Safaricom 2023 Sustainable Business Report

8 OUR STAKEHOLDERS KPI SUMMARY OUR MATERIAL TOPICS OUR BUSINESS SAFARICOM SUSTAINABLE BUSINESS REPORT 2023 NAVIGATING COMPLEX MACROECONOMIC AND INDUSTRY CONDITIONS The financial year under review was characterised by multiple global economic shocks including the aftermath of the COVID-19 pandemic, the war in Ukraine, food and energy crises as well as high inflationary pressure. These conditions adversely affected the global economy and many businesses. During this period, Safaricom faced other significant challenges, such as increased regulatory scrutiny, changes in taxation, political uncertainty surrounding the elections, significant economic slowdown compounded by currency depreciation, drought and famine. This saw us experience a slowdown in the first half of the year. Still, we saw a recovery in the second half, demonstrating the resilience of our business amidst the challenging macroeconomic conditions. ADDRESSING SOCIOECONOMIC CHALLENGES THROUGH DIGITAL TRANSFORMATION Transforming Lives is at the heart of what we do at Safaricom. Recognising that digital technologies have immense potential to address socioeconomic challenges, we continue to invest in those technologies that touch the lives of communities. For instance, the ubiquitous M-PESA has revolutionised financial inclusion in Kenya, Africa and the globe. This has been achieved through the provision of accessible, affordable financial services to individuals and businesses, thereby promoting economic empowerment, entrepreneurship and poverty reduction. Through our sustainable business and social impact programmes, we have invested in innovations such as Daktari Smart, Zeraki Learning, Uzazi Salama among others, all of which leverage technology to Transform Lives. Other ways in which digital technologies are essential to addressing socioeconomic challenges and contributing to sustainable and inclusive economic development in Africa include: • Bridging the digital divide by providing access to information, communication and services to previously underserved communities. • Facilitating automation, streamlining processes and enabling data-driven decision-making. MESSAGE FROM OUR CHAIRMAN ADIL KHAWAJA “Transforming Lives is at the heart of what we do at Safaricom. Recognising that digital technologies have immense potential to address socioeconomic challenges, we continue to invest in those technologies that touch the lives of communities.”