main navigation menu miga logo
World Bank building

MIGA’s goal is to promote foreign direct investment into developing countries to support economic growth and more.

Young woman bending down to tending to her outside chores

Explore different types of political risk insurance guarantees provided to investors and lenders.

Hyundai building

Explore global projects that support economic growth, reduce poverty and improves people’s lives.

Hands husking peas into a basket full of peas

Learn about the progress MIGA is making in its mission to support economic growth, reduce poverty and improve people’s lives.

Subscribe to Our Monthly Newsletter
x

About Dropdown Description

World Bank building

MIGA’s goal is to promote foreign direct investment into developing countries to support economic growth and more.

Our Impact Dropdown Description

Hands husking peas into a basket full of peas

Learn about the progress MIGA is making in its mission to support economic growth, reduce poverty and improve people’s lives.

Our Products Dropdown Description

Young woman bending down to tending to her outside chores

Explore different types of political risk insurance guarantees provided to investors and lenders.

Projects Dropdown Descriptions

Hyundai building

Explore global projects that support economic growth, reduce poverty and improves people’s lives.

Guinea-Bissau

Orange Bissau S.A.

$25.9 million
Telecommunications
Project Brief
Active
twitteremail

MIGA has issued guarantees totaling $25.9 million to Société Nationale des Télécommunications du Sénégal S.A. (Sonatel), covering its $13.6 million equity investment and $12.2 million shareholder loan in Orange Bissau S.A. The ten-year coverage provides protection against the risks of transfer restriction, expropriation, war and civil disturbance, and breach of contract.

The project involves the installation, operation and maintenance of a 900/1800 GSM cellular network in the country, as well as public pay phones and internet services—critical to Guinea-Bissau’s economic development. It will be the second major cellular service provider in Guinea-Bissau to operate on a 100 percent digital GSM technology.  This will improve quality, efficiency, and provide for a reliable mobile telephone technology. Subscribers are expected to benefit from reduced costs due to increased competition and the diverse product offerings.

The multiplier effects of the sector on the economy are expected to be significant. The project will support the growth of several industries, including urban transportation (taxi drivers), advertising companies, print shops, information technology and software companies, construction firms, and various other retail and service companies. Government revenues from the project will derive from taxes and fees, in addition to the $18.75 million license fee.

This project is aligned with the World Bank Group’s support to improving the country’s investment climate. Overall growth and economic diversification in Guinea-Bissau have been hampered by a weak investment climate, including weaknesses in the telecommunications sector that this project expects to address.

MIGA’s participation in this project supports several agency priorities including South-South investment, investment in Africa, and investment in the infrastructure sector.

This is the second project in Guinea-Bissau to receive the agency’s support since the country’s membership in MIGA in 2006.  The first project involved the privatization of a hotel in capital city Bissau.

 

 

twitteremail