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European Bank invests US$ 19 million in communications networks in the CSFR
The Board of Directors of the European Bank for Reconstruction and Development today approved two loans of a total of US$ 19 million (ECU 14.7 million) to finance the construction of cellular networks and public switched packet data networks in both the Czech and Slovak Republics.
"These loans will provide an immediate improvement in telecommunications and help meet the rapid increase in demand for data services," said Ron Freeman, the Vice-President in charge of Merchant Banking. "They will also result in the creation of a total of 750 new jobs by 1998."
The borrowers are two joint venture companies, Eurotel Prague and Eurotel Bratislava. Eurotel Prague is a joint venture owned by the Posts and Telecommunications Administration of the Czech Republic and Atlantic West BV, a corporation owned by US West International BV and Bell Atlantic International BV. It operates in the Czech Republic and will borrow US$ 11 million (ECU 8.5 million). Eurotel Bratislava, a joint venture between the Posts and Telecommunications Administration of the Slovak Republic and Atlantic West BV, which operates in the Slovak Republic, will borrow US$ 8 million (ECU 6.2 million). The total cost of the projects are US$ 100.70 million and US$ 42.5 million.
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