Embratel secures USD300m loan from IDB for network expansion

13 Apr 2007

Brazilian long-distance telecoms operator Embratel Participações (Embratel) has secured a USD300 million loan from the Inter-American Development Bank (IDB) to support its 2007 capital expenditure programme. According to BNamericas, Embratel’s plans include a 900km fibre-optic cable from Porto Velho to Manaus, which will free satellite capacity to serve more remote areas of the Amazon region. The operator, owned by Telmex of Mexico, also plans to invest in local telephony access in 2007 to boost its presence in a competitive market.

The IDB will provide up to USD80 million from its ordinary capital fund and a further USD220 million through a syndicated loan.