The European Investment Bank (EIB) has signed a loan agreement for Deutsche Telekom to support its roll-out of fibre networks in Germany. The EIB loan of EUR 600 million is part of a total cost for the project estimated at EUR 1.6 billion for the years 2021-2022. Telekom benefits from favourable lending conditions from the EIB, including long availability period, drawdown flexibility, long tenor of the facility and a very sizeable loan amount, the bank said.
Following completion, 1.5 million homes, businesses and schools will have access to fibre broadband access networks, mostly in suburban and semi-rural areas. The upgrade of the network will allow the use of digital applications and supports the expansion of Germany's digital infrastructure.
Telekom will conduct the expansion of the network within the framework of its fibre strategy. Under the plan, Telekom aims to reach with fibre 25 percent of all German households and businesses by 2025, and connect all German households by 2030.
