60 billion FCFA loaned to MTN-Cameroon

The Cameroonian subsidiary of the South African network operator, Mobile Telephone Network (MTN Cameroon) obtained a syndicated loan of 60 billion CFA francs from a group of local banks to improve its 3G network as reported on Tuesday.

The banks were Banque Internationale du Cameroun pour L'épargne et le Crédit (BICEC), Société Commerciale de Banque Cameroun (SCB), Standard Chartered Bank Cameroon, Société Générale Cameroun (SG) and Ecobank Cameroon.

The loan repayable over five years, with a revolving credit facility in the same period for Citibank Cameroon who coordinated this operation and it is considered as being 'a first loan in Cameroon of that amount’.

“The loan will provide ‘fitting responses’ to instabilities that occurred since the introduction of 3G three months ago. These funds generated will support a striving infrastructure program in the next five years”, said Philisiwe Sibiya, the DG of MTN Cameroon.

According to statistics from the Telecommunications Regulatory Agency (TRA) with a little over 10 million subscribers as of December 31, 2014 MTN, is the leading mobile telephony market in Cameroon.

The improved quality of service and its 3G network would enable it to maintain its leadership.