Chinese vendor ZTE has agreed a US$15 billion credit line from the China Development Bank (CDB) a day after releasing a strong set of annual results. The five-year agreement between ZTE and CDB – the fifth largest commercial bank in China – will see both parties work closely together to establish an investment and financing platform, including expansion to overseas markets. In a statement today, ZTE said that the bank possesses a healthy balance sheet as well as strong financing and credit ability, which gives it an advantage over financing agencies based in Europe and the US that are struggling to cope with inadequate liquidity. It added that the deal would also facilitate “ZTE’s entry among the ranks of the world’s tier-one telecom operators.”

ZTE had earlier reported revenue of approximately CNY44,293 million (US$6,388 million) in 2008, representing an increase of 27.37 percent over 2007. It added that it had also captured about 30 percent of the 3G network tender bids offered by China’s three mobile operators, which it claimed had positioned it as the clear leader in China’s 3G industry. During the year, the group’s revenue from domestic operations amounted to CNY17,466 million, representing year-on-year growth of 18.93 percent. Revenue from the international operations grew to CNY26,827 million, a 33.53 percent rise, and representing just over 60 percent of total revenues. Net profit for the year stood at CNY1,660 million.