Government Forbids Foreign Investors Involve In Business of Towers

The goverment refuses the coming of foreign investors into the business of telecommunication towers in Indonesia. The decision will be strengthened in regulations on shared towers, which will be issued soon. "We do not want anyforeign investors to involve in business of towers, the value of which amounting to Rp 100 billion a year. This is an opportunity for local industry," said Director General of Post and Telecommunication, Basuki Yusuf Iskandar, in a hearing with Commission I of the House (DPR RI) on Tuesday (4/3). The decision is closely related to the plan of some telecommunication operators in Indonesia to release their towers. PT Excelcomindo Pratama, for instance, will separate the business of towers and will then sell a maximum of 80% of its shares to third party including foreign investors. (Investor Daily, pg 24)