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Paswan seeks $37 billion investment in telecom by 2005

India is looking for investments of $37 billion by 2005 and $67 billon by 2010 in the telecom sector to achieve its goal of providing communication everywhere, anytime and to anyone, communication minister Ram Vilas Paswan has said.

"India has opened up virtually all sectors in telecommunications to the private sector and provides lucrative market with high potential of expansion," Paswan, told a press conference in New York on Friday.

Stating that 100 per cent foreign investment is permitted in manufacturing sector and 49 to 100 per cent in telecom services area on automatic basis, the minister lamented that expected level of investments had not been achieved due to low-level of awareness amongst most of the major investors.

He said Supercomm Asia, to be hosted by India in February next year, would be the biggest regional gathering and help explain the scope of opening of the Indian market and provide an opportunity to change the investors' mindset.

He expressed optimism that India would get the needed funds. The market is vast and profitable, he added.

The current tele-density at 3.5 per hundred is very low even though tremendous progress has been made in last one and half year. The goal to increase the tele-density to seven per hundred by 2005 and to 15 by 2010 is likely to be achieved much earlier, he claimed.

There is need for cost-effective and reliable technologies with low operational costs and maintenance in remote areas, he said.

Paswan stressed on the strengthening of the regulators, asserting that Indian regulators, unlike in most other countries, were completely independent and not under government control.

Any one having differences with the regulators could move the specially established Telecom Appellate Tribunal, he added.

This has been done to provide a level playing field for all players in the sector, whether Indian or foreign, and to ensure that the cases are decided speedily. This should lay at rest any fears that investors might have, he said.

The minister also said that all facilities, including Internet were available in rural areas and referred to the ambitious scheme of his ministry to establish Sanchar Dhabas or community communications centres across the country, especially in rural areas.

"These will provide variety of services. Steps have been taken to introduce delivery of services like tele-medicines, tele-education, tele-marketing and e-commerce," he said.

Besides, he said, a number of public sector corporations and other companies have developed special expertise, which opens up opportunities for joint ventures.

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