The Evolving Nature of Chinese Telecommunications Investment in the DRC

The document analyzes the shift in Chinese investment in the DRC's telecommunications sector, noting a transition from operating mobile networks to dominating equipment supply. It highlights the failure of ZTE's politically motivated investment in Congo Chine Télécoms (CCT), which was sold to France Telecom-Orange in 2011, and contrasts this with Huawei's success in providing infrastructure to major operators. The author argues that business-oriented strategies, free from political obligations, are more sustainable for foreign investors in the DRC.

• ZTE's investment in the DRC began in 2000 with a 51% stake in Congo Chine Télécoms (CCT), a partnership with the DRC government's Office Congolais des Postes et Télécommunications (OCPT) funded by a CNY380 million ($12.5 million) loan from the Export–Import Bank of China.
• CCT was the fourth-largest mobile operator in the DRC by mid-2011 with over one million subscribers, appealing to low-income users due to inexpensive rates, though it struggled with profitability and reliability.
• In October 2011, France Telecom-Orange acquired 100% of CCT for $17 million ($10 million to ZTE and $7 million to the DRC government), while paying $71 million for a new ten-year licence and $185 million to settle the company's debts.
• Huawei has successfully expanded its market share in the DRC by focusing on its core strength of supplying equipment to operators like Tigo, Airtel, and Vodacom, avoiding the operational burdens that hindered ZTE.
• The China International Telecommunication Construction Corporation (CITCC) entered the DRC in 2006 and completed a project in 2009 to connect Kinshasa to Moanda via fibre-optic cables in partnership with Alcatel-Lucent, but has since struggled to find new contracts.
• While ZTE and Huawei are engaged in intense international legal battles over patents and trademarks, this rivalry has not manifested as overt hostility within the DRC market.
• Chinese companies are increasingly dominant in the DRC's telecommunications equipment sector but are retreating from the mobile phone operating business, which is now controlled by European and Indian firms.

APA

Mthembu-Salter, G. (2011). The Evolving Nature of Chinese Telecommunications Investment in the DRC. South African Institute of International Affairs. https://saiia.org.za/wp-content/uploads/2011/11/Policy-Briefing-39.pdf

Chicago

Mthembu-Salter, Gregory. The Evolving Nature of Chinese Telecommunications Investment in the DRC. South African Institute of International Affairs, 2011. https://saiia.org.za/wp-content/uploads/2011/11/Policy-Briefing-39.pdf.

Wikipedia

{{cite report |last1=Mthembu-Salter |first1=Gregory |title=The Evolving Nature of Chinese Telecommunications Investment in the DRC |publisher=South African Institute of International Affairs |date=November 2011 |url=https://saiia.org.za/wp-content/uploads/2011/11/Policy-Briefing-39.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{mthembusalter2011evolving, author = {Mthembu-Salter, Gregory}, title = {{The Evolving Nature of Chinese Telecommunications Investment in the DRC}}, institution = {South African Institute of International Affairs}, year = {2011}, month = nov, url = {https://saiia.org.za/wp-content/uploads/2011/11/Policy-Briefing-39.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }