Tomeki

Telecom traffic and investment in developing countries

Telecom traffic and investment in developing countries

the effects of international settlement rate reductions

By Scott J. Wallsten

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Publish Date

2000

Publisher

World Bank, Development Research Group, Regulation and Competition Policy

Language

eng

Pages

25

Description:

In 1997 the U.S. Federal Communications Commission ordered sharp reductions in international settlement rates (bilaterally negotiated rates for telecom traffic between pairs of countries) for telecom traffic between the United States and the rest of the world. Even the very poorest countries, with the least developed telecommunications networks, must slash rates for traffic to the United States by 2003. Will this, by reducing telecom revenues in developing countries, reduce investments in those countries' telecom sectors?