Sweden Financing Econet Expansion

Econet Wireless is to get a US$60mn loan from the Swedish export credit agency to purchase goods and services from Ericsson, reports Reuters. This will be the biggest European loan to a Zimbabwean company in more than 10 years. Ericsson will be installing new equipment to expand Econet's mobile network in Zimbabwe's capital, Harare. This is good news for the Zimbabwean mobile market, and for the country in general, as it marks continued investment and slowly growing confidence in Zimbabwean investments. BMI believes that expansions like this one will help Econet maintain its highly dominant position in the mobile market, which is not a problem at the moment, but may become one in the longer term.

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