(Bangkok Post via NewsEdge) The Chinese government has offered to extend a long-term loan totaling 20 billion baht ($653 million) to the financially ailing Thai Mobile to upgrade its voice service to multimedia and 3G.
Thailand's Information and Communications Technology Minister Sitthichai Pookaiyaudom said that the offer was made via an official at the Chinese embassy.
The official said that the Chinese government offered to invest in a 3G mobile phone network for Thai Mobile using the 1900 Megahertz spectrum. The investment would cost 10 billion baht ($326 million) to 20 billion baht, he said.
But Sitthichai acknowledged that the Chinese government did not offer many details about the investment other than saying the project would be long-term with a repayment period of 10 years to15 years.
'I have passed on the Chinese offer to the TOT board chairman, Gen Saprang Kalayanamitr, for consideration. The board will raise the matter to discuss and co-ordinate with the embassy,' he said.
He also said that he had consulted on the matter with Gen Saprang and agreed that the conditions offered by the Chinese government were possible. If TOT accepts the offer, he said, it wouldn't cause any damage but could revive Thai Mobile.
But Sitthichai made clear that China's offer was not a proposed joint venture, but merely a long-term loan that would not bind Thai Mobile to the joint public and private investment law.
'It is a government-to-government offer and therefore there is no mention of equipment vendors,' he said.
If the TOT board accepts the offer, it would be returned to him and forwarded to the cabinet, Sitthichai said.
© Bangkok Post
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