Project Description
This project constitutes the second phase of SabaFon expansion program to stretch its roll out into new places and regions and to enhance its current network by adding more sites. The objective of the second phase is to add about 120,000 new lines to the existing 140,000 lines of the existing network.

Project Sponsors

The Yemen Company for Mobile Telephony, "SabaFon", launched its commercial services since February 14, 2001. The company holds a 15 years GSM License to operate in Yemen. SabaFon is the leading private GSM operator in Yemen with more than 140,000 subscribers at the end of June 2002. The Company has strong reputation among the local community and is viewed as providing premium quality GSM services.

Project Location

The project is expected to cover many parts of the country with GSM network, including rural areas.

Project Cost

Total project cost is estimated at US$39.0 million

ICD's Role and Developmental Impact

ICD extended a leasing facility not exceeding US$10.0 million to cover part of the costs of the equipment. ICD was also mandated to arrange another tranche of US$10.0 million. The Project has a high developmental impact on the country, all the more so as Yemen has a very low coverage of mobile telephone lines (0.8 mobile telephone lines per 100 inhabitants) compared to other developing countries (World average was 15.48 mobile lines per 100 inhabitants in 2001).