US bank approves USD118 million loan for VNPT

VNPT wants to borrow USD125.9 million from Eximbank for the VINASAT-2 satellite

"By providing financing for VNPT, the Eximbank loan supports US manufactured satellites and US jobs," said Linda Reiners, Lockheed Martin Space Systems Commercial Ventures vice-president.

According to Reuters, this marks the first satellite transaction between the Eximbank with the government of Vietnam , with the loan approved first by US President Barack Obama in June. Eximbank estimated the transaction will provide about 525 full-time equivalent American jobs and bring export sales to USD215 million.

The VINASAT-2 satellite, which was released into its targeted orbit on May 25 has completed a series of tests. VNPT hopes to use the satellite for increasing television and telecommunications demand in Vietnam, Cambodia, Laos and Thailand.

BNP Paribas Bank will serve as the documentation agent and letter-of-credit bank for the aforementioned loan.

VNPT leaders in early June confirmed that they wanted to borrow USD125.9 million from Eximbank for the VINASAT-2 satellite.

Hoang Minh Thong, Director of the Management Board of VNPT’s telecommunication projects said that they wanted to take the loan, as despite the interest rate being unclear, it’s seemed lower than most domestic interest rates.