Angola secures financing in Japan for submarine cable project

1 April 2016

Banco de Desenvolvimento de Angola (BDA) has contracted a loan of US$109.79 million from two Japanese banks to buy submarine fibre optic cables, the Angolan bank said in a statement institution released Thursday in Luanda.

The BDA also said that the loan from the Japan Bank for International Cooperation (JBIC) and the Sumitomo Mitsui Banking Corporation (SMBC) has coverage from the Nippon Export and Investment Insurance (NEXI), has a sovereign guarantee from the Republic of Angola and is intended to finance the project of the South Atlantic submarine cable of the Angola Cables company.

Angola Cables’s submarine cable project will link Angola to Brazil. The company was created by five major Angolan telecommunications operators and which are currently part of its shareholder structure, and state company Angola Telecom has a majority stake.

Angola Cables has been member of the West Africa Cable System (WACS) since 2009, which is the owner of the undersea fibre optic cable connecting South Africa to the UK through several stations along the West African and Portuguese coast.

The BDA said in the statement that this deal starts a new phase in the bank’s operations, focused on raising funds in financial markets and international capital to apply them in the economy by funding structural projects. (macauhub/AO)