Telecom deal in Cambodia

Telecom deal in Cambodia

PHNOM PENH (Reuter): Cambodia's Ministry of Post and Telecommunications (MOPT) has signed a US$60 million deal with Luxembourg-based Millicom International Cellular SA (MICSA) for setting up GSM services, a ministry official said yesterday.

Phan Phin, under secretary of state for the MOPT, said the ministry signed the multi-million dollar deal on Saturday.

"This is a joint venture with the Ministry of Post and Telecommunications for the setting up of the GSM (global system mobile) network throughout the country.

"The investment project is worth US$60 million and the contract will run for 25 years," Phan Phin told Reuters.

He said the GSM service, due to be installed in nine months from the signing of the contract, would bring "big improvements" to Cambodia's decayed telecommunications network.

Cambodia has one of the lowest telephone density rates in the world with less than one telephone per one hundred people.