Celtel Tanzania has received $90 million to expand network coverage in the East African country, according to MD Steve Torode.
The money is from foreign and local investors, he says, adding the money will go towards erecting 400 masts to boost network coverage in urban centres and rural areas.
Celtel Tanzania has a subscriber base of about four million, with the roll-out expected to increase numbers "substantially", says Torode.
Celtel Tanzania will receive an additional $15 million early next year through a rollover facility to be provided by the same lenders, he says.
He adds the mobile network is planning to introduce a SIM payphone, as well as a public payphone.
Competition
Torode says Celtel Tanzania broke away from the Tanzania Telecommunications Company (TTCL) in 2005 and has since been looking for funding to remain sustainable.
"The money will go a long way in helping Celtel Tanzania remain independent and strong. We need to stay independent so as to ensure competitive telecoms rates in Tanzania, some of which are the most expensive in the world," he says.
Torode explains SA`s Standard Bank is the global arranger of the facility, while Stanbic Bank Tanzania and CRDB Bank of Tanzania are the local arrangers.
Other institutions involved in the funding are NBC Bank, Exim Bank, Tanzania Investment Bank, Standard Chartered Bank Tanzania, the Development Bank of Southern Africa and FMO - the Dutch development financial institution.
There is one active fixed-line operator, TTCL, and four mobile phone operators - Vodacom, Celtel, Zantel and Tigo - in Tanzania.
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