---
title: Credit facility launched to support ISPs in South Africa’s townships - Developing Telecoms
description: Tech Credit Fund, which says it backs entrepreneurs bringing the net to the ‘kasi’ (township), has launched a credit facility to help Black-owned internet service providers (ISPs) to expand broadband access in South Africa’s townships and rural communities.
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date: 2025-10-07T16:40:08Z
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Tech Credit Fund, which says it backs entrepreneurs bringing the net to the ‘kasi’ (township), has launched a credit facility to help Black-owned internet service providers (ISPs) to expand broadband access in South Africa’s townships and rural communities.

Tech Credit Fund, a subsidiary of Solcon Capital, a global investment firm that specialises in investing in technology sub-sectors undergoing significant innovation and development, says the new fund will provide up to ZAR5 million (about US$290,554) per ISP at favourable interest rates and flexible repayment terms.

The initiative aims to advance digital inclusion and support the national target of achieving universal broadband access by 2030.

Specifically, the funding will help small and medium ISPs build last-mile networks in underserved areas while stimulating local economies and creating jobs. It will cover equipment purchases and operational expenses, with milestone-based disbursements linked to project cash flow.

The launch was made possible through a partnership with South Africa’s Small Enterprise Development and Finance Agency (SEDFA), an agency of the Department of Small Business Development, which provides financial and non-financial support to MSMEs and co-ops. In this case, SEDFA played a key role as a financing collaborator.

According to the news resource Bizcommunity.com, SEDFA board chairperson Nonzuzo Makanda indicated that the initiative aligns with the agency’s approach to sector-focused business development, saying: “This initiative not only benefits ISPs but also contributes to expanding access to digital technology in underserved areas.”

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