Monday, August 27, 2012

Uncertainty fails to stop Ncell investment


The country is witnessing foreign investment inflow, despite political uncertainty and unpredictably.
"Ncell has invested $500 million in Nepal," president and chief executive officer of TeliaSonera Lars Nyberg said today.
Any investor in the world would like to see stable and predictable environment before investing and the situation in Nepal is unpredictable and politically uncertain but there is still a room for investment," he said, adding that the company is willing to invest more in the country, if the bureaucratic hurdles do not slowdown their investment plan.
"We are trying to bring in more equipment in the country to increase capacity to meet the quality of service, which has been delayed due to bureaucratic hurdles," he said, adding that functional telecom service is one of the key per-requisites for foreign direct investment. "It not only helps attract more foreign direct investment but also supports freedom of speech and helps build open society."
Ncell wants to promote free competition in the telecom sector in the country, Nyberg said, adding that the company being related to the Nepal Satellite will not hurt the competitive market as the brand 'Hello Nepal' of Nepal Satellite will be developed as a regional brand to serve the lower end of the market.
"Competition will increase quality and affordability," he added.
"Hello Nepal is a good component of Teleasonera," added the chief executive officer of the fifth largest telecom operator of Europe that has presence in around 17 countries from Norway to Nepal.
TeliaSonera was merged with Mero Mobile in mid March 2010 and re-branded as Ncell — that is one of the success story of the TeliaSonera — and today it is one of the leading telecom operator in Nepal and one of the top five tax payers in the country in the last fiscal year.
"Ncell had paid Rs 2.07 billion tax in the fiscal year 2011-12," according to the Finance Ministry that revealed another telecom operator Nepal Telecom paying Rs 9.66 billion including VAT and income tax in the last fiscal year.
Infrastructure sharing among telecom service providers is very useful idea to reduce investment, he opined. “But the regulator has not developed regulation for infrastructure sharing," Nyberg, said, adding that the company is waiting for infrastructure sharing regulation that it is hopeful of coming soon to benefit all the telecom operators.

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