Consolidation of regulator management raises hopes for telecoms industry

7 Jul 2003

The appointment of Ministry of Information Industry (MII) minister Wang Xudong as head of the China State Council’s ‘Informatisation Office’ has raised hopes that the country’s oft-criticised telecoms sector will be better managed and regulated. The Office was created in 2001 to effectively monitor the workings of the MII , the telecoms regulatory body, which was under suspicion of being too close to the operators it regulated. However, following the March appointment of Wang Xudong, a Communist Party veteran with little telecoms market experience, as head of the MII, the two organisations have been working in tandem for the first time. Now, following the consolidation of authority between the two bodies, there is hope that the state will clarify its telecoms policies; a move that would be enthusiastically welcomed by potential foreign investors.