Huawei clinches USD71m Kenya fibre deal
GOVERNMENTBy BiztechAfrica - July 11, 2012, 2:20 p.m.
By Semaj Itosno, Nairobi, Kenya
Kenya is on course to reap from an enhanced countrywide Internet infrastructure.
The Kenya government has awarded Huawei, a Chinese telecommunication firm, a tender to build a Sh6 billion (USD71 million) national fibre optic infrastructure and e-government projects expected to beginning August 2012.
The loan is earmarked for building national fibre-optic infrastructure and e-government projects.
Already, Treasury Permanent Secretary Joseph Kinyua signed the provisional agreement for the tender with Chinese vice-minister for commerce Chen Jian at the beginning of this month in Nairobi.
Kenyan Prime Minister Raila Odinga is scheduled fly to China next week to seal sign the loan agreement with the China Exim Bank.
The fibre-optic networks will link Nairobi with eight major towns (formerly provincial headquarters) and 36 administrative district centres through local area networks connected to the national backbone.
It is expected that the project will provide a reliable communication network for the government to interact with citizens.
In return this will improve quality of the public service and improve decision-making.
According to Kenya’s Information permanent secretary Bitange Ndemo, the Chinese firm will be the sole contractor of the multibillion-shilling project for that was the condition set before China would offer the loan.
While the restriction of the project to Huawei is unlikely to sit well especially with western firms like Alcatel Lucent, Nokia Siemens and Erickson, it is common in Chinese-funded projects.
The tender confirms that China is finally taking a grip on Kenya through development projects.
In August 2010, Safaricom signed a three-year contract with Huawei for supply of its core network requirements, and roll out the 4G network at a cost of Sh12 billion ($144.5 million).
Another Chinese firm, ZTE, clinched the tender for the roll-out of Telkom’s Kenya 3G network at a cost of Sh4 billion (USD48.1million).
MORE GOVERNMENT NEWS
Govt, Lagos, telcos strike dealThe Federal Ministry of Communications Technology has ended the stand-off between the Lagos State government and the telcos, acting under the aegis of the Association of Licensed Telecom Operators of Nigeria (ALTON). Read More
Nigeria launches local content guidelinesNigeria’s Minister of Communication Technology has unveiled new local content guidelines for the Nigerian ICT sector. Read More
East Africa moves towards single currencyLeaders meeting at the 15th Ordinary Summit of the East African Community Heads of State in Kampala, Uganda, have moved a step closer to a single currency for the EAC. Read More
Malawi govt wary of digital migration deadlineThe Government of Malawi has said it is wary of fulfilling its plans to migrate to digital by December 31. Read More
CCK unveils next 5-year roadmapKenya’s regulator has released its third strategic plan for Kenya’s ICT sector, aiming to turn the CCK into a facilitator of change. Read More
ITU: Broadcasting key for comms in emergenciesITU is finalising a report to highlight role of terrestrial radio and TV in disseminating critical information in emergencies. Read More
Ghana, SA sign cooperation agreementsGhana and South Africa have signed Memoranda of Understanding as part of President Jacob Zuma's three-day state visit to Ghana. Read More
Ethiopia approves 3 new solar projectsEthiopian Electric Power Corporation (EEPCo) has approved a 300 Megawatt solar project in partnership with two US firms. Read More
NCC to auction spectrumThe Nigerian Communications Commission (NCC) has announced it will auction one frequency license in the 2.3 GHz band. Read More
FEATURED STORYGaming app introduces investors to trading
A new virtual stock market app is equipping would-be investors with the skills they need to trade.
BEST READ NEWS
IN DEPTHText messaging makes mama mbogas’ lives easier
Innovative students have initiated a programme using text messaging, to aggregate demand and save money for Nairobi’s ‘mama mboga’ vegetable sellers.