SLT says demand for fixed line telephony is falling markedly

Sri Lanka Telecom (SLT) says that demand for its traditional fixed line telephony is weakening rapidly, and that revenues are declining sharply as a result. In an interview with local newspaper the Sunday Times, an SLT official revealed that revenues at the company slipped 18% year-on-year during the first half of 2009, down from LKR7.9 billion (USD68.8 million) to LKR6.5 billion. The main reason for the fall is that many customers are using fixed line telephones for incoming calls only and relying on mobile phones for outgoing calls. An average middle level income earning family is said to own at least three mobile phones. SLT says it is trying offset the declines by promoting high speed internet access, new services and new incentive packages.