China Putian commits $35 million export credit for Phase 1 of Fiber Optic Network Rollout Project

Project narrative

On September 26, 2004, China Putian — a state-owned Chinese telecommunications company — pledged to provide a $35 million export credit to Powertel Communications, which is a wholly owned subsidiary of the Zimbabwe Electricity Supply Authority (ZESA) Holdings Group. Then, in December 2004, China Putian signed a $35 million export credit facility agreement with Powertel Communications for Phase 1 of Fiber Optic Network Rollout Project. The export credit facility agreement was insured by Sinosure. Phase 1 involved the provision of equipment for the building of a fiber optic network in three sections (Bulawayo to Victoria Falls, Bulawayo to Beitbridge and Harare to Mutare). The project was originally expected to commence in October 2004 with a completion date 18 months later in April 2006; however, it was later reported that the equipment for the project would not arrive in Zimbabwe until March or April 2005.