/ 30 April 2007

China, Ethiopia sign $200m telecoms deal

China’s ZTE announced a $200-million deal with Ethiopia’s state-owned telecoms group just ahead of the release of seven abducted Chinese workers in the African nation, a statement said on Monday.

The agreement signed on Saturday with Ethiopia Telecom Corporation proposes to build up the East African nation’s fledgling telecommunications network, a statement issued by ZTE to the Shenzhen bourse said.

The signing includes the first phase of fibre transmission backbone, expansion of cellphone services and the expansion of wireless telephone operations.

State-owned ZTE will install 1,2-million mobile telephone lines in Ethiopia’s capital, Addis Ababa, and eight other towns, it said.

The announcement came before the Chinese workers kidnapped during last week’s attack on an oil plant run by China’s oil giant Sinopec in eastern Ethiopia were released late on Sunday.

The clash carried out by the Ogaden National Liberation Front left 65 Ethiopian workers and nine Chinese dead.

China has said that despite the incident it remains fully committed to investing in Africa. — Sapa-AFP