The $600 million SAFE project aims to connect the Far East with Africa through fibre optic cables. It will have a landing point at Ernakulam, Kerala, and is expected to be commissioned by the fourth quarter of 2000.

With its proposed $50 million investment, VSNL will be the second largest investor in the project and next only to South Africa which has promoted it. The initial parties to the project include South Africa, Malaysia, Mauritius, Cable & Wireless, France Telecom and India.

According to VSNL, the SAFE cable system will complemented by the SAT-3/WASC (South Atlantic Telephony-3/West African Submarine Cable) and is expected to provide high quality cost effectiveconnectivity to the African continent.

In addition, investment in the project is expected to position Ernakulam as a transiting hub for the countries served by the SEA-ME-WE3 (South East Asia-Middle East-Western Europe 3) cable and SAFE systems.

According to VSNL acting chairman and managing director, Amitabh Kumar, joining the SAFE cable system will open a new opportunity for VSNL to carry traffic to Africa and also open a transit point in India between the various cable systems including Flag, SEA-ME-WE2 and 3. "The SAFE system is expected to open a new stream of revenues from transit services and benefit from international traffic in the coming years," he said.