Hormuud Telecom and Get-Phone Launch Somalia’s Largest Smartphone Financing Program

Somalia: Hormuud Telecom, Get-Phone Launch Somalia’s Largest Smartphone Financing Program to Bridge Digital Divide

MOGADISHU, Somalia — Somalia’s biggest telecom operator has teamed up with Get-Phone in a bid to put smartphones within reach of millions who have so far been priced out of the country’s digital economy.

Hormuud Telecom said Tuesday that the partnership will introduce Somalia’s first formal smartphone financing program, a move designed to narrow the affordability gap that still keeps many low-income Somalis offline even as 4G coverage now reaches more than 70% of the population.

Under the plan, customers can take home a smartphone with a $19 down payment and begin repaying it through daily installments starting at $0.60. That amount covers the phone payment as well as a bundle of 1GB of data and 40 minutes of voice calls. At present, the average Somali customer already spends about $0.50 a day on data and calls, meaning the new offer adds a smartphone for just 10 cents more per day.

“For 20 years, we have built a network that we believe can transform Somalia,” said Ahmed Yusuf, chairman of Hormuud Telecom. “The barrier is not the mast in the distance; it is the handset in the pocket. Today, we are removing that barrier.”

Deputy Prime Minister Salah Ahmed Jama described the initiative as a route to financial inclusion and a central piece of Somalia’s Vision 2060 national goals.

“A smartphone today is far more than a device; it is a gateway to commerce, education, and opportunity,” Jama said.

Repayments will run through Hormuud’s EVC Plus mobile money platform. The company said eligibility will be assessed through a proprietary credit-scoring model that relies on SIM-usage patterns, opening the door for people who do not have formal bank accounts. The program also includes a “family guarantor” feature, which was tested during a February-March pilot in Mogadishu and produced a default rate of less than 4%.

The first phase targets 10,000 devices by June 2026, with the company aiming to reach 100,000 devices by the end of the year as the rollout extends into Puntland State and North Western State of Somalia.

Get-Phone CEO Omar Abdi said the financing is Sharia-compliant and interest-free, with repayment terms of six to 12 months.

“This program is built on the belief that when you give people access to the right tools at the right price, they will do extraordinary things,” Abdi said.

The launch comes as World Bank and GSMA data show that a 10% rise in broadband penetration can lift GDP by as much as 1.4% in developing economies. With nearly half of Hormuud’s 4 million subscribers still using 2G feature phones, the partnership could help unlock fresh private investment in Somalia’s expanding digital infrastructure.