Telecom Egypt has signed a $600 million 10-year deal with 4iG Group of Hungary to build a fiber network for the North African country.

The infrastructure will provide six million households with access to high-speed network when complete.

The multi-million dollar infrastructure deal was this week signed on the second day of the Egypt-EU Investment Conference inaugurated by the president of Egypt El Sisi and EU president Ursula Von Der Leyen.

In their MoU, Egypt’s telecom operator and the telecoms and IT group in Hungary and the Western Balkans agreed to establish a joint venture to build, operate and commercialise Fiber-To-The-Home (FTTH) as well as Fiber-To-The-Site (FTTS) on a wholesale basis in the African country.

According to the agreement inked in Cairo, during the coming months 4iG Group and Telecom Egypt will agree on the business model, exact ownership structure, governance processes and technological details of the joint venture.

The partnership with the central European country aligns with Telecom Egypt’s plan to transform all areas into FTTH networks under the Ministry of Communications and Information Technology’s “Digital Egypt” strategy.

It is also in line with Egypt’s Vision 2030 for a digitally transformed society and a robust digital economy.

Mohamed Nasr, managing director and CEO Telecom Egypt, hailed the agreement as a game changer that would accelerate Egypt’s digital transformation.

“We are pleased to partner with 4iG Group. We look forward to this endeavour, which will provide unparalleled performance and future-proof connectivity for generations to come, while ensuring that we maintain our position as one of the leading ICT providers in Egypt,” he said.

Chairman of 4iG Group Gellért Jászai said the collaboration was another opportunity for the Hungarian telecommunications giant to market its expertise internationally in line with its long-term business strategy.

“We have found the best partner in Telecom Egypt for our ambition, just as we have in the already launched subsea cable project. The combination of the strengths and expertise of the two major companies foresees the success of the Egyptian fiber network development program. It also ensures the application of the latest technologies and innovations, as well as the establishment of high-quality services across the country,” he said