Mozambican telecoms company Tmcel will spend USD23 million on telecommunications equipment under a contract signed this week in Beijing with Chinese group Huawei, Mozambican state news agency AIM reported.
The amount to be invested by Tmcel will come from the company’s own resources. AIM reported that this amount will be the result of the sale of assets “which are not the main focus of Tmcel’s business,” and added that under the terms of the contract, this project will start as soon as possible.
Mozambique’s Minister of Transport and Communications, Carlos Mesquita, said that an investment project, also in the telecommunications sector, with an estimated value of $130 million, is due to be launched this year.
Mesquita said that this project, whose contribution from China he did not disclose, is focused on installing a fibre optic network in Mozambique, linking the north and south of the country, as well as the hubs that connect to neighboring countries.
“The project is well underway, it has already been approved by the Chinese government, and the practical aspects of the disbursements are now going ahead,” said Mesquita, who is a member of the presidential delegation to the 2nd International “Belt and Road” Forum.