Metfone, VN bank ink deal to trade services

TWO major Vietnamese companies signed a cooperation agreement in Phnom Penh Tuesday to link their telecoms and banking operations.

Under the deal, Metfone, which is operated by Viettel, a wholly owned subsidiary of the Vietnamese military, will provide communications services to the Bank for Investment and Development of Cambodia (BIDC).

In exchange, the bank, which is owned by the Hanoi-based Bank for Investment and Development of Vietnam (BIDV), has agreed to extend Metfone a US$40 million credit line for the expansion of its GSM mobile phone networks and a 3G upgrade.

The loan will be disbursed in stages - the first instalment of $14 million will be made available today, according to a media release issued at the signing ceremony.

Neither BIDC CEO Nguyen Van Hien nor Metfone Managing Director Nguyen Duy Tho, who signed on behalf of the two companies, commented after the ceremony. Click to read more...