The story
History
Hormuud was established in 2002 in Mogadishu, Somalia by a small group of shareholders, and originally consisted of 16 telecommunication sites.
Ahmed Mohamed Yusuf, Hormuud Telecom's CEO joined Hormuud Telecom in 2002 with the intention to rebuild Somalia by connecting people with life-changing connectivity services. In the same year as its launch, Hormuud launched its fixed phone line service and GSM, a second-generation digital mobile network, which became widely used in Europe and other parts of the world.
In 2011, the company conducted a mobile money transfer through EVC Plus, the first of its kind in Somalia. EVC Plus functions as a digital wallet, allowing users to purchase goods and services and transfer money. Automated payments and SMS reminders were also added as features. Financial reports on EVC Plus can also be viewed without an internet connection. In December 2012, Hormuud launched its Tri-Band 3G service for mobile and internet clients. Also the first of its kind in the country, this 3G mobile telecommunications technology offers users a faster and more secure connection.
In July 2014, Hormuud Telecom, along with NationLink and Somtel, signed an interconnection agreement. The cooperative deal established the Somali Telecommunication Company (STC), which allowed their mobile clients to communicate across all three networks. Later that year, Hormuud trialed the first 4G services in Somalia. They began expanding their 4G network capacity in 2015 in partnership with the Somalian Ministry of Telecommunications.
In 2009, Hormuud Telecom established the Hormuud Salaam Foundation, becoming the first corporate foundation in Somalia. In 2019, the company offered commission-free bulk cash transfers to NGOs responding to floods around Beledweyne, Baidoa, Jowhar, and the Gedo region of southern Somalia. This allowed the Somali Cash Consortium and other NGOs to provide direct donations to vulnerable Somalis in need.
In 2020, the company became the first private corporation in Somalia to be ISO certified. This international standard accredited Hormuud's products and services as satisfying the needs of their customers through an effective quality management system and meeting all the relevant regulatory requirements.
In 2021, Hormuud announced plans to guarantee nationwide 4G coverage by 2023 in Somalia. It calculated that 30% of its 3.6 million customers still rely on 2G networks, the majority of whom reside in rural areas. The expansion will provide rural communities access to fast internet services, which is essential for both nationwide and rural economic development. Access to 4G is a major goal of Hormuud, in line with the United Nations' Sustainable Development Goals (SDGs). In February 2021, the Central Bank of Somalia issued the first mobile money licence to Hormuud Telecom, assuring that its mobile money platform EVC Plus is now formally regulated and licensed by the Central Bank. The move formalised digital payments as a payment method within the country and will enable further integration of the Somali financial system with the international financial system.
Hormuud also launched Somalia's first indigenous mobile money app early in the same year. WAAFI combines mobile money, communication, entertainment, and payments, wherein consumers can access bank accounts, perform online transactions, send international remittances, and make international/domestic phone calls all through the app. WAAFI's integrated mobile money experience is an upgrade from the existing USSD technology that many Somalis use.
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In 2023, Hormuud Telecom hosted its Somali Success Stories conference, bringing together government leaders, industry representatives and over fifty businesses to celebrate the businesses and innovations driving Somalia's economic growth, and problem solve for the future.
In 2024, Hormuud Telecom's CEO Ahmed Yusuf was named CXO of the year at the Africa Tech Festival, and CEO of the year at the World Communications Awards.
In 2024, Hormuud Telecom brought 5G to Somalia, rolling out the service at no extra cost to customers in over 30 of Somalia's towns and cities. As a result of the first phase of the rollout 5G coverage in these areas stands at 81%.
In partnership with Salaam Somali Bank, Mastercard, Telesom, Golis and Paymentology, Hormuud Telecom introduced contactless payments in Somalia. Together, they launched a co-branded, tokenised, tap-to-pay digital companion card along with a physical card for Waafi mobile app users. The digital card is said to be a first for the Horn of Africa.
The same year, Hormuud Telecom signed an MoU with the Federal Government of Somalia's Ministry of Environment and Climate Change and Salaam Somali Bank to reinvest climate adaptation and mitigation funding into green initiatives within the country.
Hormuud Salam Foundation
Hormuud Salam Foundation (HSF) is a non-profit foundation that is fully funded by Hormuud Telecom and Salaam Somali Bank, created for the sole purpose of providing charitable contributions to improving the everyday lives of Somalis.
In 2020, during the coronavirus pandemic, HSF and partners donated over US$5 million towards Somalia's coronavirus healthcare and pandemic relief efforts. In 2021, HSF supported the effort to help raise $4 million for the Somalia Action Network COVID-19 relief fund, in partnership with the Somali Chamber of Commerce.
In the same year, the HSF donated Somalia's first public oxygen plant. The plant, purchased from Turkey, was donated to help Somalia cope with severe shortages of medical oxygen. The plant was installed at the Banadir Maternity and Children Hospital, where the foundation has also funded the repair of its COVID-19 ward and the oxygen plant's storeroom.
HSF funds a range of philanthropic relief projects, directly responding to humanitarian crisis across Somalia.
In the winter of 2023, following ‘once in a century’ flooding in the region, Hormuud Salaam Foundation donated and distributed $1million in flood relief. The same year, Hormuud Salaam Foundation sponsored a year of fuel costs for the Banadir Maternity and Children's Hospital in Mogadishu, ensuring the uninterrupted running of services. The foundation also donated ten incubators.
Hormuud Salaam Foundation also sponsored heart disease screening for 119 children in Mogadishu, led by Italian doctors Dr Marianeschi Stefano and Dr Scansani Silvia. As a result of the medial evaluations, 15 children have since been sent to Italy for life-saving surgeries, funded by HSF.
From Wikipedia’s article on Hormuud Telecom, shared under CC BY-SA 4.0.4
