This funding will help build facilities in countries including Ethiopia, Angola, Mozambique, the Democratic Republic of Congo, and Ivory Coast.

As demand for digital services grows across the continent, the need for data infrastructure has become urgent.
Despite the rise in mobile data use—growing by nearly 40% each year, almost twice the global average—Africa currently holds less than 1% of global data centre capacity, according to the Internet Society.

The IFC’s investment is the largest of its kind in Africa so far and highlights the growing interest from international institutions in Africa’s digital economy.
The continent is seeing rapid growth in areas like mobile money, artificial intelligence, and cloud services.
Locally hosted data can lower costs, improve connection speeds, and enhance data security and regulation control for governments.

“Data centres and digital connectivity are key areas of focus for us,” said Sarvesh Suri, IFC’s Regional Industry Director for Infrastructure and Natural Resources in Africa. “They are essential for driving economic growth.”

Raxio launched its first data centre in Uganda in 2021 and is now expanding its network across several African nations.
The company aims to set up modern, reliable facilities that meet international standards.

Major tech companies such as Amazon Web Services, Microsoft Azure, and Huawei are also increasing their presence in Africa, though many still depend on servers in Europe or South Africa.
Raxio’s CEO, Robert Skjodt, said government support has been vital to their efforts.
“We see strong interest and cooperation from the countries we’re operating in. They’re eager to make this happen,” he noted.

However, setting up data centres in emerging markets comes with challenges. Issues such as unstable electricity, complicated regulations, and political risks can discourage private investors.  

“We provide tools to help reduce investment risks,” said Suri. “Our goal is to ensure that these projects are not only sustainable and profitable, but also bring long-term benefits to the economies they serve.”