There has been a lot of chatter recently about the future of Safaricom’s CEO, Peter Ndegwa. Many people have been speculating about the length of his contract and whether he will stay on as CEO for the full three years. Mr. Ndegwa recently addressed these rumors, stating that he is not bound to the same terms as his foreign predecessors, and thus is not under a mandatory three-year contract.
This issue was raised again during the release of Safaricom’s financial report for the year 2023. However, Adil Khawaja, Chairman of Safaricom PLC, dismissed the speculation, referring to the source of the rumors as “Twitter Warriors”. He emphasized that Mr. Ndegwa has obligations to fulfill for the current year, and that the senior management team is still in place and focused on their strategy.
The Chairman’s comments were consistent with what Mr. Ndegwa had previously stated in an interview, where he confirmed that his tenure is dependent on his performance and deliverables.
Mr. Ndegwa expressed his appreciation for the Chairman’s comments, and this news will certainly be well received by Safaricom’s investors.
Safaricom is currently engaged in several strategic projects aimed at diversifying their revenue streams. They recently announced increased partnerships with counties through their myCounty App and have invested heavily in Ethiopia as they believe it will be a profitable venture. They also acquired a license to roll out mobile financial services in Ethiopia at a cost of USD 150 million.
Given these strategic investments, any disruption in the company’s leadership would not be ideal at this point in time.