Oman: Oman Broadband Company - Tranche 2 (AIIB-000476)

Countries
  • Oman
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • Asian Infrastructure Investment Bank (AIIB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Approved
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
B
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
Dec 22, 2021
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Borrower
Oman Broadband Company (OBC)
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Communications
  • Infrastructure
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 46.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Loan Amount (USD)
$ 46.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Bank Documents
Other Related Projects
Primary Source

Original disclosure @ AIIB website

Updated in EWS May 3, 2022

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

According to bank provided information, the project objective is to continue the nationwide rolling out of Oman Broadband Company existing high-speed broadband network.

The Project is an extension facility provided in connection to an existing AIIB project (Oman Broadband Infrastructure, 2017), where AIIB has previously provided financing to OBC for the initial high-speed broadband network rollout focusing mainly on urban areas in Muscat (Phase 1). For Phase 1 deployments, AIIB mobilized a total of USD239.2 million.

Following the completion of Phase 1, AIIB is financing the next phase of the network roll out (Phase 2), which is expected to complete by 2025 with the expected total funding of approximately USD151 million (the Project). The amount of a senior debt available for Phase 2 is sized at approximately USD46 million. The financing structure would blend the existing with additional debt.

Phase 2 has the same business proposition to Phase 1 through Basic End-User Service (BEUC) and mobile backhaul services. It will cover part of the remaining part of Muscat and urban areas outside Muscat which were not included in Phase 1, using a mix of fibre-to-the-home (FTTH) and the new 5G fixed-wireless-access (FWA) technologies.

The total home passed target under Phase 2 deployment until 2025 amounts to 226,000 where 77% of the home passed is outside Muscat area and the majority (83%) of the home passed roll-out targeting the high dense population across urban areas. For the backhaul, the total coverage target of tower/mobile is 1,550km up to 2030.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.
Private Actor 1 Private Actor 1 Role Private Actor 1 Sector Relation Private Actor 2 Private Actor 2 Role Private Actor 2 Sector
- - - - Oman Broadband Company Client Communications

Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

PROJECT TEAM LEADER
Asian Infrastructure Investment Bank
Edwin Hin Lung Yuen
Senior Private Sector Operations Specialist
edwin.yuen@aiib.org 

BORROWER
Oman Broadband Company (OBC)
Mohammed Bamkhalef
Lead Financing & Investment
mohammed.bamkhalef@withaq.om 

IMPLEMENTING ENTITY
Oman ICT Group (OICT)
Dominique Reverdy
Group Executive Advisor – Corporate Finance
dominique.reverdy@ictg.om 

ACCESS TO INFORMATION

You can submit an information request for project information at: https://www.aiib.org/en/contact/information-request/index.html 

ACCOUNTABILITY MECHANISM OF AIIB

The AIIB has established the Accountability Mechanism for Project-Affected People (PPM). The PPM provides Òan opportunity for an independent and impartial review of submissions from Project-affected people who believe they have been or are likely to be adversely affected by AIIBÕs failure to implement the ESP in situations when their concerns cannot be addressed satisfactorily through Project level GRMs or AIIB Management processes.Ó Two or more project-affected people can file a complaint. Under the current AIIB policy, when the bank co-finances a project with another development bank, it may apply the other bank's standards. You can refer to the Project Summary Information document to find out which standards apply. You can learn more about the PPM and how to file a complaint at: https://www.aiib.org/en/about-aiib/who-we-are/project-affected-peoples-mechanism/how-we-assist-you/index.html 

The complaint submission form can be accessed in Arabic, Bahasa Indonesia, Bengali, Chinese, English, Tagalog, Hindi, Nepali, Russian, Turkish, or Urdu. The submission form can be found at: https://www.aiib.org/en/about-aiib/who-we-are/project-affected-peoples-mechanism/submission/index.html 

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How it works