Telecom Egypt has secured a credit line with the European Investment Bank. The EIB is the lending arm of the European Union. The medium-term loan of € 150 million is aimed at expanding Telecom Egypt’s 4G broadband network.
Telecom Egypt is Egypt’s primary telephone company. It started in 1854 with the first telegraph line in Egypt. In 1998, it replaced the former Arab Republic of Egypt National Telecommunication Organization.
The EU aims to support Egyptian government efforts to secure resilient and affordable access to universal connectivity to the benefits of Egyptian citizens across the whole country. Telecom Egypt is set to improve its mobile network coverage by deploying around 2,000 new mobile sites and installing additional capacity layers to its existing portfolio of mobile towers. The medium-term loan of € 150 million is the European Investment Bank’s largest mobile network loan in Africa. This initiative will provide Egypt with accessible and affordable digital services.
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Speaking on the signed agreement, the Director of the ‘European Union Neighbourhood Countries’ arm, of the European Investment Bank, Flavia Palanza said,
“This project will help accelerate large-scale investment in mobile networks and ensure affordable access to digital services in Egypt. The EIB identifies digital transformation as a catalyzer for innovation, employment, and sustainable economic growth. We are pleased to partner with Telecom Egypt, a dynamic group engaged in its ambitious network expansion program, to offer a modern and broader access to connectivity throughout Egypt.”
Also speaking about the loan agreement, Adel Hamed, Managing Director and Chief Executive Officer of Telecom Egypt stated that “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’s scale, an objective that comes in line with the bank’s priorities for developmental projects.
Telecom Egypt will capitalize on its multiple financial resources, newly awarded spectrum and rich portfolio of valuable products, among other factors, to continue serving its growing customer base and strengthen its competitive position in the Egyptian telecom market.”
The Deputy Head of Delegation of the European Union Delegation to Egypt, Tobias Krause, has said “Digital Transformation is a key pillar of this ambitious new phase of joint cooperation with Egypt.
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The EU aims to support the Egyptian government’s efforts to secure resilient and affordable access to universal connectivity for 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 European Financial Institutions as Team Europe to support Egypt’s human-centric digital transition and to foster a sustainable, connected and inclusive economy and society.”