Egypt’s state-run Telecom Egypt (TE) said Wednesday it had signed a $200 million financing agreement with a number of Chinese financial institutions, including the Bank of China as well as China Export and Credit Insurance Corporation.
TE explained in a statement that the deal is being facilitated by China’s Huawei Technologies Company Ltd which is playing a key role in providing the Egyptian company with competitive financing conditions for the roll-out of its 4G network.
According to a TE statement, the loan agreement will run for 48 months, with a grace period of up to 24 months.
TE’s Managing Director and CEO, Ahmed El-Beheiry, stressed that attainment of the long-term financing “at the lowest possible costs” and through convenient payments terms indicated TE’s strong financial position.
“The facility benefits Telecom Egypt by providing a simplified purchasing process through a packaged financial solution, while allows Huawei to further expand its business in Egypt,” he added.
Last week, TE announced that it had signed a $200 million loan with the African Export-Import Bank (AFREXIM).
TE launches its 4G services market in September 2017 following an extended bidding process. It competes for a share in the market against Orange Egypt, Etisalat Egypt and Vodafone.
Source: Middle East Monitor
