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Overview

ICBC provides $30 million loan for Myanmar Communication Infrastructure Construction Project

Commitments (Constant USD, 2023)$32,514,535
Commitment Year•2012Country of Activity•MyanmarDirect Recipient Country of Incorporation•MyanmarOverseas Jurisdiction•MyanmarSector•CommunicationsFlow Type•Loan

Status

Project lifecycle

Implementation

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Jan 1, 2012
Start (actual)
Jul 1, 2019

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Funding agencies

State-owned Commercial Banks

  • Industrial and Commercial Bank of China (ICBC)

Receiving agencies

Joint Venture/Special Purpose Vehicles

  • Myanmar Fiber Optic Communication Network Co., Ltd. (MFOCN)

Loan desecription

ICBC provides $30 million loan for Myanmar Communication Infrastructure Construction Project

Interest type•Unknown

Collateral

This loan is collateralized with fiber optic network assets (worth $40 million).

Narrative

Full Description

Project narrative

On or around 2012, the Yangon Branch of the Industrial and Commercial Bank of China (ICBC) and Myanmar Fiber Optic Communication Network Co., Ltd. (MFOCN or 缅甸光纤通信网络有限公司) — a project company and subsidiary of HyalRoute Communication Group Ltd. (HyalRoute) — signed a $30 million loan agreement for the Myanmar Communication Infrastructure Construction Project. The borrowing terms of the loan are unknown. MFOCN pledged fiber optic network assets (worth $40 million) as sources of collateral. The purpose of the Myanmar Communications Infrastructure Construction Project is to install a 62,000 km national fiber optic cable (FOC) network and 1,000 telecom towers over 3 phases. As of March 2018, MFOCN had completed a total of 23,218 km of FOC. As of March 31, 2019, $30,000,000 of the loan was outstanding. This project is also known as the HyalRoute Fiber Optic Cable Network Project.

Staff comments

1. It is unclear which phase of the Myanmar Communication Infrastructure Construction Project was supported by this $30 million ICBC loan. This issue requires further investigation. 2. It is unclear when the ICBC loan was issued. For the time being, AidData assumes a loan commitment year of 2012 because Myanmar Fiber Optic Communication Network Co., Ltd (MFOCN) — the special purpose vehicle responsible for the Myanmar Communication Infrastructure Construction Project — was established on May 22, 2012. This issue requires further investigation. 3. HyalRoute Communication Group Limited is a Singapore-based company that is owned by HyalRoute Group, a Shenzhen-headquartered telecom infrastructure company.