Government to give telecoms mergers the green light

2 May 2017

The Nepal government is preparing to introduce a new policy allowing domestic telecom companies to merge in a bid to increase competition in the sector, writes The Himalayan Times. Telecoms regulator the Nepal Telecommunications Authority (NTA) has prepared a draft of the Merger and Acquisition Guideline which would allow one telecoms company to buy another. According to the report, the NTA’s aim is to reduce the country’s telecommunication companies to just three.

NTA spokesperson Min Prasad Aryal commented: ‘Our analysis has shown that a large number of telecom companies is a setback to fair competition and does not ensure stability of telecom operators.’ The draft is still in production by the NTA and will need to obtain approval from the Ministry of Information and Communications (MoIC) before it becomes law.

Nepal, Nepal Telecommunications Authority (NTA)