The Ethiopian Communications Authority (ECA) has rejected claims that two foreign companies have been awarded a contract to construct telecommunications infrastructure in the country.

ECA has noted that a story about 3air and K3 telecom winning a $10 million contract to build telecom infrastructure in Ethiopia is circulating in various foreign and local internet publications, reads the Authority Statement on Twitter.

The rejection came a day after several media outlets stated that 3air and K3 Communications, a Swiss business, had won a $10 million contract to create telecom infrastructure in the East African country.

The Ethiopian Communications Authority (ECA), the country’s sector regulator, stated that the companies do not have a legal basis to carry out the specified activities.

“These organizations have no legal basis to make such investments in the county,” says the Authority Statement.

According to the sector regulator, third-party infrastructure service supply other than by licensed providers Ethio Telecom and Safaricom Ethiopia is currently forbidden.

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