden Farah in an interview with ITWeb Africa, who outlined the company’s expanding role as the primary enabler of Somalia’s digital transformation agenda.
While much of Africa’s telecom sector focuses on expanding network coverage, Hormuud’s strategy reflects a more advanced shift: turning connectivity into large-scale economic activity.
“When Hormuud started two decades ago, Somalia’s telecoms infrastructure had to be rebuilt almost from the ground up. It was more than a convenience; it had to be a way back into the economy,” said Farah.
Hormuud’s journey began with basic communication before quickly moving into financial infrastructure. The company launched its mobile money platform, EVC Plus, at a time when Somalia lacked a formal banking system.
“Our first job was connectivity, helping families reconnect, traders find customers and communities access services again,” Farah said. “The next step was money movement. EVC Plus was built when Somalia had no formal banking infrastructure. We made it free at the point of use so it could become part of daily life.”
That strategy is already showing results: EVC Plus is the backbone of everyday economic activity, used by approximately 90% of the population to support retail payments, salaries and remittances.
“EVC Plus is the foundation of that ecosystem. It sits inside everyday transactions, shop payments, remittances, salaries, aid transfers and small business activity,” noted Farah.
As a result, Hormuud’s ambitions now extend into territory traditionally occupied by commercial banks and government agencies.
Instead of treating mobile money as a standalone product, Hormuud is building an ecosystem around the full customer lifecycle, influencing how customers transact over time.
This integrated model is also transforming humanitarian operations. Through Hormuud’s Humanitarian Portal, NGOs can distribute aid digitally using EVC Plus, enabling swift delivery while keeping vital funds circulating within the local economy.
“The Humanitarian Portal is a strong example,” Farah explained. “It moves EVC Plus from a consumer payment tool into national response infrastructure, allowing NGOs to deliver aid quickly while keeping money circulating locally.”
By combining mobile money data, customer behaviour and device access, Hormuud is also driving new forms of lending. Device financing is a key example, turning smartphone ownership into an entry point for broader financial inclusion.
However, despite significant progress with 4G networks now covering more than 70% of the population, access to the digital economy remains uneven.
“That is why smartphone access is our biggest growth priority. Hormuud has helped build the backbone of Somalia’s digital economy, and 4G now covers more than 70% of the population. But nearly 50% of our device universe still uses feature phones. For many people, the barrier is no longer the mast in the distance but the handset in the pocket,” highlighted Farah.
To bridge this gap, Hormuud recently launched an initiative with Get-Phone. The programme supports lower-income users who already spend small amounts daily on airtime but cannot afford the upfront cost of a smartphone. By pairing devices with a daily connectivity package, the initiative turns a large one-off cost into a manageable daily expense.
Looking ahead, Hormuud’s strategy focuses on ensuring that more of Somalia’s digital value remains within its borders.
Hormuud has played a prominent role in the development of the country's digital payments ecosystem.
The operator is also investing in local data centres to support domestic digital services, create jobs and reduce reliance on external systems.
Simultaneously, the company is prioritising network resilience by deploying solar-powered infrastructure designed to withstand fuel shocks, climate pressures and emergency demand spikes.
“A digital economy cannot depend on systems that only work on easy days. We are investing in reliable networks, solar-powered sites and infrastructure that can withstand fuel shocks, climate pressure and emergency demand,” asserted Farah.
Ultimately, the operator views robust connectivity as the ultimate driver of regional financial stability, linking the domestic economy directly with the Somali diaspora through secure remittance channels.
“EVC Plus and WAAFI connect Somalia’s domestic economy with its diaspora, especially through remittances. That matters because Somalia’s economy does not stop at its borders. Families, businesses and communities are connected across the region and beyond,” Farah concluded.
Share
