Telecom Egypt secures €150m loan to expand network
Telecom Egypt has signed an agreement with the European Investment Bank (EIB) to secure a loan of €150-million to expand its 4G broadband network.
According to EIB, the operator plans to use the money to open a new development facility that will be used to deploy 2, 000 new mobile sites to upgrade coverage and installing additional capacity layers to its existing portfolio of mobile towers.
It added that the partnership, currently the EIB’s largest mobile network loan in Africa, will expand the network to cover less densely populated areas , enhance competition and make services more affordable.
Telecom Egypt CEO and Managing Director Abel Hamed said, “We are very pleased to secure this new credit line with EIB after extensive deliberations, including the presentation of our functional plan to improve our mobile network scale, an objective that comes in line with the bank’s priorities for developmental projects. Telecom Egypt will captalise on its multiple financial resources, newly awarded spectrum and a portfolio of valuable products among other factors to continue servicing its growing customer base and strengthen its competitive position in the Egyptian telecom market.
Tobia Krause, Deputy Head, EU delegation to Egypt said, “Digital transformation is a key pillar of this ambitious new phase of joint cooperation with Egypt. The EU aims to support the Egyptian government’s effort to secure resilience and affordable access to universal connectivity to the benefit of Egyptian citizens across the whole country. This project shows the commitment of our partners in the EIB, the EU’s lending hand, to support crucial inclusive digital infrastructure planning in Egypt. We will continue to work hand-in-hand with our member states and the European financial institutions to support Egypt’s human centric digital transition and to foster a sustainable, connected and inclusive economy and society.”
In 2016, EIB provided €100-million to Tunisie Telecom for 4G network development in Tunisia and in 2018 provided €35-million loan to Telecom Kenya, the country’s third largest operator.