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Reliance Info, Pak telecom co sign MoU

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January 09, 2006 14:47 IST

Setting aside security concerns, state-run Pakistan Telecommunications Company Limited has signed an MoU with India's telecom giant Reliance Infocomm to provide cable link between the two countries through the Wagah border.

This is the first time that Pakistan has opted to have a direct link with India in the telecom sector. Last year Indian companies were not permitted to take part in the bidding of privatisation of PTCL.

"Pakistan is ready to make the new cable operational in a month. We are waiting for the final go-ahead from India," the Daily Times quoted a top PTCL official as saying.

Pakistan showed interest in having an optic-fibre cable telecom link with India ever since the Internet services were disrupted across the country last year due to snapping of an international undersea cable.

Since then Pakistan opted for another alternative cable and decided to have the cable link with India despite concerns expressed by security agencies.

"It will be a very cost effective operation providing quality voice communication between the two countries and the project is being taken up keeping in mind future traffic requirements," he said.

"It will basically be an upgrade of the old network which was laid in 1985 between Lahore and Amritsar. The development is not tariff related, it will only provide for handling the volume and quality of communication," he said.

The initial work has been completed from our side and necessary permissions have been granted by the Pakistan government. We are waiting for the Indian side to respond quickly, a PTCL spokesman said.

The spokesman denied knowledge of another telecom company taking an interest in the project. "I am not aware if any other Pakistan-based telecom company has expressed interest in the Pakistan-India cable," he said.

Prime Minister Shaukat Aziz last Monday inaugurated the SEAMEWE 4 cable link between India and Pakistan in Karachi.

The proposed 10-kilometre fibre-optic link across Wagah was first mooted during the SAARC telecom ministers' conference in 2004 and the Indian delegation led by Telecom Minister Dayanidi Maran had principally agreed to the link in a bid to improve communication and reduce tariffs.

In July 2005, PTCL also inked deals with three Indian companies for an undersea fibre optic link between Karachi and Mumbai.

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