Reliance Jio Infocomm, India’s largest telecom operator, plans to borrow up to $2 billion with BNP Paribas as the lead arranger. This funding will be used to purchase 5G network equipment from Swedish provider Ericsson. BNP Paribas will extend the loan over a period of nine months, allowing Reliance to repay Jio Ericsson, BNP and other banks involved.
To further support this agreement, the Swedish Export Credit Agency EKN has provided $2.2 billion of protection. This hedging protects Ericsson and the international banks from potential risks, thereby lowering Jio’s overall financing costs. The company recently pledged to invest a total of $25 billion in the 5G field, with $11 billion already spent acquiring 5G spectrum last year.
Reliance Jio Infocomm partners with Ericsson and Nokia to expand its 5G network. The company expects to complete the nationwide rollout of 5G by the end of this year and already offers 5G services in over 96% of the municipalities in India. With 450 million subscribers, including 50 million who have migrated to 5G, Jio has rapidly scaled its 5G network with a standalone (SA) architecture.
Jio has secured a mix of radio spectrum for 5G in different bands and is the only Indian operator with the 700MHz low-band spectrum. Alongside its 5G network, Jio also plans to launch its Fixed Wireless Access (FWA) offering on September 19. The company has already started testing the device in select cities where its 5G services are fully operational.
To support its 5G Fixed Wireless Access solution, Reliance Jio Infocomm created a dedicated 5G network segment. This ensures an efficient provision of the FWA offer for customers. With these developments, Reliance Jio is rapidly shaping the landscape of 5G technology in India.
Sources:
– The Economic Times
2023-09-07 02:18:02
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