The Asian Development Bank and Security Bank Corporation have inked a P4.8-billion loan deal for iSON Tower Limited Inc. to build 800 telecommunication towers nationwide.

In a statement released Monday, ADB said each lender will provide P2.4 billion to the tower developer and operator under a 12-year tenor co-financing package.

The use of the towers will be shared by Globe Telecom Inc. and Smart Communications Inc., the country’s major internet providers.

Through the loan, ADB said the country can achieve inclusive socioeconomic growth.

Better access to communication

“Shared infrastructure services, like those provided by iSON Tower, will give underserved communities better access to communication, as well as to work in the digital economy, e-health services, access online education, e-government services, and to prepare for disasters,” ADB director general for private sector operations Suzanne Gaboury said.

The Philippine Statistics Authority says there are over 119 million Filipinos now at a population growth rate of 2 percent.

However, ADB said its data reveals a huge gap in internet access among Filipinos as the country only has 240 towers per one million people.

Commitment

“With the partnership of ADB and Security Bank Corporation, iSON is committed to strengthen the country’s telecom infrastructure landscape for 5G and beyond,” iSON Tower founder and chairman Vivek Gupta said.

In 2019, the Department of Information and Communications Technology opened up applications for the construction and management of shared towers which it said will reduce operation costs to internet firms and enable them to focus on delivering better service to consumers.

Since 2021, iSON said it has been growing investments in telecommunication infrastructure in the Philippines as a top industry player in developing countries, including also those in Africa, the Middle East and the rest of Asia.